Insurance Bad Faith (Arizona Standard)

What it means

Arizona allows policyholders to sue their own insurer for unreasonable handling of a claim. The standard requires showing the insurer acted unreasonably and knew or recklessly disregarded the unreasonableness.

Arizona context

Established in Noble v. National American Life Insurance Co., 128 Ariz. 188 (1981). Arizona is a leading state for first-party bad faith law.