Isn’t it true that insurance is something we pay for, but would rather not use? The unfortunate thing about insurance policies, though, is the possibility of an insurance company denying your claim. It is problematic enough that something bad happened, eliciting the need for an insurance claim, but how much must one struggle?
When the insurer denies or delays a claim that you, the insured, have made, then you might have to file a lawsuit for bad faith insurance. For a variety of reasons, such as not providing a reasonable basis for denial or failing to duly investigate your claim, you already have a case and can seek legal help. Apart from the aforementioned reasons, having a failure of an insurance agent can be grounds for legal action.
No Decent Help
An unhelpful insurance agent is a manifestation of “bad faith.” When an agent fails to submit your application or claim within the allotted time, he or she is already committing an act of negligence. Other acts of negligence include failure to explain policy exclusions properly, failing to explore other possible options you can take, and failing to explain the changes in your insurance policies.
As the insured, you are already paying a premium to have access to benefits. It is the agent’s job to communicate this to you effectively. In this case, “bad faith” refers to the agent who is not keeping his or her end of the contract.
Legal Action for Bad Faith Insurance
In the State of California, for example, a Los Angeles attorney for bad faith insurance discusses what you can do legally. For you to be able to recover the damages that the insurance contract was supposed to cover, you must prove that the insurer or the insurance company was unreasonable in the delay or denial of your claim. It is the insurer’s responsibility, as the contract shows, to provide you with specific benefits.
Determining a connection between the unreasonable conduct and the failure to investigate, unjust compensation, or refusal to provide settlement is realizing how the insurer is trying to escape their obligation to you as the insured. Matters can only get worse with an unhelpful insurance agent and this is why the insurance bad faith law exists.