An assignment of a bad faith claim transfers the insured's claim against its insurer to the underlying claimant, usually as part of a settlement.

Insurance bad faith is an insurer's unreasonable handling of a claim, which can expose it to damages beyond the policy limits.

This arrangement combines an agreed judgment against the insured with a promise not to collect from it, paired with an assignment of claims against the...

Excess judgment exposure is the risk that a verdict will exceed available policy limits, leaving the insured personally responsible and the insurer facing...

Extracontractual damages are amounts recoverable against an insurer beyond the policy limits, arising from bad faith rather than the contract.

Failure to settle is an insurer's unreasonable rejection of a within-limits settlement opportunity, exposing it to liability for the resulting excess...

First-party bad faith is an insurer's unreasonable handling of its own policyholder's claim for benefits under the policy.

Institutional bad faith alleges that an insurer's policies and practices, rather than an individual adjuster's error, produced unreasonable claim handling.

Punitive exposure in bad faith is the risk of an award punishing an insurer's claim handling, available in jurisdictions treating bad faith as a tort.

A set-up demand is a settlement demand structured with conditions designed to be difficult to satisfy, intended to create a bad faith claim rather than...

The Stowers doctrine holds that an insurer may be liable for the full amount of an excess judgment if it unreasonably rejects a settlement demand within...

Third-party bad faith arises when a liability insurer unreasonably fails to settle a claim within policy limits and its insured is then hit with an excess...

A time-limited demand response is the insurer's documented answer to a settlement demand carrying an expiration date, and its adequacy often determines...

Unfair claims settlement practices acts are state statutes listing prohibited insurer claim handling conduct, such as unreasonable delay and failure to...