The insured person’s rights against the insurance company are primarily based on one’s insurance contract as specified in the riders and policy; however, they can also stem from the general obligation of good faith placed by insurance law on all insurance companies in dealing with their clients.
In addition, our legal team knows how to investigate, record, and present contract and bad faith claims against insurance companies.
Since 2005, each year we’ve handled thousands of cases as experienced and aggressive insurance litigation attorneys. Today, we’ll bring your case and follow the same genuine charisma and panache in our actions and deeds.
Regarding policies such as the following practice areas, we defend the insured in coverage disputes working with the insurance company:
- Life insurance
- Commercial general liability coverage issues
- Liability and casualty insurance for homeowners, such as property damage or to products
- Environmental coverage
- Car insurance
- Professional liability or malpractice coverage
- Boat insurance
- Errors and omission insurance
- Officers and directors’ insurance
- Bad faith claims
Our knowledge regarding insurance law can make all the difference in the outcome of your insurance litigation case, no matter what the circumstances of your insurance coverage issues are or how complicated they become. In reality, our reputation as excellent policyholder advocates might help you get a quick and fair resolution to your denied insurance claim issue in Los Angeles.
Common Examples of a Bad Faith Claim
Contracts between the insurer and policyholder in Los Angeles include a clause one referred to as the “implied covenant of good faith and fair dealing,” meaning that the insurance company must execute its contractual responsibilities in good faith and cannot unfairly interfere with the policyholder’s contractual rights. These rights include collecting payments for insured risks, conducting a thorough inquiry into the cause of an injury, defending the insurer against third-party claims, and settling any claims in good faith.
However, an insurance firm frequently fails to fulfill its contractual responsibilities. This is often a breach of the covenant of good faith and fair dealing, and the insured can file a lawsuit for insurance bad faith.
The following are examples of acts that one may consider as bad faith:
- Unreasonable delays in settling a lawsuit or unjustified refusals to do so
- Refusal to pay a legal claim or to limit or postponing payments in an unreasonable manner
- Failure to investigate an allegation in a timely, fair, and thorough manner
- Refusing to contact policyholders regarding claims or the status of their claims
- Failure to present justifications for a denial of a claim
- Misrepresenting the realities of the policy’s coverage
- Putting a policyholder’s capacity to defend a case in jeopardy
Any form of insurer or policy can engage in bad faith behavior, including consumer and business coverage. Examining the wording of a policy, which can become highly complex, is the first step in evaluating whether bad faith happened. Even if the policy has unclear language, you may win a bad faith claim if the policyholder has a reasonable expectation of benefits, coverage, or defense, depending on the policy’s terms.
What Damages Can an Individual Member or Large Corporations Seek from an Insurance Company?
Bad faith on the part of an insurer can result in significant losses, such as:
- Costs incurred by a policyholder that the insurance should cover
- Expenses incurred by the insured as a result of a third-party injury
- Expenses incurred in defending third-party litigation.
- Costs incurred in obtaining the advantages that are due to you
- Damages for mental anguish or emotional misery
How Do You Recover Punitive Damages?
When insurance firms act in bad faith, people know that the courts, including the Supreme Court, order them to pay punitive damages. Punitive damages are not based on any particular financial losses suffered by plaintiffs. Instead, if the insurance company commits serious malfeasance, a jury may award punitive damages to the plaintiff as an additional punishment.
Punitive damages may add millions of dollars to the value of a claim; however, defense insurers would vehemently that such an amount gets warranted. The best lawyers in Los Angeles are well-versed in the legislation governing the possibility of punitive damages and can determine when it is proper and to pursue them.
In insurer bad faith disputes, we have achieved jury awards of millions for many businesses or individuals. We constantly explore these damages in each case to ensure that our clients receive justice, whether for life insurance or premise liability insurance regarding large companies.
