Baugh v. Parish Government Risk Management Agency

In Baugh v. Parish Government Risk Management Agency, 30,707 (La. App. 2d Cir. 06/24/98), 715 So. 2d 645, 647, the Court held: "The clear implication of the statute La. R.S. 22:3036 is that the third party administrator cannot be responsible to the insured for the failure to pay health benefits in administering the plan, since this is the sole responsibility of the insurer. The insurer's nonperformance of its contract, even when such nonperformance results from the delegated decision-making authority of a third party administrator, remains the insurer's responsibility and obligation. The same result occurs under the general law of representation and mandate where a disclosed agent enters or fails to carry out the contract on behalf of the principal. ."