Noble v. National American Life Insurance

OPINION

WREN, Presiding Judge.

The question raised by this appeal is whether Arizona recognizes a cause of action in tort for a bad faith refusal of an insurer to pay a claim of its own insured. We find that such a cause of action does exist in this state.

In return for a monthly premium of $26.50, appellee, National American Life Insurance Company, issued to appellant, Rosemarie Noble, a policy of health insurance insuring her against surgical and hospital expenses arising from any sickness originating after March 28, 1974. In January of 1975 appellant had surgery for endometriosis resulting in…