Bad Faith Blog

Summary: Bruhn Farms Joint Venture (“Bruhn”) suffered significant hail damage to crops. Bruhn notified the insurer of the hail damage. After a month of no action, Bruhn requested and received approval to harvest the crops. By the time insurer sent adjusters to the farm, additional inclement weather had occurred. The adjusters, after spending minimal amount of time in the fields, determined the payable loss and notified Bruhn. Bruhn disagreed with the adjusted loss and refused to sign the proof of loss. The insurer sent payment for the loss without further discussion with Bruhn. Bruhn contacted his insurance agent to negotiate with the insurer. Allegedly both parties agreed to re-calculate the loss using the historical yields. The insurer notified Bruhn’s agent it was willing to pay additional funds on Bruhn’s claim. However, when Bruhn’s agent attempted to accept, the insurer alleged the claim was properly adjusted and paid.

Summary: Insured’s judgment creditors brought action against liability insurer to recover for unfair insurance settlement practices in connection with claim for damage to plants from salt water drawn from well drilled by insured. The trial court, after a six-day bench trial, entered judgment in favor of creditors and awarded attorney fees and expenses. Parties filed cross appeals and Appeals Court affirmed in part, reversed in part, and remanded.

Summary: Landy Insurance Agency is a broker selling insurance to real estate professionals. Landy purchased a professional liability insurance policy from Utica Mutual Insurance Company.

Summary: Gary Coker was injured in a car accident after a vehicle driven by Donald Woodall crossed the center line and hit Coker head-on. Coker was driving a vehicle owned by his employer, Ansco & Associates. After filing suit against Woodall, Coker obtained a $5.5 million consent judgment. However, Woodall’s automotive insurance policy provided limits of only $25,000. Under Georgia law, which controlled in this case, Woodall qualified as an underinsured motorist due to his low policy limits.

Summary: A.M. Best and Best’s Recommended Insurance Attorneys and Adjusters has released the latest installment of the Insurance Law Podcast, a series that examines timely insurance issues from an attorney’s point of view.