What You Should Know About Bad Faith Insurer?

Bad faith insurance is the insurer's attempt to break the clients' obligations by refusing to pay the legitimate claim of the policyholder. Most insurance companies work in bad faith while it misrepresents the contract language of the insurance in front of the policyholder just to avoid paying the claim. Insurance companies work in bad faith while it fails to mention the policy limitations as well as exclusions to the policyholders before purchasing policies.

There are different ways by which insurance companies tend to act in bad faith. If any policyholder finds out bad faith, it must confront the insurance company. Alternatively, they must even consult a lawyer for more details.

How To Find Out Bad Faith Insurance?

It is important to understand that bad faith insurance is applicable to any insurance policy like auto insurance, health insurance, etc. Alternatively, it is applicable to any contract. Differences in opinion among the policyholder as well as the adjuster on any loss of amount do not call for bad faith. This does not happen unless the adjuster fails to provide reasonable support for the findings. A bad faith insurance lawyer can help in this case. Just making a mistake does not prove bad faith.

If the insurer fails to reply to the claim of the policyholder, whether it is willful or not, is definitely considered bad faith. An insurer must explain the reason behind covering the claim to avoid any bad faith.

What Are The Warning Signs?

When property owners deny insurance claims, it leads to devastating consequences. Thus, it is useful for the property owners to know about things to watch and determine whether they are dealing with bad faith insurer. Here are a few signs that they must know.

  • Insurance carriers fail to reciprocate to the insurance claim, or the evidence submitted that supports the claim.

  • Insurance carriers get additional materials from insured people although the materials have no connection to the claims.

  • Insurance carriers continue delaying sending adjusters to the property for the purpose of inspection.

  • Insurance carriers assign new adjusters for claiming the people who are familiarizing themselves with the files.

  • Insured people get a series of letters for giving extra excuses to deny the claim or underpaid claim.

Worried About Bad Faith Insurer?

A bad faith insurance lawyer can protect you when your insurance claims have been denied. At The West Law Firm, we have expert lawyers who are trained to fight for a denied insurance amount. Visit us today!

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