Frank asked his company's employee benefits director if his group health coverage could be converted to individual coverage.The benefits director said,"Yes,you can convert to an individual policy,and the coverage is identical to your group coverage." Frank quit his job and converted to an individual policy.Six months later he filed a claim.He was dismayed to learn the conversion policy was more limited compared to the group coverage,and his claim was denied.What legal doctrine will allow Frank to bring a successful legal action against his former employer because he was financially harmed due to his reasonable reliance upon a representation of fact?

Question

Quizplus · Accepted Answer

The legal doctrine that applies to this scenario is estoppel. Frank relied on the benefits director's representation that his individual policy would have the same coverage as his group policy and suffered financial harm as a result. Estoppel prevents the company from denying Frank's claim based on their representation.

Frank Asked His Company's Employee Benefits Director If His Group