The Legal Framework of Insurance Policy Rescission and Claims Misrepresentation
Rescission is the retroactive cancellation of an insurance policy. Insurance providers can unilaterally rescind or cancel a policy holder’s coverage by citing omissions, misrepresentations, or errors in the latter’s policy application. If used properly, rescission can save and protect an insurer against unwarranted claims, unjust liability, and fraudulent statements in its clients’ applications. However, its use and scope is authorized by statutes in most states. While rescission is just and fair in many cases, more and more insurance companies are now bending some rules in an attempt to avoid liability for large claims.
In this light, a panel of practitioners and key thought leaders in the insurance industry will provide an in-depth discussion of the latest issues involving Insurance Policy Rescission and Claims Misrepresentation. Speakers will also offer extensive insights on its legal framework as well as the best practices policyholders can implement to minimize potential risks.
- Rescission – Overview
- Legal Framework of Policy Rescission
- Investigating Claims Misrepresentation
- Materiality of the Misrepresentation
- Prior Knowledge Exclusions
- How Policy Rescission Works
- What Triggers a Rescission
- Waiver of Rights to Rescind
- Differences between rescission and voiding a policy
- Litigation Strategies for Rescission actions
- Responding to Bad Faith Counterclaim
- Best Practices to Minimize Potential Risks
- Up-to-the-Minute Regulatory Updates
Michelle L. Burton, Managing Partner
Shoecraft Burton, LLP
- Identifying grounds for rescission;
- What constitutes materiality and evidence needed to prove it?
- Difference between rescission and voiding a policy
- Ways to defeat rescission.
Neil S. Lerner, Partner
Cox Wootton Lerner Griffin & Hansen LLP
- Definition of Marine Insurance and Rules
- Misrepresentations and/ or concealments-Uberrimae Fidei
- Voiding versus Rescinding
- Rescission as a Remedy to Fight Insurance Fraud (If there is fraud in a loss, there is almost always fraud in the inception of the policy)
- Rescinding for Misrepresentations or Concealments During a Loss
- The Rex DeGeorge Rescission Case (“The single most incredible story I have ever heard from the stand,” Federal Judge J. Spencer Letts.)
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Who Should Attend:
- Insurance Litigation Lawyers
- Corporate Managers
- Business Owners
- In-House Counsel
- Risk and Compliance Managers
- Senior Officers from Insurance Companies
- Insurance Procurement and Payment Managers
Michelle Burton is the Managing Partner of Shoecraft ♦ Burton LLP, a boutique civil litigation firm specializing in complex insurance coverage, bad faith defense, insurance defense, and professional liability. Ms. Burton has obtained numerous jury trial defense verdicts for her clients against multi-million dollar claims throughout California. In addition to her trial practice, Ms. Burton is a Certified Appellate Specialist and has authored and argued numerous appeals addressing insurance-related matters including Douglas v. Fidelity Insurance Company, the leading case on rescission in California. She was trial and appellate counsel on a case consolidated for oral argument with Lee v. California Capital Insurance Co., the recently-decided case which provides important guidance to appraisers and umpires for appraisals involving a disputed scope. She advocated many of the contentions adopted by the Court of Appeal in its published decision. Ms. Burton provides Fair Claims Training, Good Faith Claims Handling Training and Appraisal Training for her clients. She has also been a panel speaker at the Association of Business Trial Lawyers Annual Seminar on “The Use of Social Media in Jury Selection” and “The Use of Technology During Trial.” She is currently the Treasurer of the San Diego Chapter of the Association of Business Trial Lawyers, was recognized as a Lawyer of Distinction in 2015 in Civil Litigation and is a Fellow of the American Bar Foundation which is open to one percent of lawyers for their commitment to the legal profession and their community. Ms. Burton was the Media Chair for the Informed Voters Project educating the public about judicial elections and is the President of Run Women Run a Political Action Committee dedicated to the advancement of women in politics. Ms. Burton is frequently asked by media to comment on political and legal issues.
Michelle Burton is the Managing Partner of Shoecraft ♦ Burton LLP, a boutique civil litigation firm specializing in complex insurance …
Neil S. Lerner is a Southern California "Super Lawyer" (2012-2017) who practices maritime and transportation law. He represents insurers in first and third party cases. He is a Partner in Cox Wootton Lerner Griffin & Hansen, LLP, which is a regional law firm, with offices in San Francisco, Los Angeles and Honolulu, serving the Western United States and the Pacific Rim, specializing in maritime and transportation law. He has spoken frequently on rescission as a remedy for insurers to use to combat fraud and has tried several rescission cases to verdict and obtained summary judgment on numerous other ones. He represented Cigna in the landmark Rex DeGeorge rescission case, which federal judge Letts called "the single most incredible story I’ve ever heard from the stand." His book about it, "An Act of Piracy," is under a NY publishing contract. His reported marine insurance rescission cases can be seen atwww.transportationlaw.com.
Neil S. Lerner is a Southern California "Super Lawyer" (2012-2017) who practices maritime and transportation law. He represents insurers in …
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About Shoecraft Burton, LLP
Shoecraft ♦ Burton, LLP is a multi-practice boutique civil litigation firm that provides proactive, cost-conscious and aggressive legal services tailored to its clients’ goals. The firm specializes in litigation, complex insurance coverage matters and appeals. Over the years, the firm has successfully defended and prosecuted hundreds of matters on behalf of insurance companies, policyholders, insurance brokers, corporate and individual clients, developers as well as, municipalities and public entities. The firm has particular expertise in defending insurance bad faith matters, fraudulent insurance claims, insurance application fraud, first party defense and third party defense, premises liability actions, errors and omissions claims against insurance brokers and architects and engineers. The firm routinely provides coverage advice on all lines of insurance for insurers, conducts examinations under oath and drafts, and reviews policy language proposed by insurers for potential future coverage issues. The firm also offers risk management services and litigation avoidance strategies to its insurance and corporate clients designed to mitigate litigation costs. Such services include review of claims manuals, underwriting guidelines, Title 10 certification, training seminars on claims handling and errors and omissions and review of corporate insurance programs.
About Cox Wootton Lerner Griffin & Hansen LLP
Cox, Wootton, Lerner, Griffin & Hansen, LLP is a regional law firm, serving the Western United States and the Pacific Rim, specializing in maritime and transportation law. It has offices in Los Angeles, San Francisco and Honolulu.