California, United States of America
The following excerpt is from Stewart v. Truck Ins. Exchange, 17 Cal.App.4th 468, 21 Cal.Rptr.2d 338 (Cal. App. 1993):
While we have no trouble concluding that the evidence in this case was sufficient to support the jury's finding of bad faith, it does not follow that it also established a basis for punitive damages. As we recently noted, "Evidence that an insurer has violated its duty of good faith and fair dealing does not thereby establish that it has acted with the requisite malice ... to justify an award of punitive damages. [Citations.] In order to establish that an insurer's conduct has gone sufficiently beyond mere bad faith to warrant a punitive award, it must be shown by clear and convincing evidence that the insurer has acted maliciously...." (Mock v. Michigan
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