Defendant's Attorney: Ann Arbor, Michigan insurance defense lawyer represented the Defendant.

Description: Ann Arbor, Michigan insurance law lawyer represented the Plaintiff who sued the Defendants on bad faith breach of insurance contract theories.

The Michigan Insurance Policyholder Bill of Rights provides:

Sec. 500.3074. (1) An insurer shall exercise good faith and fair dealing in the investigation, adjustment, evaluation, and payment of a claim to which this chapter applies.

(2) An insurer shall not do any of the following:

(a) Delay payment of a claim, deny payment of a claim, or fail to pay a claim, unless there is a reasonable basis for and support in a provision of the policy for the action.

(b) After a civil action has been filed regarding the action, change the factual or legal basis for the action unless the change is based on newly discovered evidence after the action was filed.

(c) Abuse its relationship with an insured or use an economic advantage that puts the insurer in a position of actual or apparent authority over the insured or gives the insurer power to affect the insured's interests.

(3) An insurer shall give at least equal consideration to the interests of the policyholder and claimant as it does to its own interests in all aspects of investigating, adjusting, evaluating, and paying a claim.

(4) An insurer shall establish and maintain reasonable written standards for the prompt investigation, adjustment, evaluation, and payment of claims.

(5) An insurer shall investigate and evaluate a claim and the materials and evidence related to the claim in an objective manner.

(6) An insurer shall give all reasonable benefit of the doubt to the claimant in the investigation and evaluation of a claim.

(7) An ambiguity in an insurance contract or policy must be construed in favor of the insured.

Outcome: Settled for an undisclosed sum and dismissed with prejudice.

Plaintiff's Experts:

Defendant's Experts:

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