Oregon to date has declined to recognize first-party bad faith claims against insurers, and only allowed tort claims against an insurer in limited circumstances where a special relationship existed between insured and insurer. This means that in Oregon, first-party claims against insurers have been limited to contract damages and not allowed the recovery of extra-contractual […]
What is bad faith? In many states, including California, Washington, Arizona, Nevada and Colorado, when your insurance company breaches their contract with you, it could potentially be more than a breach of contract. It could also be a breach of the implied covenant of good faith and fair dealing, which is known as “bad faith.” […]
In the past few years, the California Department of Insurance (“DOI”) has received thousands of complaints related to underinsurance. And it is starting to act.It has found misrepresentations and failure to pay claims against several insurers, as summarized below in their ongoing series of investigations, all titled “Following the Wildfires of 2015 and 2017.” While […]
Underinsurance and issues with insurance companies are worse than ever in 2022. The fire season has already begun, with over 3,000 fires burning over 21,000 acres by mid-June. The 2020 and 2021 fire seasons were the worst on record, and 2022 looks to meet or exceed those expectations.In an attempt to protect homeowners, the California […]
California wildfires and their destruction have grabbed headlines for a decade. But wildfires are not limited to California. As Pacific Northwest residents know all too well, fires have been devastating the north as well. Thousands of Oregon homes are lost to wildfires each year.The 2022 fire season is expected to be the worst on record […]
On May 11, 2022, a wildfire destroyed at least 20 homes in the Laguna Niguel neighborhood of Orange County. Fire season is beginning earlier each year. Meanwhile, the costs to rebuild continue to skyrocket. These costs are rarely reflected in a homeowner’s insurance coverage, which means that every year, hundreds of people in California who […]
How to Manage Your Homeowners Insurance in a Wildfire AreaThe first two months of 2022 were the driest in California’s history. Another very active fire season is expected, and the fire “season” is lengthening each year. The areas that burn are increasing, and parts of the state that do not typically see fires are becoming […]
Farmers Insurance Called to Task on Homeowner Underinsurance ClaimsMost homeowner insurance companies in California have been avoiding responsibility for often massive underinsurance in their customer’s policies, in the wake of wildfires, by saying that it is up to the insured to select policy limits. Underinsurance has been an issue long enough that now some customers […]
What is the Difference Between ERISA and Insurance Bad Faith Litigation?Many people find themselves needing to bring suit against an insurance company. But not all lawsuits against insurers are governed by the same laws. If you obtained benefits through your employer and experience a wrongful denial of those benefits, you can bring suit to obtain the […]
What Courts Say About Underinsurance of Homeowner’s Coverage in CaliforniaInsurance companies take the position that they have no responsibility for the amount of coverage their insureds have in the event of a disaster. That way, they can offer very low premiums to compete in the insurance market. And, if there is a wildfire or other […]
