Larry Luke, Individually v. American Family Mutual Insurance Company, American Family Mutual Insurance Company v. Larry Luke, Individually

LAY, Circuit Judge.

The plaintiffs, Larry Luke, individually and as the administrator of the estate *1017of Lisa Luke, and Kathleen Luke, are the assignees of the insured, Herbert Carl Llewellyn, and the holders of judgments totaling $138,840.12 plus interest, costs and attorney fees against Llewellyn.

The plaintiffs alleged that American Family wrongfully denied coverage under its policy with Llewellyn. Plaintiffs further charged that the company in bad faith failed to settle within the policy limits of its insured’s policy. Both parties moved for summary judgment. The trial court found that…