Reno - Everest Indemnity Insurance Co. is on the hook for $4.5 million after a Nevada state court jury on Thursday said the insurer acted in bad faith by refusing to cover a construction company’s defense costs in an underlying class action stemming from an earthen levee collapse that caused the flooding of hundreds of homes.

Jurors deliberated for only a few hours before deciding that Everest had no basis for refusing to cover defense costs referred to them by Matthews Homes, which held a $2 million commercial general liability policy from the insurer, after Matthews was sued by a class of hundreds of homeowners claiming poorly designed drains exacerbated the effects of a 2008 flood.

Attorneys Robert Maddox and Jamie Carsey deliver their opening statements in Reimers v. Everest. Click here to see video from the trial. Click here for a copy of the complaint. 

Reno - Opening statements began Tuesday in a $5 million class action in Nevada state court accusing Everest Indemnity Insurance Co. of acting in bad faith by refusing to cover defense costs in an underlying suit brought by hundreds of homeowners who claimed a developer’s poorly designed drains caused flooding after a levee collapse.

As we highlighted last week, ensuring a jury understands a suit’s narrative is one of the key goals of a trial’s opening statement and is a critical component to building a winning case. However, when the events and relationships underlying a suit are particularly complex, as is often the case with lawsuits against insurers, breaking down the narrative into a clear, cogent storyline can be difficult. In openings of Meyer v. Health Plan of Nevada, Robert Eglet, representing plaintiffs in a suit against their HMO, combines a descriptive timeline and eye-popping details in illustrate his claim that the HMO was responsible for the insureds contracting hepatitis C.

Las Vegas—UnitedHealth Group HMOs could face more than a half-billion dollars in damages for their alleged role in the hepatitis infection of one of their clients, as jury selection is scheduled to begin in a Nevada negligence suit October 20. Bernard Paul v. Health Plan of Nevada Inc., et al.