Insurance Expert Witness On Bad Faith Cases – Part 6

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In Negotiating and Settling Insurance Bad Faith Cases , insurance expert witness Guy O. Kornblum of GK Consultants, LLC, writes:

While not an exhaustive list, the following are indicia of bad faith conduct under various standards:
• Failure to investigate a claim thoroughly;

• Failure to evaluate a claim objectively;

• Unduly restrictive interpretation of policy language or claims forms;

• Unjustified delay in payment of a claim;

• Dilatory handling of claims;

• Deceptive practices to avoid payment of a claim;

• Abusive or coercive practices to compel compromise of a claim;

• Unreasonable conduct during litigation;

• Arbitrary and unreasonable demands for proof of loss;

• Absence of a reasonable basis for delay in payment or for the denial of a claim;

• Improper refusal to defend an insured;

• Improper handling of defense of insured, resulting in loss of goodwill; and
• Deliberate misinterpretation of records or the policy to defeat coverage.