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How can bad faith insurance practices affect a claim?

On Behalf of | Sep 13, 2024 | Insurance |

When we file a personal injury claim, we expect our insurance company to act fairly. Unfortunately, some insurers engage in bad faith practices. This can disrupt the entire process and alter the outcome of the claim.

Delaying the claim process

Insurance companies sometimes drag out the claim process by failing to respond promptly or delaying investigations. They may create unnecessary delays making it difficult for us to cover medical bills or other expenses. These tactics can add stress and financial pressure, especially if we rely on a quick resolution and compensation to manage our recovery.

Offering unreasonably low settlements

Some insurers try to minimize payouts by offering settlements that don’t reflect the actual value of the damages. By providing lowball offers, they attempt to pressure us into accepting less than we deserve. We need to be aware of these tactics and prepare to counter them by gathering documentation and expert opinions to support a fair settlement amount.

Wrongfully denying claims

In certain cases, insurers deny valid claims without justification. When they deny coverage for injuries or damages, they leave us without the support we need. This kind of action forces us to challenge the denial and seek legal recourse. This can further delay the compensation process.

Taking action against bad faith practices

When an insurance company acts in bad faith, we can take steps to hold them accountable. California law allows us to file a bad faith claim against insurers who engage in unfair practices. 

By standing up to bad faith practices, we can ensure that insurance companies meet their obligations and provide fair treatment during the claims process.