Hollaway v. Direct General Insurance Co. of Mississippi

OPINION OF THE COURT BY

CHIEF JUSTICE MINTON

In order to prevail on a third-party bad-faith claim under Kentucky’s Unfair Claims Settlement Practices Act, a plaintiff must prove not only the insurer’s unreasonable failure to respond to a legitimate claim to recover policy proceeds but also must produce evidence that the insurer acted recklessly indifferent to the plaintiffs right to recover. The Court of Appeals affirmed the trial court’s summary judgment in favor of the insurer in the present case. On discretionary review, we affirm the decision of the Court of Appeals because we agree that…