Belated Decision To Allocate Costs Between Policies May Be Bad Faith, Judge Says

Belated Decision To Allocate Costs Between Policies May Be Bad Faith, Judge Says

PITTSBURGH - A Pennsylvania federal judge on July 12 held that even though it was not bad faith for insurers to evenly split underlying defense costs between their insured's two applicable policies, a genuine issue of fact exists as to whether the insurers' delay in allocating might constitute bad faith (National Fire Insurance Company of Hartford, et al. v. Robinson Fans Holdings Inc., et al., No. 2:10-cv-01054, W.D. Pa.; 2013 U.S. Dist. LEXIS 97226).

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