Insurance – Bad Faith, Claims Handling

Burglarized business sues insurer for bad faith. $542K. Los Angeles County.

Insurer won't pay when its insured says eyewear was stolen in a burglary.

  • Case Name: AGA & Titan Inc. v. United Specialty Insurance Company
  • Date of Verdict or Judgment: Tuesday, June 07, 2022

RV insurance claim denied after fire. $8.4M. Riverside County.

Property insurer's fire investigator changes his initial report after second inspection of RV; insurer then denies claim.

  • Case Name: Octavio Lopez v. National General Assurance Company
  • Date of Verdict or Judgment: Monday, November 25, 2019

Fire insurer refuses to pay after fire destroys leased building. $7.8M. Monterey County.

Sentry Select Insurance says auto dealer did not have an insurable interest in its leased premises.

  • Case Name: Borjon Auto Center King City, Inc. v. Sentry Select Insurance Company
  • Date of Verdict or Judgment: Thursday, July 11, 2019

Bad-faith claim against title insurer for denial of coverage for "lack of legal access" to home. $1.5M. Riverside County.

Couple builds home but later finds out they have no legal access to utilities or public road.

  • Case Name: Keith Jones and Patricia Jones v. Commonwealth Land Title Insurance Company
  • Date of Verdict or Judgment: Monday, June 24, 2019

Renters suffer mold damage; insurer mishandles claim. $100K. San Diego County.

Liberty Mutual denies claim, says damage was not caused by a specified peril.

  • Case Name: Berg v. Liberty Mutual Insurance Co.
  • Date of Verdict or Judgment: Thursday, February 28, 2019

Plaintiff with catastrophic injuries says $15K policy limit demand not properly accepted, policy is open. Defense. Riverside County.

Affirmative defense on insurer's settlement offer nets plaintiff with catastrophic injuries just $15,000 policy limits.  Plaintiff claimed that defendant insurer had "opened up" its policy.

  • Case Name: Carachure v. Scott
  • Date of Verdict or Judgment: Thursday, August 30, 2018

HMO provider group of physicians does not provide timely hand surgery. $7.2M. Los Angeles County.

Following a bad hand injury, plaintiff receives referral after referral through his HMO, but no timely surgery.

 

 

  • Case Name: Terry J. LaRue v. Health Net of California, Inc.; Accountable Health Care IPA, A Professional Medical Corporation; Roe physician, and Does 1 through 100, inclusive
  • Date of Verdict or Judgment: Thursday, May 04, 2017

Insurance company adds to family's woes after extensive water damage; bad faith. $1.3 million. Los Angeles County.

Burglars said to leave the tub running and water severely damages the house.

  • Case Name: Steven Lopez v. IDS Ameriprise
  • Date of Verdict or Judgment: Thursday, March 23, 2017

Insurer lowballs repair payments on damaged restaurant building. $10.5 million for bad faith + punitives. Stanislaus County.

Snow storm collapses roof of building; insurer won't pay estimate to repair, says estimate includes code upgrades that it's not responsible for.

  • Case Name: NKD Diversified Enterprises, Inc. v. AMCO Insurance Company
  • Date of Verdict or Judgment: Wednesday, March 02, 2016

Defense verdict in UIM bad-faith claim against Mid-Century. Napa County.

Plaintiff injured in auto accidcent says her insurer should have paid UIM claim earlier, lost her medical records.

  • Case Name: Brenda D. Woods & Carlos Rodriguez v. Mid-Century Insurance Company
  • Date of Verdict or Judgment: Tuesday, November 03, 2015

Med-mal case against Kaiser goes to trial when arbitration clause is beaten. $28 million gross. Los Angeles County.

Teen loses leg to aggressive cancer when Kaiser delays MRI.  Kaiser Foundation Health Plan is sued for insurance bad faith, but after summary judgment for defense, complaint is amended to include medical negligence against Kaiser's physician group. Plaintiff defeats Kaiser arbitration clause and a second summary judgment motion, and case goes to a jury. 

  • Case Name: Anna Rahm v. Southern California Permanente Medical Group
  • Date of Verdict or Judgment: Wednesday, March 25, 2015

$300,00 for emotional damages in bad-faith UIM claim. Los Angeles County.

Plaintiff asks his insurer for UIM damages, but insurer delays for eight months then settles underlying matter for $140,000; insured retains bad-faith rights. 

  • Case Name: Michael Federici v. Ameriprise Financial Inc., IDS Property Casualty Insurance Company, et al.
  • Date of Verdict or Judgment: Friday, October 31, 2014

Insurer refuses to pay $139K business burglary claim; $2.5 million verdict. Fresno County.

Insurer denies payment of claim for burglary of expensive equipment at bar/restaurant.

  • Case Name: Fresno Rock Taco, Zone Sports Center v. National Surety Corporation
  • Date of Verdict or Judgment: Friday, August 22, 2014

Plaintiff fails to beat carrier's 998 offer in breach of contract and bad-faith claim. $78,689. San Francisco County.

Carrier offered $100K under CCP 998 to settle a breach of contract and bad-faith claim for alleged failure and delay in paying benefits, but the jury awarded less. The claim arose out of a fire at a commerical business.

  • Case Name: Ibrahim Mohammed, et al. v. Leading Insurance Services
  • Date of Verdict or Judgment: Tuesday, August 05, 2014

Bad-faith against GEICO for handling of property damage auto claim. $326,000. Los Angeles County.

GEICO denies property damage claim from low-impact collision, later says it relied on a third-party, no harm no foul. 

  • Case Name: Panorea White et al. v. GEICO Indemnity Company
  • Date of Verdict or Judgment: Monday, March 17, 2014

Defense verdict in insurance bad-faith case. San Mateo County.

Plaintiff claimed that defendant breached the contract of insurance and breached the covenant of good faith and fair dealing by failing to pay the amounts due under the policy of insurance arising from storm damage to his home.
  • Case Name: Julio Avina v. Pacific Specialty Insurance Company Inc.
  • Date of Verdict or Judgment: Tuesday, October 01, 2013