Daily Archives: May 11, 2017

Life Insurer on the Hook for Breaching Terminated Contract

Posted in: Breach of Contract, Case Updates, Class Actions, Insurance Litigation Blog, Life Insurance May 11, 2017

Life, health and disability insurers, whether governed by ERISA or state insurance bad faith laws, often do not have your best interests in mind, despite what the law requires of them.  Insurers, like other businesses, are motivated by profits.  Sometimes that drive leads to crossing legal, ethical or moral lines to improve the bottom-line.  That is what occurred in a recent pro-policyholder Ninth Circuit Court of Appeal case, Burnett v. Conseco Life Insurance Company, 2017 WL 1828145 (9th Cir. May 4, 2017) (reversing the district court decision found at 87 F. Supp. 3d 1238 (N.D. Cal. Apr. 9, 2015)).  In that case, applying California state insurance bad faith laws, the Ninth Circuit held a life insurer cannot completely absolve …

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