Kimberly K. Zilisch, a Single Person, Plaintiff-Appellant, Cross Appellee. v. State Farm Mutual Automobile Insurance…

Summary

The court held that an insurer's claim being fairly debatable is not an absolute defense to a first-party bad-faith action. An insurer must still investigate, evaluate, and process the claim reasonably and in good faith, and the evidence here permitted a jury to find that State Farm acted unreasonably and knowingly did so. The court vacated the court of appeals' opinion and remanded for consideration of the remaining issues.