Roberts Levin Rosenberg Attorneys Blog

Time Insurance Company, which does business under the name Assurant Health, was recently blasted with what is one of the largest verdicts in Colorado history involving insurance bad faith. Jurors handed down a $37 million verdict against the company after a more than week-long trial in Boulder County District Court that began January 19, 2010. The plaintiff in the case accused the insurer of wrongfully rescinding her individual policy after she submitted claims for medical treatment she received following a serious car accident. Assurant, on the other hand, claimed that the plaintiff had misrepresented her health history in the application process and that if the true facts had been known, the company would not have issued the medical coverage to the plaintiff in the first place. This case, while unusual in the size of the verdict, is representative of the situations that many people face after trying to complete an application for life, health, or disability insurance that is confusing or impossibly broad.

Labels: disability insurance, recinding health insurance policy, Rescission