NYU-Hospital for Joint Diseases v American Intl. Group, Inc., 2011 NY Slip Op 04437
“In opposition, the insurer failed to raise a triable issue of fact as to whether it had timely denied the claim. Contrary to the insurer’s contention, its letter to the hospital stating that payment of the claim was delayed “pending adjuster’s review” and “investigation” did not serve to toll the 30-day statutory period (see Westchester Med. Ctr. v Lincoln Gen. Ins. Co., 60 AD3d at 1046; Nyack Hosp. v Encompass Ins. Co., 23 AD3d 535, 536), and, in any event, was not a timely request for verification made within 10 business days after the insurer’s receipt of the hospital’s claim (see 11 NYCRR 65-3.5[a])”
Okay – why didn’t AIG just pay this before it ended up at the appellate level? One better – what the heck was AIG cross-appealing? As a taxpayer, I should have standing to protest decisions like these.
