Real Coverage Lawyers Write Letters
Much of a coverage lawyer's work involves reviewing and writing letters to policyholders. To you, the real coverage lawyers of America, read Lutz v. First Financial Insurance Co., 2007 U.S. App. LEXIS 21872, a Ninth Circuit decision reviewing the adequacy of a denial letter. The majority found that the insurer's denial letter was not adequate because it did not reference to specific law or facts relating to the dispute, and the policy provisions that were cited were not tied to the defense to coverage. A dissenting judge criticized the letter as "somewhat confusing and perhaps in part misleading," but he held that a letter is adequate if it provides timely notification of an intent to deny and a defense. Coverage lawyers should be mindful of these standards in preparing communications to policyholders.
