Additional insureds are a fertile source of bad faith and unfair practices claims against liability carriers.
So are construction cases.
Both of these threads came together in Pulte Home Corp. v. American Safety Indem. Co., 223 Cal. Rptr. 3d 47, 14 Cal.App.5th 1086 (Cal. 4th DCA, Div. 1, 2017). In Pulte, a California DCA held that the evidence in the record was legally sufficient to support the trial court's finding that a Comprehensive General Liability carrier acted in bad faith when it denied a defense to an additional-insured general contractor.
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