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Outcome: Undisclosed Settlement
Our clients bought homeowners insurance from a large national insurance company. Our clients’ home burned. In the fire, some family members sustained injuries from smoke inhalation. One of the family pets died. This family lost nearly everything it owned in the fire. When the family reported the claim to its insurance company, it was told that their coverage had lapsed. Insurance companies are required to send a notice before cancelling a homeowner’s policy. Our clients had not received any such notice. We filed suit alleging, among other things, that the insurance company’s denial of this claim was unfair and constituted insurance bad faith.