INSULT TO INJURY: Insurance, Fraud, and the Big Business of Bad Faith, Second Edition

You pay insurance companies to protect you in case of tragedy, but will they be there when you need them most?

Joan Hangarter bought a disability insurance policy to protect her should she ever become seriously ill. She dutifully paid her annual premiums for nearly a decade. But when she became disabled, she and her children found themselves homeless and bankrupt when her insurer—UnumProvident—stopped paying her benefits. With the help of her attorneys, Hangarter won a landmark $7.7 million jury verdict, which was unanimously upheld by the US Ninth Circuit Court of Appeals.

Hangarter’s dramatic story illustrates in shocking detail how insurance companies put profits above the promises they make to policyholders. Exposing the intricate systems insurance companies use to target and terminate expensive claims without just cause, Ray and Matthew Bourhis reveal the back-room mindset that drives these illegal practices. They show how low-level employees are duped into unethical conduct, how insurers manipulate the facts and the law in the few cases that do go to trial, and exactly what ordinary people are up against when forced to take on this industry.

The authors paint a frightening picture of how key decisions by Congress and the Supreme Court have enabled these schemes to continue unchecked—and they provide a sorely needed road map to reform.