Judge: No Valid Lack Of Reasonable Basis Argument Made In Bad Faith Suit

Mealey's (September 20, 2016, 12:50 PM EDT) -- PHILADELPHIA — A federal judge in Pennsylvania granted an insurer’s motion to dismiss claims in an insurance bad faith lawsuit on Sept. 15, ruling that an insured failed to show that the insurer lacked a reasonable basis for denying her claim for underinsured motorists (UIM) benefits (Linda Murphy v. State Farm Mutual Automobile Insurance Co., No. 16-2922, E.D. Pa.; 2016 U.S. Dist. LEXIS 125841).

(Opinion available. Document #07-160926-018Z.)

Linda Murphy was involved in an automobile accident with a UIM and sued the driver, who offered $46,635...
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