What is reformation in an insurance litigation case?

Reformation in an insurance litigation case is a legal term used in California to refer to a situation in which the terms or conditions of an insurance policy are modified or changed. This typically happens when the insurer and the insured have different interpretations of the policy’s terms, or when the insured has been misled by a sales representative who gave inaccurate or incomplete information when selling the policy. Reformation also applies when the insured received a policy that was not in accordance with what they agreed to, or when the policy was either very broad or vague in its language. In some cases, the insurer may have made a mistake when drafting the policy, and the insured can ask for a court to re-write it with more specific language. Reformation is a powerful tool for those who believe that their insurance policy does not reflect the agreement that was made between them and the insurer. The court has the power to modify the policy to better match the understanding between the two parties. The policy can also be amended if the court finds that the insured was misled by a misrepresentation made by the insurer.

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What is reformation in an insurance litigation case?

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