"NEW SECTION.  Sec. 3   A new section is added to chapter 48.30 RCW to read as follows:
     (1) Any first party claimant to a policy of insurance who is unreasonably denied a claim for coverage or payment of benefits by an insurer may bring an action in the superior court of this state to recover the actual damages sustained, together with the costs of the action, including reasonable attorneys' fees and litigation costs.
     (2) Upon a finding that the insurer has acted unreasonably in denying a claim for coverage, the superior court may increase the total award of actual damages to an amount not to exceed three times the actual damages but only after the first party plaintiff shows by clear and convincing evidence that the acts giving rise to the actual damages occur with such frequency as to indicate a general business practice and these acts are:
     (a) Willful, wanton, and malicious; or
     (b) In reckless disregard for the rights of the first party claimant.
     (3) The superior court may, after a finding of unreasonable denial of a claim for coverage or payment of benefits, award reasonably incurred attorneys' fees and reasonable actual and statutory litigation costs, including expert witness fees, to the first party claimant of an insurance contract who is the prevailing party in such an action.
     (4) "First party claimant" means an individual, corporation, association, partnership, or other legal entity asserting a right to payment as a covered person under an insurance policy or insurance contract arising out of the occurrence of the contingency or loss covered by such a policy or contract.
     (5) This section shall not be construed to authorize a class action suit against an insurer or any of their employees.
     (6) The remedies provided for in this section shall be the exclusive remedies available to any party seeking recovery under this section. No other remedy, common law or statutory, shall be awarded against an insurer with respect to a claim which is subject to this section. The damages recoverable under this section shall include those damages which are a reasonably foreseeable result of a specified violation of this section by the insurer. Violations of unfair practice laws in chapter 48.30 RCW or unfair practice rules in chapter 284-30 WAC are not subject to a cause of action under this section. This section does not preempt any cause of action for those violations under the consumer protection act, chapter 19.86 RCW, or at common law. This section shall not be construed to create a common law cause of action."