Bad Faith: Facts That Are Not Known To All

Insurance claims are made so that one can get money when most needed. Many different insurance claims can be made:

• Medical insurance

• Home Insurance

• Car insurance

The main reason to get insurance is to have peace of mind that you won’t have to pay a huge amount in case of such issues. But what if the insurance company denies giving you the claim? There have been many such instances where the insurance company has held on to the premium or paid as little as possible to the policyholder. They are acting in bad faith, and you should hire a bad-faith insurance lawyer who can negotiate with your insurance company. Here’s everything you should know regarding bad faith.

What Duties Does the Insurance Company Have?

There are lots of duties that the insurance companies are expected to fulfill to provide the claim. It will be regarded as bad faith if they do not fulfill such obligations.

• Proper Investigation-

All insurance companies are expected to investigate the claim before denying it. They also need to show their findings; if they can’t, this can be regarded as bad faith.

• Be Reasonable-

Just like the above point, they have to be reasonable while negotiating with the policyholder. The bad faith insurance lawyer can help you take the matter to trial if they breach this duty.

• Duty to Defend-

It is the responsibility of the insurer to defend the policyholder for the claim, and if they fail to do so, it will be counted as bad faith.

Can the Insurance Company Get Away with It?

Insurance companies have always dealt with such situations and know how to handle them. They are sure that the policyholder will feel intimidated to take action against a big insurance company. It is also very hard for the policyholder to negotiate against an insurer who has been trained to do this for a living.

Some insurance companies delay the claim to result in a ‘lowball’ settlement. That is why some insurance companies get away with bad faith. However, if you go ahead and consult a bad-faith insurance lawyer with proper training on such issues, you will be at the winning end.

What Does the Insurance Company Do in Bad Faith?

They do certain things to avoid giving the claim to their customers. Some of them are:

• Undervalue the Claim-

It is known that all insurance companies have set rules for valuing claims, but some insurers break those rules to pay less.

• Delays the Claim-

The insurance company must pay their policyholder within a particular time. In bad faith, they start delaying the claim so they can pay less.

• Deny the claim Altogether-

There is the insurance company that denies claims for no legit reasons. In such cases, the bad faith insurance lawyer is the best option.

Claim Everything You Deserve

Now that you know how a bad faith lawyer can help you get your claim, try contacting The West Law Firm. We have earned the 2022 Shawnee News-Star “Best of the Best” Award and are known to provide only the best work to our clients. We don’t charge until we win the case, so schedule your free consultation today.

** Disclaimer: The above article does not imply a relationship between attorney and client, nor is it legal advice.