Third Party Claimant has no Right to Tort Damages for Bad Faith by Other Party’s Insurer


Read the full article at https://youtu.be/wf_si02jebc, see the full video at https://rumble.com/vf6z1v-a-video-explaining-why-there-is-no-tort-remedy-for-non-insurance-bad-faith.html?mref=6zof&mrefc=2 and at https://youtu.be/wf_si02jebc and at https://zalma.com/blog plus more than 3650 posts. 


The Supreme Court of California was faced with the question of “whether an insurance company’s breach of the covenant sounds in tort when it retroactively overcharges a premium it knows is not owed.”


In Jonathan Neil & Associates v. Jones, a dispute between Jones Trucking and Jonathan Neil & Associates arose after an audit of the Joneses’ operations found the trucking company was subcontracting business to other trucking companies. A rule governing the state’s assigned risk plan called for Jones Trucking to pay for the subcontractors’ insurance. Cal-Eagle, the insurer, sought to retroactively collect increased premiums from the Joneses, and brought in Jonathan Neil & Associates, a collection agency.