Second-Layer Excess Insurer Owed A Duty Under Policy To Act In Good Faith

(March 18, 2024, 8:28 AM EDT) -- FLINT, Mich. — An insured’s claim for breach of contract based on a second-layer excess insurer’s failure to participate and contribute in the settlement of an underlying wrongful death suit can proceed because the insurer owed a duty under the insurance contract to exercise good faith in negotiating and settling the underlying case and the insured presented sufficient facts in support of its claim, a Michigan federal judge said in denying the insurer’s motion for judgment on the pleadings....