It is important to know the signs of bad faith insurance. It can be frustrating to file an insurance claim and feel mistreated by the insurance company. Insurance companies don’t want customers to file claims because if they are legitimate, the insurance companies have to pay up and therefore lose money.
Contact an injury attorney in Colorado for legal help when filing your claim, and bring any suspicions of bad faith to your lawyer.
Signs of Bad Faith Insurance
There are many ways that insurance companies may try to avoid paying claimants what they deserve. For example, delaying and denying payment are possible signs of bad faith insurance. Denying a claim without basis or when it is abundantly clear that the claimant has a valid claim may be bad faith practice. What’s more, some companies may not inform the claimant of the reason the claim was denied.
Insurers may also fail to accept the terms of the policy, not reveal policy limits, or argue that the victim is not covered because of vague wording in the policy. Insurers may also offer lowball amounts of money as a settlement. Some even go as far as harassing the client and making threats or unwarranted accusations.
If Your Insurance Company is Denying You Compensation, An Injury Attorney in Colorado Will Handle It
Insurance companies may ask for unnecessary documentation in order to delay the claim payment process, and some fail to effectively communicate with the claimant, thus delaying the process. They may also use investigation methods that are illegal or fraudulent. Failure to comply with industry standards may also constitute bad faith. Cancelling a policy or significantly increasing the rates on a policy when the victim is not at fault are also signs.
The insurance company may also take advantage of the court system in order to delay payment or avoid paying a settlement at all. If you notice any of these signs of bad faith insurance, get legal representation from an injury attorney in Colorado to ensure that you receive a fair settlement.
Finally, let’s address the hot lists of who is and who is not considered a bad faith insurance company. An established, well-respected non-profit organization, Fight Bad-Faith Insurance Companies (FBIC), is dedicated to standing up for the rights of those victimized by bad faith practices.
In fact, their research has found that the following insurance companies were among the top 10 insurers notorious for consistently committing bad faith practices:
- The Hartford;
- State Farm;
- Berkshire Hathaway;
- American Family;
- Lumbermens; and
- Assurant Health.
Alternately, FBIC ranks the top ten best insurance companies (i.e. those who consistently stand up to good faith practices) as:
- Conventry Health;
- Credit Suisse;
- Royal & Sun Alliance;
- Swiss Re America;
- Kaiser Permanente; and
- Fairfax Financial.
Contacting a Lawyer
Contact an injury attorney in Colorado at the Law Office of D.J. Banovitz if you are filing a claim or having trouble with an existing claim at 303-300-5060. He will fight for your rights to compensation. Also be sure to read our free booklet that goes over mistakes that can derail an injury claim. If you are waiting to settle a claim with your insurance company, be aware of the signs of bad faith insurance.