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Ohio court clarifies that no bad-faith claim exists without a breach of the policy. LinkedIn Facebook X BBI Logistics, LLC v. GRS Transp., Inc., 2026-Ohio-1146 (2026) BBI is a freight brokerage logistics company that arranged transport of frozen chicken for its client - Bird in Hand Farms, Inc. in February 2021. BBI arranged for a transport company - GRS - to deliver the chicken to Bird in Hand. There was a winter storm while the delivery was being transported by GRS. The GRS driver's trailer was parked on a residential street in Monroe, Louisiana for four days due to the winter storm. During that time, someone cut the trailer seal and stole 15-20 pounds of chicken. Bird in Hand then rejected the entire load upon delivery. BBI sued GRS and Travelers - its insurer. Travelers had issued a policy to BBI covering "damages... for direct physical loss of or damage to covered property." BBI averred that Travelers' insurance policy included coverage for the loss of and/or damage to the shipment of frozen chicken, and claimed that Travelers breached the policy by not providing full payment for BBI's loss. BBI also contended that Travelers acted in bad faith in investigating and evaluating BBI's insurance claim and ultimately denying BBI full coverage. The Court of Appeals affirmed the trial court's decision granting summary judgment that the frozen chicken was not covered property under the Travelers policy. Accordingly the Court of Appeals concluded that Travelers did not breach its policy with BBI. The court then turned to BBI's bad faith claim. BBI argued genuine issues of material fact precluded summary judgment on its claim for bad faith against Travelers, but the trial court concluded that BBI failed to identify any such issues. In reviewing the grant of summary judgment in favor of Travelers, the Court of Appeals held that, if an insurer does not breach the insurance policy when denying coverage, then an insured cannot maintain a claim for bad faith, citing Wash. v. Evans, 2021-Ohio-587, ¶ 34, 168 N.E.3d 638 (10th Dist.). Therefore, the Court of Appeals affirmed summary judgment in favor of Travelers on the bad faith claim. Plaintiff-insureds in Ohio often attempt to argue that a bad faith claim may be pursued irrespective of whether there was an actual breach of the insurance contract. While there is very little authority to support such a position, the argument is not always clear-cut. However, the BBI Logistics decision stands as helpful authority that insurers may utilize in countering such an argument by their insureds. DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations. Attorney Advertising. (C) Marshall Dennehey 2026 Help shape our research. Are you... * a law firm C-suite leader? * general counsel/inhouse legal? or * a recent lateral attorney hire? Share your lateral move experience in our confidential 8-minute survey.

The Travelers Companies, Inc. has announced a $750 million senior notes offering. The insurance company will issue 4.950% senior notes due 2031 at a public offering price of 99.978% of principal amount. Interest will be paid semi-annually on 24 January and 24 July each year, beginning 24 January 2027. The notes will mature on 24 July 2031. The joint book-running managers include Barclays Capital, BofA Securities, Citigroup Global Markets, J.P. Morgan Securities, and Wells Fargo Securities. Co-managers include TD Securities, Truist Securities, BNY Mellon Capital Markets, Goldman Sachs, HSBC Securities, Morgan Stanley, U.S. Bancorp Investments, and Academy Securities. Travelers intends to use the net proceeds for general corporate purposes, which may include debt repayment, working capital, capital expenditures, and possible acquisitions.