Filing a benefits claim with their insurance provider is most natural for families and individuals to enable them to meet the resulting expenses, such as medical treatment after an accident, or repair/replacement of damaged property after a natural disaster, as well as to keep their heads above water. Such are some of the reasons why insurance policies are purchased in the first place – to serve as a financial buffer during times of real need.
Insurance providers, on their part, owe policy holders genuine commitment or the duty of good faith and fair dealing, especially in paying claims. Under the common law this duty is spoken of as the “implied covenant of good faith and fair dealing,” which ought to be contained in the insurance contract. However, many of these providers transact business with dishonesty or fraud at the back of their minds. They enter into an agreement with policy holders with no real intent of living up to the terms of the policy they sell or they intentionally twist the meaning of something contained in the policy sold. This fraudulent act is what legal experts call “bad faith,” and there are different ways through which this can be committed, like: failure to investigate a claim promptly and thoroughly, unreasonable denial of claim benefits or delay in the payment of claims, and so forth.
The website of insurance attorneys Smith Kendall PLLC explains how and why complications in the insurance claims process often arise, leading to delayed payments, underpayment of claims, or outright denial of claims applications.
In any of these situations, what the disgruntled policy holder needs is immediate assistance from a knowledgeable and experienced insurance bad faith lawyer, who would be capable of ensuring him/her a strong legal representation against the erring insurance provider.Read More