When you pay for an insurance policy, you expect the insurer to honor its end of the agreement. Insurance is meant to provide financial security during difficult times, whether it’s after a car accident, a house fire, or a medical emergency. Unfortunately, some insurance companies act in bad faith, denying claims unfairly or delaying payments without justification. In these cases, hiring an experienced bad faith insurance attorney can make all the difference.
This article will explain what insurance bad faith is, why it matters, and how a skilled attorney can help you protect your rights and secure the compensation you deserve.
What Is Insurance Bad Faith?
Insurance bad faith occurs when an insurance company acts unreasonably or unfairly toward its policyholders, violating its obligation of good faith and fair dealings. This duty is implicit in every insurance contract, ensuring that insurers handle claims honestly, thoroughly, and without unnecessary delays.
When an insurer breaches this duty, it may open itself up to legal action, not only for breach of contract but also for tort claims, which can result in additional damages awarded to the policyholder.
Common Examples of Insurance Bad Faith
Insurance bad faith can take many forms, but some of the most common include:
- Undue Delays: Insurance companies intentionally delaying the processing or payment of valid claims.
- Inadequate Investigation: Failing to properly investigate the facts surrounding a claim.
- Refusal to Defend a Lawsuit: Neglecting their duty to provide legal defense for covered claims.
- Unreasonable Denials: Rejecting claims without a valid reason or misinterpreting policy language to avoid paying.
- Lowball Settlement Offers: Offering significantly less compensation than the claim is worth.
- Threats or Intimidation: Using scare tactics to discourage policyholders from pursuing their rights.
Such practices can cause unnecessary financial hardship and emotional stress for policyholders.
Why You Need a Bad Faith Insurance Attorney
Navigating an insurance bad faith claim is challenging without legal guidance. Insurance companies are often well-equipped with teams of attorneys and adjusters who aim to protect their bottom line. Having an experienced attorney on your side levels the playing field and ensures your rights are upheld. Here’s how an attorney can help:
1. Evaluating Your Case
An attorney can review your insurance policy and claim history to determine whether the insurer acted in bad faith. They will identify any violations of state laws or contractual obligations, building a strong case on your behalf.
2. Filing Your Claim
Insurance policies are often filled with dense legal language. An attorney can decipher your policy, ensuring all necessary paperwork is completed correctly and on time.
3. Negotiating with the Insurer
Insurance companies may become more cooperative when they see you’re represented by an experienced attorney. Your lawyer can negotiate with the insurer for a fair settlement, saving you the stress of dealing with aggressive adjusters.
4. Litigation Representation
If the insurer refuses to settle, an attorney can take your case to court. They’ll present evidence of the insurer’s bad faith actions, argue your case, and seek compensation for both the original claim and any additional damages caused by the insurer’s misconduct.
5. Maximizing Your Compensation
Beyond the original claim amount, you may be entitled to damages for emotional distress, attorney fees, and punitive damages. A skilled attorney will fight for the maximum compensation allowed by law.
How to Choose the Right Insurance Bad Faith Attorney
Selecting the right attorney is crucial to the success of your case. When choosing an insurance bad faith attorney, look for someone with extensive experience handling similar cases and a proven track record of success. Ensure they specialize in insurance law and understand the tactics insurers use to deny claims. Communication is key—choose an attorney who listens to your concerns, explains legal strategies clearly, and keeps you informed every step of the way. Additionally, consider reviews, testimonials, and whether they offer free consultations, as this shows a commitment to building trust and transparency from the start.
Protecting Your Rights
Insurance companies have significant resources at their disposal, but they are not above the law. By hiring an experienced attorney, you’re taking a critical step toward holding them accountable and protecting your financial future.
Remember, your insurer’s duty to defend and compensate extends beyond the specifics of your policy. For instance:
- Duty to Defend: Even if parts of a claim or lawsuit fall outside your policy’s coverage, the insurer is obligated to cover defense costs.
- Payment of Judgments: The insurer must pay valid claims or judgments up to the coverage limit.
When these duties are ignored, it’s time to seek legal assistance.
When Should You Contact a Bad Faith Insurance Attorney?
If your insurance claim has been denied, delayed, or undervalued, or if you suspect your insurer is acting in bad faith, don’t wait. Delays in seeking legal help can weaken your case or lead to missed filing deadlines.
An experienced attorney can evaluate your situation, gather evidence, and take swift action to protect your interests.
Why Choose The Law Offices of P. Kent Eichelzer III?
With over 20 years of experience, The Law Offices of P. Kent Eichelzer III specializes in handling insurance bad faith cases and other areas of Accident and Personal Injury Law, including medical malpractice, wrongful death, and personal injury claims.
We understand how devastating it can be when an insurance company fails to honor its commitments. Our team is dedicated to holding insurers accountable and ensuring our clients receive the compensation they deserve.
Our offices are conveniently located in metro Atlanta, Woodstock, Marietta, Kennesaw, Alpharetta, and surrounding areas. We offer free consultations, making it easy for you to explore your options without any financial risk.
Take the First Step Today!
If you’ve experienced insurance bad faith, don’t face it alone. Let the experienced attorneys at The Law Offices of P. Kent Eichelzer III help you file your lawsuit and secure the justice you deserve.