How to Know the Governing Rules of Your Insurance Claim

Rules

Being an insured person, under any insurance company, you should know the aftermath in the event of a dispute with the insurance company. No matter whether you are processing claims or applying for a lawsuit, state law is applicable to the situation; either in the court or outside it.

Most likely state law will be applicable to the dispute as opposed to federal law, but it is possible for federal law to come into play at different points. Such disputes can be over health insurance, long-term disability or employer-benefits. The federal law, The Employee Retirement Income Security Act of 1974, is an example of a law that would override state law in eligible cases. You can connect with a bad faith insurance lawyer to determine what laws apply to your claim.

To figure out if your claim comes under state law, it needs to maintain certain principles. This is called the choice of law principles. These are a set of rules that determine which of the state laws are eligible to apply for your dispute. In order to understand all of this, you need to have a lawyer on your side so that they can explain the laws as they vary from place to place.

comon rules

Here is the common set of rules that are uniform everywhere in the U.S.

  1. The venue of contract execution and the delivery. The state you are based in and acquiring the policy, generally is the same, which makes the law of that state applicable to your claim.

  2. If you have problems with a claim of injury, the place where the accident took place would be counted. The place of injury could be a factor in the disposing of the claim.

  3. The Federal Court system is an exception to the rule. It does not have its own choice of law principles. The judge will instead apply the choice of law principles to that state where the courthouse is located. It will vary depending on the location of the courthouse.

A dispute regarding a claim between an insured person and the insurance company is common, but the situation can be handled if an experienced bad faith insurance lawyer is hired. Contact the West Law Firm for assistance now.

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