Things To Know About Insurance Bad Faith
People depend on insurance companies to be there when they need the aid the most. It may be a car insurance of a car accident or a medical insurance for a serious illness or injury. People do not pay religiously to insurance companies because they just feel like it after all. They do this because they know that they will be needing their help soon when events happen.
But it is sad to think that insurance companies are not doing their duty when the sudden accident happens. They look for reasons for them not to be liable of any benefits to their customers. When this insurance companies try to wriggle their way out from everything associated in the contract, they are acting in bad faith.
Legally speaking, insurance bad faith is “describes a tort claim that an insured person may have against an insurance company for its bad acts.” In most countries such as United States, insurance companies are bound a duty of good faith and fair dealing to those they insure. It is an implied duty every time an individual enters into a legal insurance contract with a company. An individual can file a case against the insurance company when they fail to do so. Aside from the fact that they did not uphold their end of the bargain, insurance companies can be sued for civil wrong doings.
In the end, they will be liable to pay for damages aside from the original policy they need to render to their customer.
Health insurance, auto insurance, life insurance and long term disability insurance are the types of insurance carriers that can be held liable when acted in bad faith. Every kind of insurance carriers are expected to honor their agreements and to act in good faith with their policy holders. Trying to look for a way out of the due performance they opt to do is acting in bad faith and they can be sued because of this.
An insurance company that acted in bad faith is bound to pay for the emotional and financial damage it cause to its policy holders. There is a need for a high quality lawyer to calculate the damages for you. This lawyer will help you bring the case to the court and will guide you with everything the insurance company is opt to give you.
It is important to take action when you read the policy and feel like you are not given then coverage that should be given to you as a policy holder. Do not leave this thing behind and look for a qualified lawyer for you.
Source: law firms