THE RAINMAKER REVISITED: PUNITIVE AND AGGRAVATED DAMAGES IN THE REAL WORLD OF DISABILITY INSURANCE
AbstractIn the recent case of Whiten v. Pilot Insurance Co., punitive damages for bad faith against a first-party insurer were awarded in an amount far exceeding "traditional" levels. At the same time the law of aggravated damages, as applied to disability insurers, may be changing in a way that allows for the imposition of such damages even where the insurer has acted reasonably and in good faith. This paper examines, from the point of view of the disability insurer, the developing law of punitive and aggravated damages.
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