Genuine Coverage Dispute Exists In Foundation Damage Suit; Bad Faith Claim Fails

Mealey's (April 27, 2023, 12:54 PM EDT) -- SACRAMENTO, Calif. — A bad faith claim alleged against a homeowners insurer in a dispute over coverage for the shifting of the foundation of the insureds’ home cannot proceed because there is a genuine dispute over whether coverage is afforded under the policy and the insurer met its burden of showing that it acted in good faith in handling the insureds’ claim, a California federal judge said....