The Liability Insurer's Duty to Settle Uncertain and Mixed Claims
34 Pages Posted: 10 Feb 2016 Last revised: 11 Feb 2016
Date Written: 2016
The liability insurer’s duty to settle in conventional cases is well-established. However, the scope of the duty to settle cases in which coverage is uncertain, and to settle “mixed” claims in which some allegations are clearly covered and others are not, is not well-established. This Article describes the conceptual terrain on which the issues in such cases arise, identifies the advantages and disadvantages of possible approaches, and explains how these advantages and disadvantages interact.
Keywords: liability insurance, duty to settle
JEL Classification: K23
Suggested Citation: Suggested Citation