Not every delayed or denied claim amounts to insurance bad faith, though if you find a breach of contract from an insurance company, you may have a valid bad faith claim. When an insurance company acts in an unreasonable manner and is simply protecting their own financial well-being, it should be held accountable and may be sued.
An insurance company has violated the implied good faith and fair business practices if it has not acted fairly and honestly toward its policyholder in response to claims.
The most obvious type of bad faith from an insurance company is the outright denial of payment from a valid property damage claim. The company or agent may cite a vague reason for the denial or avoid discussing the situation directly until a policyholder takes legal action against them. Other forms of bad faith include the following:
Your insurance dispute attorney, while pursuing your claim, can determine whether a viable claim for bad faith exists. If a viable claim exists, your attorney will take the legal steps necessary to assist you in your bad faith insurance claim. The Lyon Firm works on a contingency fee basis, which means you pay nothing out of pocket, and we only get paid if we win the case.
Owners Insurance company denied the claims of a condominium complex that had sustained hail damage to its 12 unit complex. The jury found that the roof damage and secondary water damage to the units were related to the storm and awarded Plaintiff damages for breach of contract and bad faith. The Lyon Firm represented the Plaintiffs along with Lubel Voyls, LLP.