Bad Faith Claims

An individual who purchases life insurance, pays their premiums on time, and has otherwise dealt with the insurance company honestly and in good faith expects and deserves to be treated likewise. That is, they rightfully expect the insurance company to pay out the policy’s proceeds to their designated beneficiaries without hassle or delay. Sometimes, however, a life insurer doesn’t hold up their end of the bargain.

When an insurer follows its quest for profits rather than the terms of its policies by failing to pay a legitimate claim, the consequences can be devastating for those who counted on the proceeds from that policy after their loved one passed away. Such bad faith conduct by an insurer is not only wrong but also prohibited by law.

At Life Legal, we fight back against life insurance companies that improperly choose to put their own financial interests above those of their policies’ beneficiaries. When an insurer denies a valid claim in bad faith, our experienced life insurance attorneys use their unmatched experience and relentless work ethic to right the wrong and get beneficiaries the proceeds they need and deserve.

Since we focus our practice exclusively on fighting for the rights of insureds and beneficiaries, we have seen every tactic, trick, and excuse life insurance companies use to wrongfully deny a claim or otherwise act in bad faith. Common actions and decisions that can lead to a bad faith insurance claim include:

• Denying a claim without providing a reason: Insurance companies are obligated to provide an explanation to claimants when they deny a claim. If your insurance company denied your claim without telling you why or denied your claim for an invalid reason contrary to the policy terms or the law, then you may be able to file a claim against your insurance company for bad faith.
• Failing to conduct a prompt and full investigation: Insurance companies must conduct prompt and full investigations into all valid claims made by their customers and beneficiaries. If your insurance company failed to do so, it may have acted in bad faith.
• Offering less money than a claim is worth: Insurance companies routinely offer policyholders less compensation than their claims are worth. Any time an insurance company does so, it is a sign it may be acting in bad faith.
• Refusing to pay a legitimate claim: If your insurance company refuses to pay your valid claim, it may be acting in bad faith.
• Threatening customers: If your request for compensation has been met with threats from your insurance company, you should contact a bad faith lawyer immediately.
• Misrepresenting policy language or the law: Insurance companies sometimes intentionally misrepresent policy language or the law in an effort to deny valid claims. However, as part of the duty of good faith and fair dealing, insurers must be truthful in their dealings with customers. Therefore, if you believe your insurer has intentionally misled you regarding your policy or the law, you should contact an attorney for help.
• Putting profits over a policyholder’s valid claim: An insurance company should never avoid paying a policyholder’s valid claim in the pursuit of profits—doing so is textbook bad faith.
• Delaying payment of a legitimate claim: When an insurance company approves a customer’s claim, it should pay the approved claim in a timely manner. If your claim has been approved but is still awaiting payment, you should consult with a bad faith insurance lawyer to discuss your rights.
• Refusing customer requests for documentation: Finally, life insurance companies must comply with customer requests for documentation following a claim denial. When an insurer fails to comply with requests for information, this may constitute bad faith.

You may not deal with complicated insurance and legal issues all the time, but insurance companies certainly do. They have armies of lawyers who defend against those accusing them of acting in bad faith or otherwise failing to meet their obligations. Those same lawyers will try to get you to accept an unfair and lowball settlement far less than what you deserve if they offer anything at all.

When you hire Life Legal to pursue your bad faith claim, you level the playing field. You’ll have a team of experienced life insurance attorneys on your side who won’t be intimidated by insurance company tactics or fooled by bogus excuses or arguments. We understand insurance policies and laws inside and out and leverage our experience to obtain the maximum recovery available on bad faith insurance claims, either through a negotiated settlement or litigation.

At Life Legal, we are dedicated to helping people who need legal services related to life insurance, critical and chronic care benefits, accidental death and dismemberment insurance, and accelerated death benefits.

When you come to Life Legal for assistance with your bad faith claim, we will help you navigate the process and fight back against the powerful interests attempting to take advantage of you. You will always know the status of your case, be kept informed about any significant developments, and have direct contact with the attorney handling your appeal.

If you believe a life insurance company has wrongfully denied your claim and acted in bad faith, please contact us today to schedule a free consultation with one of our talented life insurance attorneys.