From Bad Faith to Good Faith, Honestly

This paper examines the judicial test for bad faith by an insurance provider, and then deals with the heightened standard of honesty that emerged from a Supreme Court of Canada case called  Bhasin v. Hrynew 2014 SCC 71.  Although the duty of good faith has not increased, the Bhasin case heightens the responsibility and care that insurers and adjusters need to take in all correspondence with claimants.  The decision is a good reminder that claims handlers should pay attention to omissions in their correspondence to claimants that could be construed as deceptive.