What is Bad Faith Insurance?

When a client has need to use the insurance they have faithfully paid over time insurance companies are expected to be available to their clients and provide them the services that were agreed to. This agreement is bound when a client pays monthly premiums for specified coverages that the insurance company sets forth when quoting the price.

When an insurance company does not keep up with their end of the agreement, looks for ways to avoid paying your claim, inadequately investigate the claim etc. they are guilty of “bad faith.” Some of the typical reasons insurance companies are sued for bad faith include:

  • Unwarranted denial of coverage
  • Failure to communicate pertinent information to the claimant
  • Failure to conduct a reasonable investigation of the claim
  • Refusal to pay the claim without investigating
  • Failure to deny or pay the claim within a reasonable period of time
  • Failure to confirm or deny coverage within a reasonable period of time
  • Failure to attempt to come to a fair and reasonable settlement when liability is clear
  • Offering substantially less money to settle than the true value of the claim
  • Failure to promptly provide a reasonable explanation for denial of a claim
  • Failure to enter into any negotiations for settlement of the claim
  • Failure to respond to a time-limit demand
  • Failure to disclose policy limits

What can I do if my insurance company denies my claim?

It is important to remember to have a paper trail. Always get everything in writing i.e. “we received your claim,” “your premiums are current,” etc. Phone calls are helpful for fast communications, but having a written confirmation of the conversation will be valuable for your case should you need to proceed legally.

Depending on your individual case and your policy, your remedy may include negotiating a settlement with the insurance company, arbitration, or court proceedings. However, the first step you should take is to hire a bad faith attorney. Your attorney will be able to advise you on your case and the best course of action to take. Not every denial of a claim is bad faith so getting the advice of a qualified attorney will potentially save you time and money invested.

Once you have determined that you have a case, many times the first legal step to take is to file a complaint with your State Department of Insurance. The DOI regulates insurance company’s handling of claims enforces their proper treatment of their clients.

Oklahoma Bad Faith Insurance Attorneys

Filing a claim with your state’s DOI may be long process since they have potentially thousands of cases they handle each year. They often encourage mediation to resolve the issue, which may not end as you would like. An attorney however, is familiar with your particular case and will be able to aggressively represent your interests and help your case come to a conclusion much faster.

The Bennett Law Firm are the experts that you can trust to handle your bad faith insurance claim. Representing individuals in Oklahoma our firm is experienced in bad faith claims against homeowner’s insurance, auto insurance, business insurance, life insurance and more. We know that in order to have to file a claim, something must be disrupting your life to begin with and fighting an insurance company should not be another thing to deal with. We focus on ensuring our clients get what they deserve.

To contact The Bennett Law Firm call 405-272-0303 or fill out this online contact form.