What Makes us Bad Faith Auto Insurance Experts?

Auto insurers owe a special duty of care to the policyholder(s). But what if an insurance company stalls, delays, or wrongfully denies a claim? As a result of this, they can be subject to extreme penalties. Our experience in auto liability insurance makes us experts on the topic. Here we will discuss it all.

What is First-Party Insurance Bad Faith Law?

Are you really in good hands?
Hand of drowning insured man coming from a watery grave reaching out to the good hand's people.

Insurance bad faith is legal jargon in under California law. It labels a process under tort law that lets you sue an insurer for unfair practices. Typically it relates to an unreasonable claims denial. Sometimes people assign their rights to sue an insurer to a plaintiff who won a judgment more than the insurance coverages purchased. Often this is done because the defendant who owes you money cannot pay.

After all, they thought their insurance would pay.

So what can you do when an insurer acts against your interests? 

  • For one, complaints to the insurance commissioner can cause problems. Mostly, it can hurt an insurance company's star rating with the state.

But there are many things an insurer may do that are in bad faith. Sometimes you are forced to seek legal counsel because the government can only do so much. Here we discuss some of these things and the legal ramifications.

To begin with, a wrongful delay or denial of legitimate claims remains unlawful. It can lead to a punitive damages award. And this is bad for the insurance carrier. Most of all, it means their shareholders would get hurt. And it can also lead to other penalties. These could be state and federal government fines.

However, it hurts their bottom line. And that hurts everyone. Insurance carriers treat you better if you hire respected lawyers. If they see that your lawyer is Ehline, they take a closer look.

For example, they know Ehline has handled a multitude of bad faith claims. Also, plaintiffs can include the California Department of Insurance. At this point, the insured plaintiff will be the least of their worries. If ordered, the DOI can take their license.

Getting Sued for Bad Faith.

Sadly, we've seen cases of carriers refusing to assist their insured's. But we are finely attuned on how to help. In cases such as these, we go for the jugular. Hence, we can ensure these companies will honor their policies. If your insurance company acts in bad faith, this is a far-reaching matter.

As discussed above, punitive damages threaten the big business. Victims can push back with a lawyer who knows what to do. No matter how entrenched such a large corporation becomes, they weigh the risks. And it may be cheaper to pay off those with real legal help. We have stared at the big boys in the eye.

We have fought Farmer's Insurance, State Farm, Infinity, and Geico. And we have dealt blows to Progressive, and others. Rest assured; their corporate attorneys may scare others. But our clients have protection from bully tactics.

What is an Assignment of Third-Party Bad Faith Rights?

A rare case exists when an at-fault party with a small policy gets denied coverage. But on some occasions, they are wrongfully denied coverage. So in that case, a car accident means the defendant's assets are at risk. At this point, defendants could assign their rights to sue. If so, a deal might be struck. And this lets the plaintiff sue in the defendant's shoes.

Who To Hire to Sue for Bad Faith?

Typically you will need to hire a personal injury lawyer who specializes in bad faith lawsuits. Here are some tips on hiring a lawyer for you to browse.