 In addition, consequential damages for breach of contract are traditionally subject to certain constraints not applicable to compensatory damages in tort actions (see "Hadley v. Baxendale").The result is that a plaintiff in an insurance bad faith case may be able to recover an amount "larger" than the original face value of the policy, if the insurance company's conduct was particularly egregious.Most laws regulating the insurance industry in the United States are state-specific.