The Texas Supreme Court recently held that a trial court abused its discretion when it ordered an insurance company to produce information related to claims other than the plaintiff’s in a lawsuit regarding underpaid insurance claims. In re National Lloyds Insurance Company, Cause No. 13-0761 (Tex. 2014).
An insurer was ordered to produce files of other claims handled by the same independent adjusters in a suit brought by the plaintiff, who alleged the company underpaid her for storm damage on her home. The plaintiff requested claims filed with the company during a six-year span and specifically claims filed within the past year involving the two adjusters handling her claim. The trial court compelled the production of documents related to all claims but limited the request to the geographic area of plaintiff’s residence and the storm at issue in the suit. The Supreme Court found that limiting the request to a geographic region and time do not automatically deem the information discoverable and that the request was, in fact, overly broad.