Court Opinion

ID: 9757981
Source: CourtListenerOpinion
Date Created: 2023-08-28 23:06:51.157523+00
Date Added: 2024-06-11T07:28:46.055602
License: Public Domain

Concurring Opinion by
Mr. Justice Eagen :
I concur in the result.
If there is an obligation to indemnify and the insurer is guilty of the exercise of bad faith or negligence in its decision not to defend, then it is, and should be, liable for the payment of the full amount of the judgment recovered against the insured, regardless of the policy limitations. In the instant action the insured was reimbursed for all sums expended in the defense of the related action. Further, the court below correct*610ly concluded that under the established facts no bad faith or wilful breach of its obligation existed on the part of the insurer when it failed to defend. Since an alleged exercise of bad faith was the sole basis of the cause of action, the judgment must be affirmed.