Lunsford v. Western States Life Insurance

Opinion by

Chief Judge STERNBERG.

Plaintiffs, Tammi Lunsford, Lori Hust-waite, Kathy Webster, Perry E. Nelson, III, and Brooke Erin Nelson, were contingent beneficiaries of insurance policies on the life of their father Perry E. Nelson, Jr. Upon his death the insurance policy proceeds were paid to the primary beneficiary, Nelson’s widow, Sharon. When it was later discovered that the widow had assisted in murdering Nelson, plaintiffs sued the defendants, Western States Life Insurance and North American Life and Casualty Company (insurers), alleging that the insurer had negligently paid the…