What Is Bad Faith Insurance?

bad faith insurance practicesProperty and casualty Insurance exists to protect you and your loved ones from the financial devastation that can follow a severe weather-related event. When you choose an insurance company, you enter into a legally binding agreement that gives you coverage to protect you and your investments from damage and extreme financial loss. So what happens when you are confronted with a loss and your insurance company fails to meet their end of the deal? Or they offer less money than the extent of your damaged property? Or they fail to respond to your claim in a timely manner? All of these instances are examples of insurance bad faith and they all violate the Texas Insurance Code. Unfortunately, insurance companies don’t always act in good faith, and it can be confusing to understand whether or not your insurance company is attempting to manipulate you. Luckily, the Parker Law Firm is here to help you determine whether or not your insurance company is trying to take advantage of you. Below are some examples of bad faith insurance practices.

An insurer may be acting in bad faith if…

  1. Your insurer misrepresents your policy in any way. This includes the terms, the benefits and the advantages of the policy.
  2. Your insurer fails to affirm or deny coverage of your claim in a timely manner.
  3. Your insurer fails to pay a covered claim as a result of failing to properly investigate liability and damages based upon all available information.
  4. Your insurer fails to attempt in good faith a prompt, fair and equitable settlement in which the insurer’s liability is clear.
  5. Your insurer makes false statements regarding your previous payments on the policy.
  6. Your insurer misrepresents a material fact as it relates to your claim.
  7. Your insurer fails to explain policy limits and applicable provisions or exclusions in a timely manner.
  8. Your insurer refuses or delays a settlement offer under applicable first-party coverage on the basis that other coverage may be available or that third parties are responsible for the damages suffered.
  9. Your insurer uses illegal and fraudulent investigative techniques.
  10. Your insurer fails to offer fair evaluation of damages within a reasonable time upon receipt of claim.

Protect Yourself with the Parker Law Firm

The bottom line of insurance bad faith cases is this: your insurance company is attempting to mislead you so that the company can save money on your claim. How can you protect yourself from bad faith insurance practices? Contact the Parker Law Firm following an accident, natural disaster, or any other incident that requires insurance coverage. Insurance Bad Faith can be a difficult complication to deal with, but when you work with our firm, we will do everything in our power to protect your rights and conclude your case swiftly. If you have questions or concerns about your eligibility to file an insurance bad faith claim, do not hesitate to contact a Fort Worth lawyer from our team to discuss your potential case and schedule a Complimentary Strategy Session. At the Parker Law Firm, people matter, and we will fight your insurance company for every dollar of policy protection to which you are entitled.