Bad faith insurance claims adjustment is an attempt by an insurer to evade its obligations to its policyholders or claimants. It can be done by refusing to investigate or pay a legitimate claim by a policyholder. Failing to process a policyholder’s claim within a specific time is also a bad faith insurance claim.
Another example of bad faith by an insurance company is failure to disclose policy limitations to policyholders when writing the policy.
If you think that your insurance company engaged in bad faith, or misconduct or deceived you, you can take these four steps and file a bad insurance claim adjustment:
Following all these steps may help you avoid being trapped in unfair practices and pursue an insurance claim.
If you have been a victim of bad faith practices by your insurance carrier, you have 5 years to file a lawsuit.
Breach of an insurance contract is a practice that can make an insurance company responsible for bad faith. Insurance companies have a duty of good faith and fair dealing to their policy-holders. An insurance representative may sometimes act in bad faith by refusing to pay a legitimate claim.
The primary purpose of punitive damages is to punish grossly negligent, malicious, or intentional misconduct. In addition, punitive damages might prevent a defendant from doing repeated harm or misconduct in the future.
Under Florida Statute 624.155(1)(b)(1), “Not attempting in good faith to settle claims when, under all the circumstances, it could and should have done so, had it acted fairly and honestly toward its insured and with due regard for her or his interests,” constitutes a cause of action for any person injured.
In addition to recovering the amount owed for the original insurance claim, a successful recovery for bad faith dealing in an insurance claim might include statutory damages and actual costs incurred because of the delay, including interest and litigation expenses.
It can be a daunting task to face a massive insurance company. However, you do not have to handle them alone. Our experienced lawyers are there to help gather evidence and negotiate with the insurance companies. They have the expertise to assist you in avoiding any pitfalls. Schedule a free case consultation to discuss your case. Fill out our online contact form for any queries.
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