INSURANCE BAD FAITH
Our office handles bad faith actions against insurance companies. If you are having trouble dealing with any insurance company, we can usually help you. We can handle the negotiations for you and probably get your case settled out of court. In cases where the carrier acts in bad faith, we can represent you in a bad faith action.
An insurance policy is a contract between an insurance company and their insured. Under certain circumstances, when an insurance company exercises bad faith in the settlement of claims, a policy holder may have a right to bring a "bad faith" case against an insurance carrier. This can occur in a variety of situations.
Refusal to Settle Liability Claims within Policy Limits.
When an insurance carrier, in bad faith, refuses to settle a liability case within policy limits, and a later judgment is obtained exceeding the policy limits, the insurer may be liable for the total judgment, even if it exceeds the policy limits. An insurer under such circumstances may breach the "implied covenant of good faith and fair dealing," which is inherent in all contracts.
Withholding of Policy Benefits Due the Insured.
If an insurance company wrongfully refuses to pay benefits which are due under a policy, they may be held liable for breaching the implied covenant of good faith and fair dealing, as well as for breach of contract.
Uninsured Motorist Claims.
If you are involved in an accident with an uninsured motorist, or a motorist with less policy limits than your own insurance, you may find yourself fighting with your own insurance company over benefits due you. When the other driver has no insurance, or you have major injuries and the other driver didn't have enough insurance, your carrier basically steps in to insure the other driver if you have uninsured motorist (UM) coverage. Your own insurance company then becomes the very insurance company you need to negotiate settle with. If they don't act in good faith, you may have additional claims against them.
Unfair Claim Settlement Practices.
In 1999, the California legislature passed the "Fair Insurance Responsibility Act of 2000." This statute allows "third party" claimants to sue liability carriers for specified Unfair Claim Settlement Practices. For example, if you are struck by another driver, you may be able to sue the other person's insurance company for their handling of the claims settlement.
If you are having trouble dealing with your insurance company, or need to discuss whether you can bring a bad faith action, contact us for a consultation.
Unfair Business Practices | Civil Rights | Labor Law
Office Locations | Contact Us | Home Page