Southern General v. Holt Holds Georgia Insurance Companies Liable For Bad Faith
In Georgia, the insured owns a bad faith claim against his insurance company if the insurer does not accept the insured's time-limited demand to settle within the policy limits. This claim was established by the seminal case in Georgia of Southern General Insurance Company v. Holt.
This scenario usually arises in a a situation when there is a very serious personal injury which far exceeds the policy limits of the at-fault insured. The plaintiff's attorney will usually send all the information that the insurance company could reasonably need to evaluate the case and make a 10-day demand to settle the case for the policy limits. This is commonly referred to by Georgia injury lawyers as a time-limited Holt Demand.