Strategies, Challenges, and Answers

An Auto Insurance Company’s Refusal To Pay Claim, Standing Alone, Is Not Bad Faith

Ashley Aiello filed suit against her auto carrier Geico General Insurance Company.  She alleged that she was hurt when an unidentified driver struck her car and fled the scene.She said that she filed an uninsured motorist claim with Geico.  She filed suit when as she alleged Geico refused to pay her UM benefits.  Aiello’s suit included causes of action for breach of contract and bad faith.In Aiello v. Geico Gen. Ins. Co., No. 2:19-cv-00610-APG-VCF, 2019 U.S. Dist. LEXIS 84191 (D. Nev. … [Read more...]

Where An Insurance Company Breaches Its Duty To Defend, It Can Be Liable For An Excess Verdict Even If The Company Did Not Act In Bad Faith

Ryan Pretner suffered critical injuries when he was hit by a truck driven by Michael Vasquez.  Mr. Vasquez’s truck was covered by two auto policies, his personal policy, and his business auto policy.  His personal insurance with Progressive had a limit of $100,000 per person.  His commercial auto policy with Century Surety Company had a $1,000,000 limit.Century Surety conducted an investigation and determined that Mr. Vasquez was not in the course and scope of his business as an auto … [Read more...]

Nevada’s Absolute Liability Statute Does Not Create A Third-Party Bad Faith Claim.

We have previously written about Saundra Torres.  She was hurt when she was involved in an auto accident with a vehicle that was insured by Nevada Direct Insurance Company.She filed suit against Nevada Direct’s insureds Perez-Castellano and Mollinedo-Cruz.  For a time, Nevada Direct defended.  But after the insureds failed to cooperate, Nevada Direct withdrew its defense and filed a declaratory relief action.  In the declaratory relief action, Torres refused Nevada Direct’s offer to settle … [Read more...]

Mills to Attend DRI’s Insurance Bad Faith and Extra-Contractual Liability Seminar

DRI will convene its Insurance Bad Faith and Extra-Contractual Liability Seminar at the Hyatt Regency in Boston, MA from May 31 to June 2, 2017. Mike Mills from Bauman Loewe Witt & Maxwell will attend.Presenters are scheduled to address many important and timely topics including:What Works for Policyholders in Bad Faith Cases and Why Maintaining Control When Faced With Third-Party Bad Faith Set-ups and Consent Judgments Ethical Dilemmas Faced by Defense Counsel When the … [Read more...]

A Tale of Two Lawsuits.

It was the best of times for Nevada Direct Insurance Company. It was the worst of times for injured parties Michael and Sharon Smith.You see, the Smiths were hurt in an auto accident with a Nevada Direct policyholder Kuperman. Nevada Direct tried unsuccessfully to enlist Kuperman's cooperation in dealing with the Smiths’ claim. When Kuperman failed to cooperate, Nevada Direct filed a declaratory relief action against Kuperman, the Smiths and another injured party, Ms. Fields claiming the … [Read more...]