Berkshire Hathaway Insurance Company Hit For $145 Million Dollar Bad Faith Verdict for Failure to Approve Necessary Treatment for Brain-Injured Worker

Some States, like Colorado, Allow Bad Faith Actions Against Workers Compensation Insurers

As reported by Courtroom View Network, A Colorado jury recently awarded over $145 million—including $60 million in punitive damages—to painter Fermin Salguero-Quijada in a workers’ compensation bad faith insurance case against Berkshire Hathaway-owned Norguard Insurance Company. The verdict significantly exceeds the insurer’s pre-trial settlement offer of $750,000.

Salguero-Quijada suffered a traumatic brain injury in 2021 after falling from a ladder while working in Utah. Despite medical recommendations for intensive inpatient rehabilitation, Norguard denied coverage for the specialized care. Instead, the insurer arranged for Salguero-Quijada to be flown home in a neurologically impaired state to be cared for by his family. This decision allegedly led to the permanent worsening of his condition.

Represented by attorney Sean Claggett, the plaintiff's legal team utilized real-time data analytics and focus group insights to guide their trial strategy. Claggett rejected multiple settlement offers, including a final $3 million proposal after closing arguments, confident in a favorable jury verdict.

Colorado is one of the few states that allow injured workers to sue insurers for bad-faith handling of workers’ compensation claims.  Hopefully this verdict will prompt increased scrutiny of workers’ compensation insurers to make sure that injured workers aren’t left destitute when injured on the job.

We handle bad faith claims in Alabama, Texas and Washington State. If you think that you may have a bad faith claim, please contact us.