Bad Faith Practices May Bankrupt Policyholders with Valid Claims

bad faith

If you have filed a claim with your insurance company, chances are you are waiting to hear back as soon as possible, as this is not a situation you have—or are able to—put on the back burner–even though it may seem like that is exactly what the insurance company is trying to do to you while you go bankrupt. The differences between an insurer acting in good faith and one doing the opposite are usually glaringly different, and quickly apparent too.

In most cases, an insurance adjuster (whether from your company or that of another party who may have caused property damage or physical injury to you by way of an accident) will be calling right away to gather facts about a case and open an investigation to oversee expedient resolution for you as a policyholder. In some cases, however, an insurance company may be disorganized on the job or practicing bad faith altogether. There are varying degrees of this behavior, but should you pursue a lawsuit against them, any of this bad behavior can land them in hot water in court.

In a normal situation, a typical homeowner’s claim or a car accident claim, for example, should be an open and closed case, assuming there are no problems on your end. If this is not happening, you may be confused and even on the verge of panic regarding your finances. This may be especially true if you have been forced to front out large sums of money to pay for medical bills due to physical injury or property damage.

Medical issues are the number one reason consumers in the US file for bankruptcy each year, with car accident injuries playing a large role. Such an unexpected event is in many cases one of the most traumatic events that can happen in a lifetime, and to have physical pain exacerbated by financial worries may seem unbearable. If the insurance company is acting in bad faith, you may feel like you have nowhere to turn as you are experiencing unreasonable delays, denials that make no sense, and varying forms of harassment—even to include demands like ongoing requests for excessive documentation so they can prove your claim in not valid but rather, motivated by a need for money.

If you do receive a settlement, a large portion of that will probably go to those you are indebted to, depending on your claim. If you have been injured, you may even need to reserve some of those funds for more procedures or surgeries in the future. If you suspect your insurance company may be denying your claim in bad faith, contact the attorneys at the Bolender Law Firm.

If a dispute over a claim cannot be easily resolved through a call or written communication, our attorneys will advocate on behalf of policyholders through litigation, arbitration, or non-binding mediation. Our attorneys are experienced in representing clients in state and federal courts, at both the trial and appellate level. Call us at 310-320-0725 now or submit an easy consultation request online. We are here to help!

 

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