Post by Frederick Fisher, J.D., CCP

"Insurer Tries To Save Some Defense Costs: Pays A $12 Million Price" .. As stated by @Randy Maniloff- "..it is an aberration -- and in my long-time doing this kind of work, very few insurers need this warning." (See complete article at https://lnkd.in/gvWupyZ5) Yet it still happened... A Medical Malpractice Insurer- hoping to save costs, by arbitrating (as represented in the article) a Defensible Malpractice Case, never hired Counsel to answer the Complaint and apparently didn't get an Extension. A Default we entered (In Georgia-it can be automatic) and apparently didn't seek relief in a timely manner to have the Default set aside (30-45 days - it's unclear) . Ultimately, $1.7 mm had to be paid and had to be reported to State Authorities. Ultimately the Dr., a vascular Surgeon, had to open a private Practice and lost a lot of revenue as he couldn't get another Hospital to allow him to do Surgery. So, he sued and the "jury found in favor of (the) Dr. awarding $9,109,775 in damages and $3,120,711 in litigation expenses." Training ??? Over worked Claims Staff? How did this get missed??? Chantal M Roberts, CPCU, AIC, RPA, ITP White Paper on the ROI in the Claims Department might have the answer .... https://lnkd.in/dVC6ZxZj