A couple of weeks ago I wrote a blog post describing how policyholders are unable to enforce insurance adjuster breaches in good faith for actions such as failing to acknowledge communications or failing to affirm or deny coverage within a reasonable time after a proof of loss.1 The post articulated that such enforcement ability resides solely with the insurance commissioner, pursuant to T.C.A. § 56-8-101(c).2 This restriction is quite vexing when policyholders call me asking for help after insurance adjusters behave badly, but I am unable to help them directly address their poor treatment. Continue Reading Tennessee Bad Faith Claims: Is a Statutory Good Faith Breach Available for Tennessee Policyholders – Part II
Insurance carriers have a duty to act in good faith and not engage in unfair claims practices. The Tennessee legislature has promulgated this duty in T.C.A. § 56-8-105, which outlines 15 specific actions that constituted unfair claim practices that signify bad faith behavior.1 Such unfair claim practices include: (1) knowingly misrepresenting relevant facts or policy provisions relating to coverages at issue; (2) failing to acknowledge with reasonable promptness pertinent communications with respect to claims arising under its policies; (3) failing to adopt and implement reasonable standards for the prompt investigation and settlement of claims arising under its policies; and (4) failing to affirm or deny coverage of claims within a reasonable time after proof of loss statements have been completed.2 When a violation of this statue occurs, what can an insured do? Continue Reading Tennessee Bad Faith Claims: Is a Statutory Good Faith Breach Available For Tennessee Policyholders?
This blog follows a previous blog post, Tennessee Bad Faith Claims: Is a Statutory Good Faith Breach Available for Tennessee Policyholders – Part II. This post is to conclude the series dated May 25, 2021, and June 8th, 2021. Continue Reading Is a Statutory Good Faith Breach Available for Tennessee Policyholders – Part III