Most of us take comfort in having insurance policies to protect our assets in case of unforeseen circumstances. But what if your insurance company doesn't hold up their end of the bargain? This is where insurance bad faith comes into the picture. What is insurance bad faith, and what exactly does it entail?
What is Insurance Bad Faith?
In simple terms, insurance bad faith is when an insurance company fails to fulfill the obligations outlined in your insurance policy. This can happen when an insurer unreasonably denies or delays a claim, doesn't fully investigate or evaluate the claim, or doesn't pay the claim covered by your policy. It can also happen when an insurer fails to act in good faith and deal fairly with their clients.
Types of Insurance Bad Faith
There are two types of insurance: bad faith, first-party bad faith, and third-party bad faith.
- First-party bad faith happens when your insurance company unreasonably refuses to pay a claim you've filed under your policy. The insurer could argue that the policy does not cover what you're claiming for or the claim will be too expensive to pay.
- Third-party bad faith, on the other hand, occurs when a third party sues an insured person, and the insurer defends that person in court. If the insurer negligently protects the insured or fails to offer a settlement within policy limits, it could lead to third-party bad faith.
What are the Remedies?
If you're a victim of bad faith in insurance, you have a few remedies. You can file a complaint with your state's insurance department, hire an insurance attorney to sue the insurance company for damages, or even file a breach of contract complaint. Your insurance attorney can guide you through the process and help you achieve a favorable outcome.
Atlanta Insurance Bad Faith & Fraud Lawyers
For residents of Atlanta, GA, dealing with insurance bad faith can be a challenging ordeal, but you don't have to face it alone. Goldstein Hayes & Lina, LLC, with its deep expertise in personal injury law, stands ready to support you through every step of the process. If you suspect your insurer is not acting in good faith, don't hesitate to contact us at (888) 425-6070. Our dedicated team will work tirelessly to ensure your rights are protected and that you receive the compensation you deserve. Remember, knowledge is power, and with the right legal partner, you can confidently navigate the complexities of insurance disputes.