May 2009

On April 30, 2009, the Tennessee Court of Appeals issued yet another opinion on the topic of misrepresentations on insurance applications.  The case is Tennessee Farmers Mut. Ins. Co. v. Farrar (view slip opinion here). 

First, it should be noted that T.C.A. 56-7-103 provides that a misrepresentation on an application voids the policy if…

Policyholders all too often underestimate the importance of keeping a diary of the various events that occur during the course of a claim.  Why is it important?  First, it is a simple fact that memories fade with time.  Although claims should be resolved promptly, they often are not.  The process can be complicated with numerous…

According to an April 28, 2009 report by the National Association of Insurance Commissioners ("NAIC"), the top ten reasons consumers complain about their insurance coverage are as follows:

  1. Claim Handling – Delays
  2. Claim Handling – Denial of Claim
  3. Claim Handling – Unsatisfactory Settlement/Offer
  4. Claim Handling – Other
  5. Underwriting – Premium & Rating
  6. Underwriting – Cancellation
  7. Policyholder

…

Parks Chastain recently authored a post here in which he opined that Tennessee’s valued policy statute should apply only to losses caused by fire, not wind.  I disagree. 

Tennessee’s valued policy statutes (T.C.A. 56-7-801 through 803) were enacted in 1927, and last edited just a few years later.  Read together, these statutory provisions, known as the…