As an insurance policyholder, you rely on your insurance company to have your best interests in mind when it comes to honoring the terms of your policy and providing you with the coverage you need. However, there are times when insurance companies may act in bad faith, putting their profits ahead of your well-being.
At Dominguez Law, we believe it is important for you to be aware of the signs that your insurance company may be acting in bad faith so that you can protect your rights and seek the compensation you deserve. When an insurance company acts in bad faith, it can have serious consequences for policyholders. From delayed claim processing to outright denials, these actions can leave you without the financial protection you thought you had.
5 Signs Your Insurance Company Is Acting in Bad Faith
There are many signs that your insurance company may not be acting with the best intentions, such as if they:
1. Deny Your Claim Without Reason
One of the most common signs of bad faith insurance practices is when your insurance company denies your claim without a valid reason. This can leave you feeling frustrated and helpless, especially if you have followed all the necessary steps to file a valid claim. Your insurance company should be able to give you a detailed explanation of why your claim was denied, but if they do not, working with a lawyer can help investigate what is going on.
2. Refuse to Investigate Your Claim
Another sign to look out for is if your insurance company refuses to investigate your claim or purposely delays the claims process without justification. This could indicate that the insurance company is trying to avoid paying out on your claim and is therefore acting in bad faith, as insurance companies have an obligation to investigate valid claims.
3. Fail to Communicate With You
If your insurance company fails to communicate with you in a timely and transparent manner, this could be a red flag that they are not acting in good faith. It is important for you to be kept informed about the status of your claim and any decisions that are being made regarding your coverage. If you are left constantly trying to find someone to answer your questions and to know the status of your claim, this should be addressed.
4. Offer a Lowball Settlement Offer
If your insurance company offers you a low settlement amount that does not adequately cover your damages, this may be a sign that they are trying to avoid their financial obligations to you as a policyholder. It is your right to receive fair compensation for your losses, and you should not settle for anything less. However, insurance companies have a vested interest in paying you as little as possible.
Do not accept an insurance settlement or offer without first having it reviewed by your personal injury attorney.
5. Pressure You to Accept a Settlement or Sign Documents
If you feel like your insurance company is pressuring you to accept a settlement or sign documents that you do not fully understand, it is crucial to seek legal advice. Your insurance company should not take advantage of your lack of knowledge or experience in the claims process.
Schedule a Consultation With a Personal Injury Attorney Today
If you suspect that your insurance company is acting in bad faith, it is important to seek legal advice from a qualified attorney who specializes in insurance law. They can help you navigate the claims process, negotiate with the insurance company on your behalf, and, if necessary, take legal action to hold the insurance company accountable for its actions.
Dominguez Law is committed to helping policyholders like you fight back against insurance companies that engage in bad faith practices. If you believe your insurance company is acting in bad faith, do not hesitate to contact us for a free consultation. Call Dominguez Law at (505) 850-5854 or schedule a consultation using our contact form . We also speak Spanish.
