Presently before the court is a motion to reconsider filed by plaintiffs Dennis Gibbons and Julie Pelekanos (hereinafter “plaintiffs”). (Doc. # 63). Defendant National Union Fire Insurance Company of Pittsburgh, Pennsylvania (hereinafter “National Union”) filed a response, (doc. # 69), defendant Bank of America (“BofA”) filed a response, (doc. # 70), and plaintiffs filed a reply, (doc. # 71).
This action arises from defendants’ marketing and sale of “blanket disability” insurance policies to BofA customers. (Doc. # 45). BofA sent correspondence to customers promoting the policies. BofA also provided National Union with these customers’ personal information, so that National Union could contact customers regarding the policies. (Doc. # 45).
Potential insureds were told that they were being offered the policies because they were BofA customers, and that BofA would pay their premiums for an initial period. (Doc. # 45). After the “free” initial time period, the premiums for the policy would be deducted from the insureds’ bank accounts or charged to the insureds’ credit card accounts. (Doc. # 45).
Through mail marketing and telemarketing, defendants described the instant insurance policies as “blanket disability coverage.” (Doc. # 45). Plaintiff Dennis Gibbons (“Gibbons”) received written materials at his home promising “accident insurance coverage” in the event he became totally disabled due to an accident. (Doc. # 45).
Based on the representations in the written materials, Gibbons enrolled in the coverage plan. (Doc. # 45). Gibbons subsequently received two notices of coverage and two “description of coverage” documents, all describing the terms of his policy. (Doc. # 45).
Similarly, plaintiff Julie Pelekanos (“Pelekanos”) purchased the insurance coverage at issue based on defendants’ representations. (Doc. # 45). Pelekanos spoke with a telemarketer who explained that the policy would provide benefits if Pelekanos suffered an accident which “changed her life in some way.” (Doc. # 45).
The telemarketer stated that the policy did not require total disability to afford benefits. (Doc. # 45). Pelekanos also received written materials by mail, which contributed to her understanding of the policy’s scope of coverage. (Doc. # 45). After enrolling in the policy, Pelekanos received a notice of coverage. (Doc. # 45).
Plaintiffs eventually became totally disabled due to accidents and filed claims for disability benefits with National Union. (Doc. # 45). National Union denied plaintiffs’ claims on the basis that their accidents did not result in dismemberment, paralysis, or blindness. (Doc. # 45).
At this time, plaintiffs discovered that these injuries were all that their policies covered. (Doc. # 45). Plaintiffs allege that defendants failed to truthfully disclose the nature of the insurance policies at issue. (Doc. # 45). National Union never sent the full policy documents to plaintiffs. (Doc. # 45).
On April 17, 2014, plaintiffs filed a complaint in this court alleging breach of contract and breach of the covenant of good faith and fair dealing against National Union, and fraud/intentional misrepresentation and conspiracy to defraud against National Union and BofA. (Doc. # 1).
On September 18, 2014, plaintiffs filed a motion to amend their complaint. (Doc. # 35). On October 16, 2014, the court granted the motion. (Doc. # 44). On October 20, 2014, plaintiffs filed an amended complaint asserting the same causes of action. (Doc. # 45). On November 6, 2014, BofA filed a motion to dismiss. (Doc. # 50). On November 17, 2014, National Union filed a motion to dismiss. (Doc. # 51).
On February 25, 2015, the court granted both motions to dismiss and instructed the clerk to close the case. (Doc. # 59). On March 25, 2015, plaintiffs filed the instant motion to reconsider. (Doc. # 63). On the ...