Jesse Kalberer and Eileen Mediola were in a car accident. Ms. Mediola’s attorney sent a policy limit demand to Jesse’s auto carrier, American Family. American Family rejected the demand claiming that the injuries were pre-existing and that the medical bills were overstated.American Family warned Jesse of a possible excess verdict. Plaintiff even emailed American Family and asked the company to settle so as to not expose Jesse to an excess verdict.At the same time, Jesse’s defense … [Read more...]
A Reasonable Defense Trumps Bad Faith Even With Multiple Policy Limit Demands And An Excess Verdict
December 11, 2014 by
Nevada Allows Policyholders To Sue Certain Managing General Agents and Third-Party Administrators For Bad Faith
March 18, 2014 by
An agent who acts for a disclosed principal is not liable for commitments made by the agent in the principal’s behalf. See ALI’s Restatement (Second) of Agency § 320 (1958). In the field of insurance, managing general agents, third-party administrators and independent adjusters have regularly shielded themselves from claims of bad faith brought by policyholders’ against the insurance company for which that agent works. But that rule of hornbook law is beginning to erode following insurance … [Read more...]
Investigating Death During A Life Policy’s Contestability Period Is Not Bad Faith
February 25, 2014 by
The story goes that back in the 19th century, some life insurance companies were not fond of paying claims. Apparently, after the insured died, life insurance companies would regularly investigate and if a misstatement was found in the application, would then deny the claims. According to Steven Rothschild of the LIFE Foundation, the various states responded by passing incontestability statutes. Absent outright fraud, or failure to pay premiums, these incontestability statutes limited the … [Read more...]
A Policyholder Cannot Prevail Under NRS 686A.310(f) Unless There Has Been An “Ultimate Recovery”
January 30, 2014 by
Hartford’s policyholder was hurt in two separate accidents, once in 2009 and then again in 2010. She collected policy limit settlements from each tortfeasor. She then turned to Hartford, her UIM carrier. She demanded a policy limit settlement for each accident. When the parties could not agree on the value of either claim, the policyholder sued Hartford for breach of contract, bad faith and violations of Nevada's Unfair Claims Settlement Practices Act. (UCSPA). Mueller v. Prop. and Cas. Ins. … [Read more...]
The Carmack Amendment Preempts State Insurance Law Claims For Bad Faith And Unfair Claims Settlement Practices.
November 13, 2013 by
Mills & Associates’ practice focuses in a limited number of areas. Two practice areas of interests are insurance bad faith law and trucking law. So it is always interesting to find a case that we can blog about that that touches on both areas. This is one of those cases.The Nichols family hired Mayflower Transit, LLC to transport their household good from Sacramento, CA to Henderson, NV. The goods made it over the Nevada state line, but not all the way to the Nichols’ home. A … [Read more...]
