What is reverse bad faith?
Reverse bad faith is an action for affirmative relief raised by the insurer in either a complaint or counterclaim. The insurer alleges that the insured acted in bad faith and thereby caused losses to the insurer. The tort of reverse bad faith is based on the theory that an insurer should not be liable for bad faith where the insured obtained the policy by fraud; breached his or her obligations under the insurance contract; or engaged in other forms of misconduct. Copyright 2009 FindLaw, a Thomson Business DISCLAIMER: This site and any information contained herein are intended for informational purposes only and should not be construed as legal advice. Seek competent legal counsel for advice on any legal matter.
Reverse bad faith is an action for affirmative relief raised by the insurer in either a complaint or counterclaim. The insurer alleges that the insured acted in bad faith and thereby caused losses to the insurer. The tort of reverse bad faith is based on the theory that an insurer should not be liable for bad faith where the insured obtained the policy by fraud; breached his or her obligations under the insurance contract; or engaged in other forms of misconduct. Copyright ©2009 FindLaw, a Thomson Business DISCLAIMER: This site and any information contained herein are intended for informational purposes only and should not be construed as legal advice. Seek competent legal counsel for advice on any legal matter.
