Security Insurance, Inc., issued an insurance policy to a
company providing an employee, Jessica
Garcia, with disability insurance. Soon thereafter, she was
diagnosed with “panic disorder and
phobia of returning to work.” Garcia lost her job and sought
disability coverage. Security denied
coverage, doubting the diagnosis of disability. Garcia and her
employer sued Security. During
pretrial discovery, the insurer learned that Garcia had stated on
the policy application that she had
never been treated for any “emotional, mental, nervous, urinary,...