reservation of rights letter News

Mastering the Blue Ridge Settlement Reservation of Rights, Part 2

A valid Blue Ridge reservation of rights requires more than the initial reservation of rights that warns the insureds that a later settlement payment may become subject to a reimbursement claim. In addition to that initial reservation of rights letter, …

Mastering the Blue Ridge Settlement Reservation of Rights, Part 1

For decades, California insurers have been told they have a duty to accept reasonable settlement demands within their policy’s limits. As the California Supreme Court emphasized in Johansen v. Cal. State Auto. Assn. Inter-Ins. Bureau, 15 Cal.3d 9, 16 (1975), …

Drafting and Sending a Reservation of Rights Letter

Adjusters on the fence about whether to send a reservation of rights letter, also known as an ROR, should go ahead and do so, according to an expert on the subject. “Even if you’re late in realizing that you have …