Country Mutual Insurance Co. v. Olsak

Insurance coverage matter arising out of a suit for injuries caused by intentional conduct. The parties to the underlying matter reached a settlement agreement and the insured assigned his rights to the injured plaintiff who then asserted that the insurer breached its duty to defend and that the failure to defend was vexatious and unreasonable under section 155 of the Illinois Insurance Code. The circuit court found that the settlement agreement in the underlying matter was not the result of collusion and entered judgment against the insurer for the limits of the policy, but did not award section 155 damages. The appellate court affirmed. (HYMAB and COGHLAN, concurring)