Insurance Law Section
ILS Events Calendar

Nov

12

19th Annual Insurance Law Institute

November 13-14, 2014, Dallas, TX (More)

Why Personal Injury Attorneys, Both Plaintiff And Defense, Should Read The U.C.C.
by Judith Ann Kostura

 On May 16, 2014, the Texas Supreme Court issued its opinion in McAllen Hosps., LP v. State Farm County Mut. Ins. Co., (Tex. 2014) No. 12-0983. The Court held that a release given to a liability insurer by an injured accident victim is invalid when that accident victim does not pay a hospital lien. The Court refused, however, to shed much light on the remedy available to the scorned hospital.

Two injured people, Jose Gil and Melinda Hernandez, settled with the tortfeasor, Carlos Benavidez, insured by State Farm, after a collision. Gil and Hernandez incurred hospital bills of $53,564 and $1,281, respectively, but settled for only $5,200 and $2,100. State Farm, aware of the hospital lien, named the injured plaintiff and McAllen Hospital on each of the settlement checks. The injured claimants endorsed and deposited the checks without obtaining the hospital’s endorsement and without paying the hospital bills. After the hospital was stiffed by each patient, the hospital sued State Farm to recover payment up to the amounts of the settlement checks; the carrier refused to pay again, arguing that it had already protected the hospital (and therefore itself) by naming the hospital as a payee.

The trial court sided with State Farm on summary judgment, which the appeals court affirmed, but the Supreme Court reversed and...(Continue)

 
TDI News
TDI Announces Top 10 Insurance Fraud Cases of 2013
TDI—
More than $10.3 million in insurance fraud was identified in criminal cases referred for prosecution by the TDI Fraud Unit in 2013.
TDI Issues Bulletin Regarding Roofers and Insurance Adjusters
TDI—
TDI has issued a bulletin to insurance companies, insurance adjusters, and roofers, reminding them of prohibitions related to public insurance adjusters.
Rule Aims to Assist Injured Employees Seeking Lifetime Income Benefits
TDI—
The Division of Workers’ Compensation (DWC) is accepting public comment on a rule that will assist injured employees seeking Lifetime Income Benefits in the Texas workers’ compensation system.
 
Section News
Membership Directory Added to Website

The Insurance Law Section's website now includes a dynamic directory of section members.  The directory allows members to find each other but has also been designed to provide me... (Continued)

More Section News
 
 
Recent Decisions
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Pleading Shortfall Costs Insured Bad Faith Judgment  
Texas Mutual Insurance Co. v. Palmer Tx 5-Dallas 8/29/14—
Insured's bad faith claim against Texas Mutual falls short when amended pleading lacks claims for violations of Insurance Code
Punitive Damages Not Excluded (and Maybe Not Covered) under CGL Policy  
Tesco Corp. v. Steadfast Insurance Co. Tx 1-Houston 8/28/14—
Court applies Texas law and finds coverage for punitive damages not specifically excluded under CGL policy, but insured fails to prove coverage allowed by public policy
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Texas Department of Insurance v. De Los Santos Tx 4-San Antonio 8/27/14—
Court lacked jurisdiction to order Subsequent Injury Fund to pay lifetime income benefits
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In re United Services Automobile Association Tx 1-Houston 8/21/14—
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In re Hochheim Prairie Farm Mutual Insurance Association Tx 3-Austin 8/21/14—
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Weidner v. Nationwide Property & Casualty Insurance Co. ED Tx 8/19/14—
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Mag-Dolphus, Inc. v. The Ohio Casualty Insurance Co. SD Tx 8/13/14—
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Khan v. Safeco Surplus Lines Tx 14-Houston 8/12/14—
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ViewPoint Bank v. Allied Property and Casualty Insurance Co. Tx 5-Dallas 8/7/14—
An insurer was found liable to a mortgage holder after the insured negotiated a settlement check that had been issued jointly to the insured and the mortgage holder without the latter's consent.
More Recent Decisions