What is a Bad Faith Insurance Claim?

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Insurance companies are well-known for how they conduct business. They will try to offer the lowest settlement possible. If the insurance company doesn’t want to compensate you justifiably, you can take action. 

Is it possible to file a claim against an insurance company? Yes, it is possible. As a resident of Boca Raton FL, you can file the claim with the help of a litigator who specializes in handling such cases. 

How does an Insurance Company Operate?  

When there is a policyholder and an insurer, the insurer is responsible for paying for the losses or damages in case of an accident. The insurer may make a fair offer to settle your claim. However, if you feel the offer doesn’t align with your loss, you can file a lawsuit against the insurance company. 

Bad faith insurance claims happen when there has been an injury in your car or at your business premises. Your insurance policy covers this injury. However, the insurance company doesn’t agree to compensate you for the losses or damages. The reason may be that the company thinks your claim is not valid. The company refuses to pay you a fair amount as compensation for your loss. Under such circumstances, an insurance claim can be filed against them. 

Who Can File a Claim?  

You can file an insurance claim if any of these circumstances apply to you: 

 

  • If your insurer doesn’t agree to compensate you for your losses or damages.
  • If the insurer denies the claim simply because they think it is not valid.
  • In case of any dispute regarding payments made regarding a claim, you can file a claim against the insurance company.

 

The Reason Your Claim May Be Rejected 

If your insurer refuses to pay you a fair amount, you can file a claim. There could be multiple reasons or just one reason. Some of the common reasons are: 

 

  • If there were any fraud, hidden information, or false statements in your insurance application when you applied for it
  • If you have not followed the instructions given by the company regarding filing a claim
  • If you are found guilty of making a fraudulent claim against an accident or theft case
  • If you are found guilty of making a fraudulent claim on the part of any person who has the authority to file a claim for loss or damage

 

How can I know if my Insurance Company is Not Acting in Good Faith? 

  •  The insurance company will not give you any time frame to file your claim.
  • There might be an additional fee attached to your policy when it is time for your claim to be paid out. 
  • The company may suggest you settle with the other party before they pay your claim. 
  • In case of any dispute, they might not be willing to work it out with you. 

How can I File a Claim?  

Before filing a claim in Boca Raton FL, do the following: 

  • Keep all the evidence regarding your claim safe.
  • Take pictures and make copies of these as well. You will need these in the future. 
  • Write down all the details regarding the incident in question. 
  • Get information from others related to your claim if they are willing to share their side of the story. 
  • Check if you have any witnesses that can support your claim. 

 

To file a claim against your insurance company, you must seek legal help. At BP Injury Law, we specialize in handling such cases, and we’ll accord you the necessary assistance. Contact us today. 

 

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