Insurance 101 – Chapter 11 – Volume 53 – Failure of Bad Faith Claim

 Failure of Bad Faith Claim

In Backwater, Inc. v. Penn-American Insurance Co., 448 F.3d 962 (7th Cir. 05/24/2006) a bad faith claim failed when the insurer produced evidence of attempted insurance fraud. The case began in late December 2001 when “Finke’s,” a nightclub in Highland, Indiana, was vandalized. The damage was extensive, and the club’s owners, William and Ruth Finke (more precisely, their company, Backwater, Inc.), soon filed a claim with the property’s insurer, Penn-American Insurance Company.

The following video was adapted from my book, “Insurance Claims A Comprehensive Guide” Published by the National Underwriter Company and is available at the Zalma Insurance Claims Library

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The author and publisher disclaim any liability, loss, or risk incurred as a consequence, directly or indirectly, of the use and application of any of the contents of this blog. The information provided is not a substitute for the advice of a competent insurance, legal, or other professional. The Information provided at this site should not be relied on as legal advice. Legal advice cannot be given without full consideration of all relevant information relating to an individual situation.

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