Bad Faith Insurance

Recovering your damages against a negligent party does not always involve another insurance company. In some cases, such as accidents caused by an uninsured motorist or hit and run driver, you may be able to file a claim with your own insurance company to reimburse you for your losses. If your insurance company does not honor their policy according to the terms specified or, if for some deceptive or dishonest reason, does not satisfy your claim, they may be acting in "bad faith."

As lawyers, we deal every day with insurance policies, what is covered or not covered, and how to best get the expenses paid for our clients.
Insurance company regulatory agencies have outlined the following examples of bad faith:

1. Misrepresenting pertinent facts or insurance policy provisions relating to the coverage at issue;
2. Failing to acknowledge and act with reasonable promptness upon communications with respect to claims arising under insurance policies;
3. Failing to adopt and implement reasonable standards for the prompt investigation of claims arising under insurance policies;
4. Refusing to pay claims without conducting a reasonable investigation based upon all available information;
5. Failing to affirm or deny coverage of claims within a reasonable time after proof of loss statements have been completed;
6. Not attempting in good faith to effectuate prompt, fair and equitable settlements of claims in which liability has become reasonably clear;
7. Compelling the insured to institute litigation to recover amounts due under an insurance policy by offering substantially less than the amounts ultimately recovered in actions brought by such insured;
8. Attempting to settle a claim for less than the amount to which a reasonable man would have believed he was entitled by reference to written or printed advertising material accompanying or made part of an application;
9. Attempting to settle claims on the basis of an application which was altered without notice to, knowledge or consent of the insured;
10. Making claims payments to the insured or beneficiaries not accompanied by statements setting forth the coverage under which the payments are being made;
11. Making known to the insured or claimants a policy of appealing from arbitration awards in favor of the insured or claimants for the purpose of compelling them to accept settlements or compromises less than the amount awarded in arbitration;
12. Delaying the investigation or payment of claims by requiring an insured, claimant, or physician of either to submit a preliminary claim report and then requiring the subsequent submission of formal proof of loss forms, both of which submissions contain substantially the same information;
13. Failing to promptly settle claims, where liability has become reasonably clear, under one portion of the insurance policy coverage in order to influence settlements under other portions of the insurance policy coverage;
14. Failing to promptly provide a reasonable explanation of the basis in the insurance policy in relation to the facts or applicable law for denial of a claim or for the offer of a compromise settlement;
15. Using as a basis for cash settlement with a first party automobile insurance claimant an amount which is less than the amount which the insurer would pay if repairs were made unless such amount is agreed to by the insured or provided for by the insurance policy.

Calton & Burns, Attorneys at Law, have been representing injured individuals for over 25 years. Our team of dedicated lawyers represents those who have suffered serious injury, financial loss, personal loss and future damages due to negligence and wrongful acts of others, including motor vehicle accidents, motorcycle accidents, bicycle accidents, aviation accidents, construction accidents, slip and fall accidents and defective products.

If you feel that you are being abused by your own insurance company and cannot get the problem resolved on your own, we will be glad to discuss your case with you at no charge and with no obligation.

Why not give us a call!
(949) 495-3350

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