Preventing Bad-Faith Insurance Litigation in Georgia

(l-r) Alston & Bird attorneys Jenny Hergenrother, Alan Pryor, John Lex Kenerly and Andy Tuck. (Courtesy photos)

Insurance policy limit demands for personal injury claims (commonly known as Holt demands) remain a thorny issue in Georgia. “Set-up” Holt demands—complete with vague and confusing conditions and shady releases—remain commonplace in hopes that unwary insurers “botch” their responses and become ensnared in multimillion-dollar bad-faith litigation.

To better navigate this needlessly complex area of law, insurers should have a good grasp on the current legal landscape surrounding the Holt rule, how intended “fixes” may not prevent bad-faith litigation, and best practices and considerations that are available when a Holt demand comes in the door.