Statutory Cause of Action for Insurance Bad Faith Remains Under Consideration by New Jersey Legislature

In a recent note, we discussed the New Jersey Legislature’s consideration of the Insurance Fair Conduct Act, which would establish a statutory cause of action for the bad faith handling of insurance claims. On April 12, 2018, the New Jersey Senate approved an amendment of the bill to exclude insurance producers and public entities. The bill remains under consideration before the Legislature. We will continue to monitor the progress of the bill and advise of further developments.