Bad Faith Blog
November 20, 2013
Missouri Court of Appeals Recognizes an Excess Insurer’s Claim of Equitable Subrogation to Recover for a Primary Insurer’s Bad Faith Failure to Settle
In Scottsdale Ins. Co., et al. v. Addison Ins. Co., et al., No. WD75963 (Mo.App.W.D. Oct. 1, 2013), a “case of first impression,” the Missouri Court of Appeals both redefined the elements of a third-party bad faith failure to settle claim and recognized for the first time an excess carrier’s right to pursue a primary carrier under a theory of equitable subrogation to recover for a primary insurer’s bad faith failure to settle.