Bad Faith Blog

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: R & G sued American Family for breach of contract and statutory bad faith penalties after sustaining two separate property damage losses that were both denied under the vacancy exclusion and for R & G’s failure to cooperate in the investigations. On appeal the court found the trial court properly denied the insured’s motions for summary judgment, including on the issue of bad faith penalties.

Summary: Insured brought breach of contract and bad faith claim against commercial property insurer for denial of coverage for the cost of labor to replace fixtures stolen from insured’s vacant rental home and the cost of lost monthly rent after the rental home was burglarized. The trial court entered summary judgment in favor of the insured. The appellate court affirmed in part and reversed in part.

Summary: Cincinnati Insurance concluded that it had no duty to defend tenant Moon for a child’s drowning death in a swimming pool while Moon was babysitting the child. The Northern District of Georgia agreed with Cincinnati and the 11th Circuit Court of Appeals affirmed.