Awards & Associations
Colorado Springs Insurance Dispute Lawyers
Types Of Bad Faith Insurance Cases We Handle
Insurance companies are notoriously bad about paying a reasonable amount on all types of claims, but there are a few specific types of claims that our law firm will handle for our clients. Some of those cases are:
- Commercial property & storm damage insurance claims – We help contractors and commercial property owners deal with insurance companies that may not be handling their insurance claims in a reasonable manner for various types of damage from hail, wind & storm damage to fires, flooding and other disasters.
- Injury & fatality insurance claims – If you have been injured or a loved one lost their life and the insurance company isn’t paying their fair share to compensate you for the damages, contact us to learn if you have a valid bad faith insurance claim.
An Insurance Company’s Legal Responsibilities
By law, insurance companies owe a variety of duties to their policyholders. They must investigate and pay claims in a prompt manner. They also must communicate regularly with policy holders regarding the status of their claims, and provide a reasonable explanation of any claim denial, or offer a settlement. While numerous other legal duties are included in the actual law, the goal of the law is to ensure that insurance companies act in a fair and transparent way toward their policyholders.
If an insurance company does not handle a valid claim in the proper timely manner, we are prepared to hold them responsible for any actions taken in bad faith.
Being able to Recognize Insurance Practices That May Be in Bad Faith
Under certain insurance policies you might have, your insurance carrier is required to act in good faith toward you. This means your insurer has a duty to treat you fairly when assessing the validity of any claims you file following an accident or injury. If your insurance company acts unreasonably or unfairly in handling a claim, it may be liable for bad faith. Some of the Insurance bad faith claims may involve:
- Failing to pay a valid claim
- Delaying payment on a claim with no legitimate reason
- Unreasonable underpayment on a claim
- Cancelling a policy to avoid paying a claim
- Failing to investigate a claim in a timely manner
- Failing to thoroughly investigate a claim
- Requiring an excessive number of statements or estimates to support a valid claim
- Failing to provide a written explanation as to why a claim has been denied
- Unreasonable interpretations of the insurance policy
- Threatening the insurance policy holder with legal actions or policy changes
An insurance company may use many different tactics to deny, delay or underpay on a claim, such as using unreasonable interpretations of policy language to accomplish a certain result, or purposefully undervaluing property damage or the costs of medical treatment to pay less on a claim.
Here at the Rector Stuzynski LLC, we are fully aware of the means insurance companies use to avoid paying policyholders the maximum value of their claims, and can determine if underhanded methods were used in your case.
If a court finds that an insurance company acted in bad faith, a policyholder may be able to recover not only withheld policy benefits, but also damages arising from the insurance company’s bad faith acts. For example, you may be able to recover for emotional or physical distress if the insurance company’s unreasonable denial or delay of a valid claim led to life-altering misfortunes, such as loss of property or the inability to receive needed medical care.
If you feel your insurance company has not honored the terms of your insurance policy, or has otherwise handled an insurance claim in an unfair or unreasonable manner, please contact us here at Rector Stuzynski LLC in Colorado Springs for a free initial consultation. We have specific experience handling insurance bad faith lawsuits, and have helped many clients receive maximum benefits under their policies, as well as additional compensation for mistreatment.