A referendum up for vote in Washington State this month is seeking to prohibit insurers from unreasonably denying coverage or payment of benefits to first-party claimants, and will impose stiff punishments if insurers are deemed in violation.
Referendum 67 has gained support from elected officials all over the state. Governor Christie Gregoire has already endorsed it, along with the state's Insurance Commissioner Mike Kreidler and the mayor of Seattle, Greg Nickels. In addition to these high-profile names, several other county executives and 59 state legislators have lent their support to the referendum.
According to www.Approve67.org, the referendum will require that insurance companies treat policyholders "honestly and fairly." If passed, it would entitle claimants to all damages and litigation costs if the insurer unreasonably denies benefits, or is found to be in violation of the administrative rules outlined by the Office of the Insurance Commissioner. Under this act, a claimant is required to give 20 days written notice to the Office of the Insurance Commissioner and the insurer before filing suit.
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