You may need an unpaid insurance claim attorney when an insurance company fails to pay our claim. Under the Uniform Commercial code (U.C.C. § 1-304), a set of universally accepted state laws, insurance companies must act in implied covenant of good faith and fair dealing. They owe this duty to their customers. If an insurer fails to fairly deal or act in good faith, you might not know what to do next.
For example, an auto insurance policy is a type of contract between the insured (you) and the insurance company. In exchange for coverage of your vehicle, you agree to pay premiums to the insurer. Under state law, the insurance company must pay a legitimate claim in a timely and fair manner. Unfortunately, far too often the insurance company rejects a claim. Sometimes, the claim is rejected—without proper investigation or explanation.
Unpaid Insurance Claims: Bad Faith
When an insurance company takes premiums to cover your property, it owes you good faith and fair dealing. When the insurer rejects a legitimate claim or attempts to pay less to settle the claim that may be considered reasonable, it’s important to contact an unpaid insurance claim attorney. It may be necessary to file a bad faith lawsuit against the insurance company.
Bad faith in this context means that the insurance company failed to act as it promised under the terms and conditions of its contract.
Insurance companies must maintain high standards for several important reasons:
- If the insurer denies, delays, or undervalues a legitimate claim, the insured could face serious financial harm
- The insurance company often has extensive financial resources and highly skilled lawyers with extensive negotiations skills.
- The average insured individual or family faces an unfair fight if placed in contest with the insurer.
An insurance company may inaccurately misinterpret or represent their policy contract in an attempt to lower the cost of paying your claim. They may take a much longer time than usual to pay the claim or deny your legitimate claim without a satisfactory reason. Time is of the essence. Contact an unpaid insurance claim attorney to request a case evaluation now.
Personal Injury Claims: Bad Faith
A bad faith lawsuit may be brought against the insurer by a defendant in a personal injury lawsuit. For instance, if the insurer must pay to defend it insured from a liability claim and it fails to do so or doesn’t meet the duty to its insured, they may file a bad faith claim against their insurance company.
If your insurance company fails to meet its duty in defending your rights in a personal injury lawsuit, consult an unpaid insurance claim attorney right away. You may have a legitimate insurance bad faith claim.
How to Recognize Bad Faith in Dealing with an Insurer
Importantly, not every claim denied by an insurer rises to bad faith or unfair dealings. In some legitimate situations, an insurance policy might not cover the kind of damage your car or property suffered. When in doubt, it’s essential to completely review the insurance policy.
Most people aren’t qualified to review a complex insurance policy with many excluded perils. This term simply means the insurance company said it wouldn’t cover these excluded potentials for damage. If you agreed to the policy terms and conditions, the insurance company will contend you agreed to these exclusions.
An insurance policy contract is intended to be a complex document. A complicated policy with many exceptions or exclusions can save the insurance company money.
However, if you or someone you love believes they’re a victim of an insurance firm’s bad faith, you should call an unpaid insurance claim attorney. This expert will assist you in reviewing your policy and provide clarity you need now.
Settlement of Bad Faith Insurance Lawsuits
Settlement of your unpaid insurance claim case is based upon the specific details of the case, the insurer’s reputation, and a history of on-record prior bad faith infractions. However, the settlement of your case may be much more than you were originally owed if the claim was honored by the insurer!
Damages may be complicated in an unpaid insurance claim. One of the reasons verdicts in bad faith insurance lawsuits command such high settlements is that you may be owed punitive damages as well. The levels of punitive damages may dwarf the original policy’s limits.
Contact an experienced unpaid insurance claim attorney right away to fight for your rights against a bad faith insurance company.