31 Pa. Code § 146.9 - Comparative negligence

(a) Where comparative negligence is applied to a claim settlement offer or denial, insurers shall fully disclose to claimants the basis in fact or in applicable law for the offer or denial and settlement standards relating to the claims.

(b) Insurers may not use comparative negligence claim settlement standards which are inequitable and which result in compelling claimants to litigate by offering substantially less than the amount due and ultimately recovered in actions brought by the persons. Comparative negligence should not be applied to a claim settlement to reduce amounts claimants would otherwise be entitled to but for their negligence without reasonable evidence of the negligence and its relativity to the total negligence involved. A record of the evidence and the evaluation of its effect should be maintained in the claim file.

Notes

31 Pa. Code § 146.9

The provisions of this § 146.9 adopted December 15, 1978, effective 12/16/1978, 8 Pa.B. 3575.