Common Questions About Bad Faith Insurance Claims

Few things are as frustrating as finding out that your insurance company isn't going to hold up its end of the deal. You've paid those premiums. You've been a loyal customer. Now, when you need the policy, it's not there in return.

At Goldman Law Offices of Doylestown, Pennsylvania, we are dedicated to helping people work through this situation and fight for what they deserve. Below are a few common questions to get you started:

What Does Bad Faith Mean?

It essentially means that the insurance company isn't abiding by the contract. That's what your policy is, after all, and the insurer has to hold up its end if you held up yours.

What Are Some Examples Of Bad Faith?

Red flags include a situation where your insurance company doesn't investigate your claim in a timely manner, where the company gives you a valuation on the damages that is far too low, or where the company approves your claim and then never pays, or delays that payment for an excessive amount of time.

Can They Deny Your Claim?

Yes. All denials do not signify bad faith. However, the company must have a good reason for the denial and must offer you a comprehensive explanation and proof of the same.

What Can You Do?

You can start a lawsuit to seek compensation for your damages, and you can go to the Pennsylvania insurance commissioner and file a complaint. It may be wise to do both.

Does State Law Allow Bad Faith Lawsuits?

Yes. This wasn't always the case, though, as Pennsylvania law barred bad faith lawsuits until 1990. Now, your lawsuit must prove intentional action due to ill will or self-interest, not mere negligence. The company has to intentionally act in a way that harms you, rather than accidentally offering compensation that is too low or failing to pay you promptly due to a computer error.

Contact Us Today

If you'd like to learn more about your legal options, our lawyers have over 65 years of collective experience, and we'd love to hear from you. Call now at 215-348-2605 with any additional questions, or contact us by email to schedule a meeting with an attorney.