The Great Jewel Theft
The Homeowners Insurance Policy
The Tiffany Kid
Arson for Profit
The Fraud Trained Adjuster
Barry Zalma, Inc.
One of the Top 50 Insurance Blogs
Note Zalma on Insurance is one of fifty top insurance blogs at https://blog.feedspot.com/insurance_law_blogs/
Zalma on Insurance
- Inadequate Underwriting Allows Insurer to be Sued June 19, 2019
- It’s Time to Train Up the Claims Staff June 18, 2019
- No UM Coverage Because of Failure to Comply with Insurer’s Requests for Information June 18, 2019
- Claims Personnel who are Inadequate or Unprofessional Beg to be Sued for Bad Faith June 17, 2019
- Third Party Settlement Without Knowledge of Insurer is Prejudicial and Defeats Claim June 17, 2019
- Zalma’s Insurance Fraud Letter – June 15, 2019 June 14, 2019
- Every Insurer Needs a Staff of Professional Claims Handlers June 13, 2019
- California Supreme Court Suggests Insurers Invent a New Coverage For Loss of Earnings When Disaster Causes Only Economic Losses June 13, 2019
- Insurance Fraud for Fun and Profit June 12, 2019
- NFIA is not “Insurance” June 12, 2019
- Avoid Bad Faith Suits By Educating Claims Personnel June 11, 2019
- Stranger Originated Life Insurance Void in New Jersey June 11, 2019
- Inadequate or Incompetent Claims Staff Created the Tort of Bad Faith June 10, 2019
- Guilty of Child Pornography Crime Cannot Be a Fortuitous Occurrence June 10, 2019
- Insurers Must Hire, Train & Maintain a Staff of Professional Insurance Claims Personnel June 7, 2019
- Insured Can’t Change Policy Limit to Cover Loss June 7, 2019
- Professional Claims People Assure the Covenant of Good Faith & Fair Dealing Will Be Fulfilled June 6, 2019
- Liar, Liar, Pants on Fire June 6, 2019
- Insurers Must Hire, Train & Maintain a Staff of Professional Insurance Claims Personnel June 5, 2019
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Zalma On Insurance — The BlogAfter more than 50 years acting as a claims person and insurance coverage lawyer I enjoy reading court decisions concerning insurance. The idea of this blog is to find new cases that are interesting to me and then write a summary. Some of the cases reviewed will be important. Some may be of first impression. Others will be totally unimportant. All will be interesting.
DISCLAIMERThis Blog is made available by the lawyer or law firm publisher for educational purposes only as well as to give you general information and a general understanding of the law, not to provide specific legal advice. By using this blog site you understand that there is no attorney client relationship between you and the publisher. The blog should not be used as a substitute for competent legal advice from a licensed professional attorney in your state.
Time to Rescind the Tort of Bad Faith
Insurance is, and always will be, a business of the utmost good faith. All parties to the insurance contract agree, in good faith and fair dealing, to do nothing to deprive the other the benefits of the contract. Insurance is, and always be, nothing more than a contract.
The insurer makes a promise to the insured that if a contingent or unknown loss occurs caused by a peril or risk insured against and not excluded, to pay the insured indemnity as promised by the contract up to the limits provided.
The insured promises to truthfully disclose the risks of loss faced by the insured, property owned by the insured, the business of the insured and/or the insured’s liability exposures. The insured also promises to honestly present a claim, prove the claim, and cooperate with the insurer in its investigation. If the parties to the insurance contract deal with each other fairly and in good faith the policy remains viable, claims are paid promptly and to the satisfaction of the insurer and the insured.
Only if a true tort occurs can the insured waive the contract action and sue in tort. Breach of contract, by centuries old tradition, is not a tort and cannot and should not be considered a tort. The Tort of Bad Faith has served its purpose and is now causing more problems than it solves. It is time the courts and state legislatures rescind the tort and return to common law contract damages.
Read about this and other insurance books by Barry Zalma at http://zalma.com/zalma-books/