Under state laws across the country, insurance companies are obligated to pay the fair value of whatever benefits their policyholders are entitled to. An insurance policy is, after all, a contract. But what makes the duty of insurance companies even more pressing is the fact that many kinds of insurance aren’t optional. Every driver is required by law to have auto insurance. Mortgage companies require people to buy homeowners insurance. An industry where the government compels people to buy their product is especially obligated to carry out its fiduciary duty.
