- No Tort Liability for Claims Administrators Based on Alleged Improper Actions prior to Decisions on Life Insurance Benefits for ERISA and Non-ERISA Plans in the Fourth Circuit
- July 10, 2017 | Authors: Gail L. Westover; Kristine M. Ellison
- Law Firm: Eversheds Sutherland (US) LLP - Washington Office
American Bar Association Tort, Trial & Insurance Practice Newsletter for the Health and Disability & Life Insurance Law Committees
In two recent decisions, the Fourth Circuit and a district court within the Fourth Circuit have concluded that state law tort claims may not be brought against claims administrators even when the claimant’s complaint focuses on alleged improper actions by the administrators prior to the ultimate decision on awarding benefits. While the Fourth Circuit decision involved an ERISA plan and the district court decision did not, similar rationale led to both courts’ conclusions that the claimant could not bring a tort claim against an administrator based on the alleged pre-decision actions.
In their article for the ABA Tort, Trial & Insurance Practice Newsletter for the Health and Disability & Life Insurance Law Committees, Eversheds Sutherland (US) attorneys Gail Westover and Kristine Ellison breakdown the Fourth Circuit’s decisions in the case of Prince v. Sears Holdings Corporation.