A California appeals court will hear arguments next week in a closely watched case that challenges an insurance company's practice of rescinding health coverage based on errors in an application. One plaintiffs lawyer says that litigation over the practice, often referred to as post-claims underwriting, has increased in recent years, but so far hasn't led to any significant case law. If the current challenge succeeds, attorneys say more cases may wind up in trial -- or lead to more lucrative settlements.
Plaintiffs Await Ruling on Canceled Health Insurance Policies
September 21, 2007