In Amitia v. Nationwide Mut. Ins. Co., No. 3:08cv335 (M.D. Pa. Jan. 15, 2009), Judge Munley from the Middle District of Pennsylvania Denied Nationwide's Motions to Dismiss Claims that allege violations of the Unfair Trade Practices and Consumer Protection Law (UTPCPL) and Breach of Contract in a case arising out of an underinsured motorist claim after a July 3, 2002 car accident.
First, the Nationwide Motion for Dismiss the UTPCPL count is denied because Amitia alleged more than a mere breach of a contractual duty by alleging Nationwide failed to evaluate the claim promptly, objectively and fairly. Also, Amitia alleges Nationwide conducted an unfair, unreasonable and dilatory investigation. Therefore, he finds that their have been allegations more than the simple alleged refusal to pay which could warrant recovery under the UTPCPL.
Second, he denies a Motion to Dismiss a claim for breach of contract. Nationwide argued that since the underinsured motorist claim was paid that it could not be responsible for breach of contract. The opinion notes that the damages sought in the case because of the breach are different than damages for the underinsured motorist benefits. The claims allege emotional distress because of Nationwide's breach. Thus, this is not the same as damages for the breach of not paying UIM benefits and the Court finds that "it would be inappropriate at this time to dismiss the breach of contract cause of action as it seeks recovery for emotional distress, which may be recoverable."