${site.data.firmName}${SEMFirmNameAlt}

Arizona House votes to allow discrepancies in policy cover sheets

An insurance policy is a contract. It is frequently quite long, printed in small type and full of dense, confusing language. Because insurance agents and insurers have a legal duty to make sure their clients understand the terms of their policy, usually when you sign up for a policy, you also get a cover letter that summarizes your coverage.

If some Arizona lawmakers get their way, insurers will not be obligated to put the truth on that cover sheet. Under a bill that passed the state House recently, the language of the policy itself would be all that counts, according to The Daily Courier.

That would mean that any lies, mistakes or misleading language in the cover sheet would be legally acceptable. It would not matter if an insured person or business relied on the cover sheet when filing a claim. The insurance company would be within its rights to deny the claim without being exposed to accusations of acting in bad faith.

Rep. David Livingston, R-Peoria, sponsored the bill. Though Livingston claims the bill is a consumer protection measure, under questioning by a colleague, he admitted that the “citizens of the state of Arizona” who had asked him to write the bill all came from the insurance industry.

Another potentially troubling aspect of the bill would affect Arizonians who are not fluent in English. If there are any differences between the non-English and English versions of the contract, the English version would win. In a state where many people’s first language is Spanish or a Native American language, this could lead to many insured people not getting the truth about their policies.

Insurance companies use a great deal of resources and influence to minimize their obligation to pay claims. To protect yourself from insurance bad faith, you need an experienced attorney representing you.

No Comments

Leave a comment
Comment Information
Email Us For A Response

How Can We Help?

Bold labels are required.

Contact Information
disclaimer.

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

close

Privacy Policy

Sedona Office
25 Schnebly Hill Road
Sedona, AZ 86336

Toll Free: 800-598-5017
Phone: 623-208-6490
Sedona Law Office Map

San Diego Office
501 W. Broadway
Suite 807
San Diego, CA 92101

San Diego Law Office Map

Review Us
San Diego: 619-354-1652
Toll Free: 800-598-5017
Phoenix: 623-208-6490
Toll Free: 800-598-5017
San Diego: 619-354-1652