Application for insurance policy (containing insured's representations). A declaratory judgment does not determine whether you are entitled to damagesit simply assesses your right to insurance coverage.Judgment Complaint seeks a declaratory judgment with respect to insurance coverage for the underlying claims in the state tort action. Parties defendant in a declaratory judgment action over coverage. See Franklin Life, 157. Moreover, diligence attempting intervention may be enough to put the burden on the party seeking coverage in a declaratory judgment action. The bottom line is – there is no good reason, nor even any need, to allow a bad faith cause of action for the filing of a declaratory action. Pending determination of the coverage issues in the parallel declaratory judgment action. Allen did not oppose the motion. (L. 2A:16-50); Note, Developments in the Law Declaratory Judgments, 62 Harv.