Ways to Avoid Bad Faith in First Party Insurance

Most insurance companies won’t openly admit that they have settled your claim in bad faith. If you are being treated unfairly by a first or third party insurance company, you should settle the matter in court. If you win, you will be compensated, but civil lawsuits can be complex and time-consuming.

Here are some ways you can avoid falling victim to a deceitful insurance company where bad faith runs rampant:

  • Keep an eye on your insurance company. Search for customer reviews online and keep an eye out for negative feedback and horror stories. If a family member or friend has dealt with the same insurer, ask them about their experience with the company. Check with the National Association of Insurance Commissioners’ Consumer Information Source to search for the company’s complaint ratio.
  • Any legal action taken against your insurance company will make the news. Regularly check for any major legal battles involving your insurer.
  • Stay up to date on the language and terms in your policy agreement. Loopholes may be buried in policy jargon. Display good faith and don’t give your insurer any reason to deny your claimKeep accurate records of the claim on file. Litigation may occur years after the incident occurred, and you will want to be certain of all the details of the claim that the insurance company may overlook.
  • Date all materials – such as evidence of damages or correspondences between you and your insurer – you keep on file. Allegations of bad faith may rely upon when certain materials were received and how quickly they were acted upon.
  • Keep a detailed document listing all correspondences between you and the insurer by phone during the time of the claim. Even if the insurer is not reached, you will want to note that you attempted to call them.
An insurance company caught up in a bad faith case will do whatever it takes to protect their public image as well as their pocket book. You may be familiar with the ins and outs of your claim, but the insurer knows all the ins and outs of the laws that regulate these matters. Fortunately for you, here at Brasher Law Firm, PLLC, we are experts at such laws. If you are being misled or mistreated by your insurer, contact us today so we can get started setting the matter straight.