Horosny

ORDER RE: DEFENDANT’S MOTION FOR SUMMARY JUDGMENT

I. INTRODUCTION

On September 10, 1997, plaintiff filed suit in Los Angeles Superior Court against Old American Insurance Co., alleging breach of contract and breach of the covenant of good faith and fair dealing. Defendant timely removed the case to this court on the grounds of diversity of citizenship, pursuant to 28 U.S.C. § 1332 (a). Defendant now moves for summary judgment or, in the alternative, summary adjudication.

II. FACTUAL BACKGROUND

At all times relevant to this litigation, plaintiff owned two insurance policies issued by defendant: an intensive care unit hospitalization policy (“the ICU policy”) and a limited accident policy. It is undisputed that, at all relevant times, both policies were in effect and plaintiff was the named insured on each policy.

A. The ICU Policy

The ICU policy pays the insured $75.00 for each day of confinement in a hospital’s intensive care unit. The ICU policy defines “intensive care unit” as:

Deck Cathy Law in Supp. Def.’s Mot. Summ.J., Ex. 1.

The ICU policy defines “confinement” as:

Id.

In November 1996, plaintiff submitted a claim to defendant, seeking benefits under the ICU…