In Scobee v. USAA Casualty Insurance Co., 168 F.4th 507 (8th Cir. 2026), the United States Court of Appeals for the Eighth Circuit issued a split decision on whether a rational factfinder would find an insurer’s conduct outrageous and in …
One of the most settled—but frequently litigated—principles in insurance law is that bad‑faith liability is derivative of coverage. In general, an insurer cannot be liable for bad faith where it did not owe coverage or benefits under the policy in …
No Coverage, No Bad Faith: Majority of States Enforce the Threshold Requirement Read more »
In the insurance industry, insurers often maintain split files for complex liability claims as an administrative control that enables their defense of an insured(s) while simultaneously investigating coverage issues. While some insurers maintain split files for all claims, others may …
One Claim, Two Lenses: Legal and Practical Implications of Splitting The Claim File Read more »
As part of Florida’s March 2023 tort and insurance reforms, the Florida legislature introduced a safe harbor for carriers to avoid bad faith liability in claims involving multiple third party claimants. The provision appears in Fla. Stat. 624.155(6) and states …
The Indiana Supreme Court’s decision in Baldwin v. Standard Fire Ins. Co., 269 N.E.3d 1197 (Ind. 2025) provides clarity for insurers confronted with competing claims that exceed policy limits. In a matter of first impression, the Court held that declining …
Indiana Recognizes Interpleader as a Bad‑Faith Safe Harbor Read more »
Insurance law is, at its core, a law of relationships. Whether land-based or maritime, every policy rests on an expectation of honesty, transparency, and fairness. Yet the way the law defines good faith—and the consequences for bad faith—differs markedly depending …
From Dock to Doorstep: Exploring Good and Bad Faith Across Land and Sea Read more »
In the recent decision of Martinez v. GEICO Casualty Insurance Company, 2025 WL 2699231 (11th Cir. Sept. 23, 2025), the U.S. Court of Appeals for the Eleventh Circuit affirmed the district court’s order granting summary judgment for GEICO Casualty Insurance …
11th Circuit Rules GEICO did Not Act in Bad Faith in Handling Auto Accident Claim Read more »
As industries across the board adopt artificial intelligence (AI), insurers have likewise recognized its potential to enhance efficiency in claims administration. Yet with this opportunity comes tension: consumers expect both swift resolution of claims and individualized attention. AI can help …
When Algorithms Deny: AI and the New Frontier of Bad Faith Read more »
In In Re State Farm Automobile Insurance Co. and Lindsey Nicole Dessart, 712 S.W.3d 53 (Tex. 2025), the Texas Supreme Court clarified the proper procedure for litigating bad faith claims related to uninsured/underinsured motorist (UM/UIM) coverage. About The Author
In Universal Property & Casualty Insurance Co. v. Naze, No. 4D2024-0098 (Fla. 4th DCA June 4, 2025), the Fourth District Court of Appeal reversed a jury verdict in favor of the insured, holding that the trial court improperly admitted irrelevant …