Jefferson City Bad Faith Insurance Attorney
Last updated on May 23, 2024
At Grayson & Grayson, we understand how frustrating and stressful it can be when an insurance company fails to uphold its obligations. Our experienced bad-faith insurance attorneys are dedicated to protecting the rights of individuals and businesses in Jefferson City and throughout central Missouri. With over 70 years of combined legal experience, we have the knowledge and determination to hold insurers accountable for their actions.
What Is Insurance Bad Faith?
Insurance bad faith occurs when an insurance company fails to act in good faith toward its policyholders. This can involve unreasonable delays, denying valid claims without proper investigation or engaging in deceptive practices. When an insurer breaches its duty of good faith and fair dealing, policyholders may have grounds for a bad faith insurance claim.
What Is A Bad Faith Insurance Claim?
A bad faith insurance claim is a legal action taken against an insurance company for improperly handling a claim or failure to fulfill its contractual obligations. These claims can arise from various types of insurance policies, including auto, homeowners, health, disability and life insurance.
Types Of Insurance Bad Faith
First-Party Claims
First-party bad faith claims involve disputes between an insured individual or business and their own insurance company. These claims typically arise when an insurer unreasonably denies or delays payment on a valid claim made by the policyholder.
Third-Party Claims
Third-party bad faith claims involve disputes between an insured individual or business and the insurance company of another party. For example, if you are involved in an auto accident caused by another driver and their insurance company fails to investigate or settle your claim properly, you may have grounds for a third-party bad faith claim.
Common Bad Faith Insurance Tactics
Unreasonable Delays
Insurance companies may intentionally delay the processing of claims or the payment of benefits, hoping that policyholders will become frustrated and accept a lower settlement.
Failure To Conduct A Complete Investigation
Insurers have a duty to thoroughly investigate claims before deciding on them. Failure to conduct a proper investigation or ignore evidence can constitute bad faith.
Deceptive Practices
Insurance companies may use deceptive practices, such as misrepresenting policy language or failing to disclose important information to policyholders.
Offering Less Money Than A Claim Is Worth
Insurers may attempt to lowball settlement offers, significantly undervaluing the true worth of a claim.
Misrepresenting The Law Or Policy Language
Bad faith can occur when an insurance company intentionally misinterprets or misrepresents the law or policy language to deny or underpay a legitimate claim.
Refuse To Pay A Valid Claim
Perhaps the most egregious form of bad faith is when an insurance company outright refuses to pay a valid and properly documented claim.
Making Threatening Statements
Some insurers may resort to intimidation tactics, making threatening statements to dissuade policyholders from pursuing their rightful claims.
What To Do If You Suspect Insurance Bad Faith
If you believe your insurance company has acted in bad faith, it’s crucial to seek legal representation promptly. At Grayson & Grayson, we offer free consultations and are committed to providing personalized attention throughout the process. Our knowledgeable attorneys will thoroughly investigate your case and fight tirelessly to protect your rights and recover the compensation you deserve. Don’t let an insurance company take advantage of you – call us at 573-255-8997 or contact us online to learn how we can help you.