Denial Of Benefits Not In Bad Faith In Insurance Dispute, Judge Rules
(November 3, 2016, 9:20 AM EDT) -- NEW HAVEN, Conn. — A federal judge in Connecticut on Oct. 25 ruled that insureds failed to state a claim for breach of the implied covenant of good faith and fair dealing against their homeowners insurance provider because the insurer’s denial of benefits and threat to cancel their policy fail to “demonstrate the requisite bad faith” (Lynne Liston-Smith, et al. v. CSAA Fire & Casualty Insurance Co., No. 16-0510, D. Conn.; 2016 U.S. Dist. LEXIS 147165).