N.J. Appeals Panel Permits Questions Over Insured's Knowledge Of Settlement Offers

TRENTON, N.J. - In pursuing a bad faith claim against an insurer, a claimant "implicitly waived" any privilege in communications regarding her knowledge of settlement offers and demands, a New Jersey appeals panel ruled Aug. 26, holding that the insurer has a "need" to discover this information to defend itself against the bad faith claim (V.K., et al. v. New Jersey Manufacturers Insurance Co., No. A-4681-11T4 and A-4682-11T4, N.J. Super., App. Div.; 2013 N.J. Super. Unpub. LEXIS 2111).

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