Bad Faith and Weather Claims: Concurrent Causation, Ensuing Losses, Extent of Damages, Role of Experts

This CLE webinar will discuss bad faith claims resulting from weather-related losses. The panel will address the unique issues that arise in these types of losses, frequently cited exclusions and other reasons for denying weather-related claims, best practices for finding coverage, and practical guidance for avoiding bad faith.

Weather-related claims carry a heightened risk of bad faith for many reasons. Although the standard for bad faith varies by jurisdiction, what would be reasonable insurer conduct, timelines, investigation, communication, or claim adjustment practices for other types of losses may not be considered reasonable for these claims. Life-changing and life-interrupting losses that cripple people and businesses trigger more intense scrutiny of insurer practices. 

Weather-related losses are complex. Weather events usually involve several different elements that could cause damage. Sometimes experts are needed, but not always, and claiming experts are needed when they are not could be a red flag. Concurrent causation issues often arise, and it may be necessary to prove whether a covered peril independently caused the loss before some excluded peril happened. The extent of damage from a covered peril is often a hotly contested issue. The operation of ensuing loss clauses frequently poses challenges. 

Listen as our esteemed panel considers how bad faith claims can arise from weather-related losses and practical pathways for navigating coverage disputes.