Signs Your Insurance Company May Be Acting in Bad Faith to Avoid Paying a Claim
Posted on behalf of Goldberg Finnegan, LLC on May 24, 2019 in Personal Injury
Your insurance company owes you a duty to act in good faith when handling insurance claims. Despite this, insurers often act in bad faith. They may do a poor job of communicating, wrongfully deny your claim or fail to thoroughly investigate. These actions often result in the insured individual not receiving the compensation to which he or she is entitled.
When an insurance company acts in bad faith after you or a loved one suffers injury, it is crucial to contact a Silver Spring personal injury lawyer at Goldberg Finnegan for assistance with your claim. Our legal team can explain whether you are a victim of insurance company bad faith and what you may be able to do about it.
Denying a Claim Without a Legitimate Reason
Insurance companies are able to legally deny insurance claims. One sign of bad faith is when there is no explanation for a denial or the reason does not make sense to the policyholder. Sometimes, companies will cite a part of your policy that is complex and difficult to understand to justify the denial of your claim.
Failing to Conduct an Adequate Investigation
Another sign of insurance bad faith is when the insurer fails to conduct a thorough investigation into the case. This may involve:
- Failure to conduct the assessment in a timely manner
- Delays in the investigation
- Failure to analyze certain issues
- Failure to communicate with relevant parties
The insurance company might investigate the accident but not fully complete this process. Another possibility is the insurance company failing to consider repair assessments and estimates during its investigation.
Delayed payments are another tactic insurance companies may use to attempt to reduce the amount they pay to victims. The longer they delay, the more your bills start piling up. Insurance companies think you will get desperate and accept whatever they are offering, even though it is much less than what you deserve.
Insurance companies also delay because the money they do not pay continues to earn interest. Once they pay that money, it stops earning interest.
Offering an Inadequate Settlement
Insurers may refuse to provide full compensation to victims. They may offer much less than your medical bills are worth and may not consider other types of damages.
Misinterpreting the Law or Policy Language
The insurer may act in bad faith by intentionally misinterpreting the language of the policy or the law by:
- Using the policy terms in a manner other than they were intended
- Intentionally misrepresenting aspects of the policy
- Using language that is out of date or purposely vague
- Referring to clauses in the insurance contract that do not apply to the case
- Relying on laws that no longer apply
Learn More About Your Legal Rights
If you have been the victim of bad faith insurance tactics, you have certain rights in these situations. The first and most important step is to contact an experienced injury lawyer. He or she can help draft a bad faith letter to the insurance company to demand full payment of the claim as required by the insurance coverage.
Contact a Lawyer for Help with Your Claim
After you suffer a personal injury, it is important to have a skilled legal team at your side. The attorneys at Goldberg Finnegan can help you by communicating with the insurance company and negotiating for favorable compensation. Our lawyers will investigate the accident and can provide the insurer with these details.
We do not charge you anything unless we can win your case. Contact us today for a free case review so we can get started on your claim.
You can call (888) 213-8140 now for our free consultation.