Insurance Bad Faith Articles

Auto Accident Insurance Claims

Because auto accidents typically involve insurance claims it may be in your best interest to consult an attorney if you have been in a car accident.

Insurance Bad Faith

Insurance law is designed to hold insurance companies to the terms of the contracts they share with holders. Unfortunately, valid claims are still denied. Speak to an insurance bad faith attorney if you believe a legitimate claim was denied by your insurance company.

Insurance Law Litigation

Have you submitted what you thought was a valid claim to your insurance company and received a denial-of-coverage letter? If you have, you should contact an insurance law attorney as soon as possible. You may have a case against your insurance company.

Truck Accident Insurance Claims

Due to the range of insurance claim issues involved in truck accidents, it is always a good idea for accident victims to meet with a personal injury attorney for legal advice.

Motorcycle Accident Insurance Claims

Motorcycle riders need to file an insurance claim if they are involved in an accident; A lawyer can help those involved in accidents obtain damages.

Insurance Claim Denied Due to Racism, Lawsuit Says

An Oregon woman has filed a lawsuit claiming that an insurance company refused to pay for her gallbladder surgery because she is Hispanic.

Insurance Company Hit with Multimillion-Dollar Verdict

A Los Angeles County judge has ordered one of California's largest health insurers to pay $9 million to a woman whose health policy was cancelled while she was undergoing treatment for cancer.

Parents Fight HMO over Infant’s Care

On Friday Sept. 21, the parents of a severely premature baby tried to have Kaiser Permanente move their son to another San Diego hospital in hopes of ensuring his survival.

Medicaid HMO Faces Multi Million Dollar Fine

A managed health care company in Georgia was hit with a $3.7 million fine last week for failing to meet contractual obligations and provide timely authorizations for critical services.

Allstate Agrees to Mass Settlement in Katrina Lawsuit

A group of Mississippi policyholders found out on Monday that they will receive a mass settlement from Allstate Insurance after they sued Allstate for damage done to their homes during hurricane Katrina.

Recusal Sought for Judge Presiding Over Katrina Lawsuit

State Farm Fire and Casualty Co. filed a motion on Thursday requesting the recusal of U.S. district court judge L.T. Senter Jr. on the grounds that two of the potential litigants are court colleagues.

Katrina Insurance Lawsuit Withdrawn During Federal Court Trial

A Louisiana couple suing Allstate Indemnity Co. in a Katrina insurance dispute dropped their suit on Thursday before closing arguments could be heard by the jury.

Preliminary Settlement Could Mean Millions for Wireless Customers

A preliminary settlement was reached on Friday in a class action lawsuit against cell phone insurers. The settlement, if approved by the judge, will mean millions of dollars for wireless customers.

Multimillion Dollar Punitive Award Reduced by Federal Judge in Katrina Lawsuit

On Wednesday, a federal judge reduced a jury’s $2.5 million award in punitive damages to a Biloxi couple after their Katrina claim was denied by State Farm Fire and Casualty Co.

State Farm Settles Out of Court Days Before Trial

State Farm Fire & Casualty Company settled out of court with a Mississippi policyholder on Friday, avoiding a pending trial set to begin today. The Long Beach resident filed a suit against the company after his Katrina claim was denied.

Attorneys Renew Request for Katrina Class-Action Suit

After State Farm employees admitted they could not distinguish Hurricane Katrina winds from water damage, attorneys renewed their request on Wednesday for a class-action lawsuit in U.S. District Court.

State Farm Battered by Storm of Litigation

As State Farm defends its denial of a Mississippi couple's claim for the Hurricane Katrina–caused destruction of their home, the insurer is also negotiating a multimillion dollar settlement to cover thousands of other lawsuits.

Two Insurance Agents Issued Cease and Desist Orders in Louisiana

The Louisiana Department of Insurance has issued cease and desist orders to a Louisiana insurance agent and a Texas insurance agent for allegedly engaging in fraudulent practices.

Katrina Flood Damage Lawsuit Gets Federal Judge's Nod to Proceed

NEW ORLEANS – U.S. District Court Judge Stanwood Duval Jr. ruled Nov. 27 that a lawsuit seeking compensation from insurers for damages caused by Hurricane Katrina's flooding can proceed because of ambiguous policy language.

Federal Judge Rules Couple Can Sue Insurance Agent for Negligence

GULFPORT, Mississippi – U.S. District Court Judge L.T. Senter Jr. ruled Nov. 13 that an Ocean Springs couple's negligence suit can proceed against their insurance agent for allowing their flood insurance policy to lapse.

Mississippi Asks for Suspension of Suit against Katrina Whistleblower Sisters

Mississippi State officials are asking a judge to drop a lawsuit against two sisters who blew the whistle on a State Farm Insurance manager for allegedly attempting to alter records in order to deny policyholders' claims.

San Diego Firm Wins $22.4 Million Judgment for Fresno Schools

San Diego law firm Lucas & Haverkamp has won a $22.4 million judgment for the Fresno Unified School District from Coregis Insurance Co. for its denial of a discrimination claim.

HMO Sued For Inadequate Coverage of Anorexia Treatment

On Wednesday a New Jersey couple filed suit against Hartford, Connecticut-based Aetna Inc., accusing the HMO of refusing to fully cover their daughter’s inpatient anorexia treatments.

Georgia Insurance Commissioner Fines Blue Cross and Blue Shield $600,000

Georgia Insurance Commissioner John Oxendine has levied a $600,000 fine against Blue Cross and Blue Shield for state insurance code violations that include the company's refusal to offer insurance price quotes to some small businesses.

Baton Rouge Law Firm Sues Insurer for Katrina Recess

The Baton Rouge, Louisiana, law firm of Kean Miller Hawthorne D'Armond McCowan and Jarman LLP is suing its insurance company for the alleged loss of a single day's income when Hurricane Katrina battered the state.

State Report Alleges Illegal Spending by Title Insurance Firms

Washington State Insurance Commissioner Mike Kreidler released a report Oct. 16 that alleges widespread violations of spending limits by title insurance companies seeking to curry favor with builders, lenders, and real estate agents.

Florida Insurer Ordered to Take Back Customers

Citizens Insurance was ordered Oct. 11 by Florida's Office of Insurance Regulation to sell residential property insurance to as many as 100,000 customers previously handed off by Citizens to smaller insurers that charged higher rates.

Katrina Insurers to Be Investigated

President Bush signed a bill Oct. 4 directing the inspector general's office of the Department of Homeland Security to look into insurers' handling of Hurricane Katrina claims related to flooding and wind damage.

Supreme Court to Hear Insurers' Appeals of Credit Report Decision

The U.S. Supreme Court agreed October 2 to hear cases brought by insurers Geico and Safeco Corporation over their responsibility to notify consumers about using adverse information contained in credit reports to increase rates.

AIG to Refund Millions to Florida Policyholders

Florida Insurance Commissioner Kevin McCarty has issued a consent order requiring AIG Insurance Company to refund or credit approximately $14.6 million to policyholders in Florida for rates deemed unfair by the Office of Insurance Regulation.

Insurance Company Files Appeal Disputing Line-of-Duty Death of Firefighter

A Puyallup, Washington, firefighter died June 1, succumbing to a form of cancer the state recognizes as a job-related disease for firefighters. The city’s insurance company is seeking to appeal the claim.

Blue Cross Blue Shield to Pay $10,000 Fine

Health insurer Blue Cross Blue Shield of Delaware has admitted to not meeting legally mandated response times to 25 inquiries from the state's Department of Insurance and will pay a $10,000 fine.

Blue Cross Mobilizing to Address Accusations of Illegal Policy Cancellations

Fighting allegations that it illegally dumped sick policyholders to avoid paying claims, Blue Cross of California announced Tuesday that it is changing some of its methods for canceling individual health insurance policies.

Two California Insurers Bow to New Regulations

In response to new regulations written and implemented by Insurance Commissioner John Garamendi, insurers Safeco and 21st Century plan significant rate reductions for California consumers.

Insurer's Service Fees Ruled Illegal

A San Diego County Superior Court judge ruled Tuesday that the Farmers Insurance Group illegally charged additional fees for policies paid on installment and ordered the insurer to refund more than $115 million to customers.

Louisiana Supreme Court Confirms Lower Court's Insurance Ruling

On Friday, the Louisiana Supreme Court confirmed a ruling by a district court judge that two laws allowing policyholders an additional year to file claims against their insurers for hurricane-related damages are constitutional.

Louisiana Judge Confirms Constitutionality of New Insurance Laws

Two new Louisiana laws allowing insurance policyholders an additional year to file claims for damages caused by hurricanes Rita and Katrina were ruled constitutional by Baton Rouge District Court Judge Kay Bates on August 23.

Judge Denies Katrina Flood Claim

U.S. District Court Judge L.T. Senter agreed August 15 with Nationwide Mutual Insurance that a Mississippi couple's homeowner's policy did not cover damages caused when a Hurricane Katrina–driven storm surge flooded their home.

Judge Stymies California Auto Insurers

Sacramento Superior Court Judge Loren McMaster ruled August 10 against an insurance industry attempt to block new rules that will force insurers to abandon their use of policyholders’ zip codes as their primary criteria for determining auto insurance rates.

California Insurer Complies with New Insurance Directives, Others Balk

Insurance company USAA announced August 8 that it would adjust its rate structure to fall in line with new California Insurance Department regulations despite a planned insurance industry stand against them in state court.

Louisiana Insurance Commissioner Wants Meeting with Allstate CEO

Concerns about Allstate Insurance Company's plan to cancel wind and hail coverage for 30,000 people in 18 parishes have prompted Louisiana Commissioner of Insurance Jim Donelon to request a meeting with Allstate CEO Edward Liddy.

Insurers Stall Payment of Abuse Claims

SPRINGFIELD, Mass. – The eight insurance carriers of the Springfield Diocese have blocked the settlement of 36 pending claims for sexual abuse by priests on the grounds that the insurers need to depose the alleged victims to verify their credibility.

Experts Testify on Violence of Katrina's Winds

Gulfport, Miss. – Structural engineer Peter de la Mora and meteorologist Rocco Calachi testified July 12 about the effect and intensity of Hurricane Katrina's winds in lawsuit proceedings against Columbus, Ohio–based Nationwide Mutual Insurance Co.

Katrina-Suit Witnesses Testify That Agent Misled Them

Gulfport, Miss.– Policyholders testified July 11 in a lawsuit against Nationwide Mutual Insurance Co. that agent Jay Fletcher told them they were covered for flooding or did not need flood insurance prior to Hurricane Katrina's devastation.

First Katrina Insurance Lawsuit Begins

Gulfport, Miss. – Opening statements were made July 10 by attorneys for a Pascagoula, Miss., couple and Nationwide Mutual Insurance Co. in a lawsuit that disputes the insurer's denial of the couple's claim for Hurricane Katrina–caused damages to their home.

Proposed Class Action Suit Targets Medicaid Citizenship Law

A proposed class-action suit filed in Chicago's U.S. District Court challenges a new law that requires new Medicaid applicants and current beneficiaries to prove citizenship with a birth certificate or other form of identification.

WTC Developer and Port Authority Sue Insurers

Developer David Silverstein and the Port Authority of New York and New Jersey have sued insurers for alleged foot dragging in paying more than $3.5 billion in claims related to the destruction of the World Trade Center.

Nationwide Insurance Hit with Class Action Suit

A class action suit has been filed against Columbus, Ohio–based Nationwide Insurance alleging the insurer fraudulently charged customers more than the guaranteed annual premiums specified in their policies.

Judge Dismisses Racketeering Lawsuit against HMOs

A class-action lawsuit against UnitedHealth Group Inc. and Coventry Health Care was dismissed in court on Monday.

Patient Files Suit against Kaiser

A man is suing Kaiser Permanente for insurance bad faith and breach of contract after he was unable to arrange a kidney transplant.

Calif. insurance commissioner accuses companies of price gouging

In the latest of an ongoing battle, California Insurance Commissioner John Garamendi on May 25 said that homeowner and auto insurance companies have gouged consumers with unconscionably low payouts on claims.

Insurer Ace Ltd. settles bid-rigging suit for $80 million

Bermuda holding company Ace Ltd. and its U.S. insurance subsidiaries agreed April 26 to pay $80 million to settle a bid-rigging suit brought by the Attorneys General from New York, Illinois, and Connecticut.

Class action status granted in suit against Farmers Insurance Co.

A suit brought by plaintiffs against the Farmers Insurance Companies alleging unfair use of consumer report information has been granted class action status by U.S. District Judge Stephen P. Friot of the Western District of Oklahoma.

Would-be Katrina judge sues insurer for claim denial

U.S. District Court Judge Louis Guirola and his wife filed suit on April 19 against Columbus, Ohio--based Nationwide Mutual Insurance Co. for the company's refusal to cover damages caused by Hurricane Katrina to the couple's Long Beach, Miss. home.

The Hartford Insurance Group accused of charging illegal fees

California Insurance Commissioner John Garamendi announced that the state has initiated legal proceedings against The Hartford Insurance Group for charging illegal fees to thousands of personal and commercial insurance policyholders.

Woman awarded $5.6 million in bad faith case

A Superior Court jury in DeKalb County, Ga. awarded an 86-year-old woman $5.6 million, ruling that the woman's insurance provider acted in bad faith.

Louisiana bill extends time to file lawsuits against insurance providers

If passed, a bill in Louisiana will allow consumers up to two years to sue insurance providers following a disaster declared by the governor. This would extend the old statute of limitations by one year.

Insurance fraud victim comes forward

Last month, former Sioux Falls, South Dakota insurance agent Ryan Wingler was sent to prison for scamming an estimated $350,000 from elderly clients. A new victim of the scam has recently stepped forward.

Blue Cross insurance practices to be probed

Insurance regulators in California are investigating whether or not Blue Cross attempted to increase profits by retroactively canceling insurance policies for patients undergoing expensive medical treatment.

Ten plaintiffs sue Blue Cross of California

On Monday, 10 former members of Blue Cross filed suit against California's largest health insurance provider stating that the insurer illegally, systematically and retroactively canceled insurance coverage for those who required expensive health care.

Woman awarded $1.5 million in insurance case

On Monday, a jury in Marion County awarded a woman more than $1.5 million in an insurance lawsuit after her insurance provider wrongfully terminated her disability insurance benefits.

Insurance company considers dog owner a high risk

A Massachusetts woman is fighting mad after her insurance company canceled the insurance policy on her Bridgewater home because she owns Siberian huskies.

Whistleblower helps build case against insurance provider in Hurricane Katrina case

Attorney Richard "Dickie" Scruggs said that a whistleblower has helped him build a case against insurance companies that denied claims from policyholders who lost their homes during Hurricane Katrina.

Former 49er allegedly embezzled millions in insurance premiums

Ray Wersching, former kicker for the San Francisco 49ers, was indicted yesterday by a federal grand jury on charges that he embezzled more than $8 million in insurance premiums.

Houston Texas wide receiver claims he is victim of insurance fraud

Andre Johnson, wide receiver for the Houston Texans, claims an insurance company tricked him into signing up for an estimated $43 million in needless policies.

Consumer group deems Geico's insurance rates unfair

The Consumer Federation of America (CFA) accused Geico Corp. of discriminatory practices for using consumers' occupations and educational backgrounds to determine auto insurance rates.

Zurich American Insurance Co. settles bid-rigging lawsuit

Nine states, including Texas, Virginia and California, reached a nearly $172 million settlement with Zurich American Insurance Co., an insurer that allegedly engaged in price-fixing and bid-rigging in the commercial insurance market.

Spanish-speaking family sues Blue Cross for dropping coverage

A Spanish-speaking family is suing Blue Cross for refusing to cover their medical expenses on a policy the HMO wrote in English.

$20 Million in Punitive Damages Awarded Against Insurance Company

A Pittsburgh jury awarded $20 million in punitive damages on Tuesday against an insurance company that denied a claim for damaged coal mining equipment.

Oklahoma City Woman Files Suit Against American Fidelity

An Oklahoma City resident has filed a lawsuit against American Fidelity Assurance Company. The suit challenges the insurance company's policy of determining "actual charges."

Insurers Sued for Not Covering Homes Flooded by Katrina

Mississippi's top prosecutor is suing insurance companies that won't pay for flood damage to thousands of homes hit during Hurricane Katrina.

U.S. Intervenes in Whistleblower Suit Against HMO

The U.S. attorney's office in Chicago is intervening in a whistleblower lawsuit accusing an Illinois HMO of defrauding the Medicaid health insurance program for the poor.

Illinois Doctors Sue Blue Cross and Blue Shield

Physicians are suing Blue Cross and Blue Shield of Illinois, claiming that the insurance provider owes them over $1 million.

Man Sues Health Net for Failure to Pay Emergency Room Bills

In a case currently under review by the Supreme Court, Robert Cohen is accusing Health Net of fraud, insurance bad faith, and unfair business practices after the company refused to pay his emergency room bills.

Insurer Must Pay $9.9 Million for Denying Coverage

A jury in Los Angeles has ordered Farmers Insurance Exchange to pay $9.9 million to two policyholders who nearly went broke in settling a lawsuit that the insurance company refused to cover.