If you are hurt in an accident, your first thought is probably to file an insurance claim. If you were in a car accident, you would move forward with an auto insurance claim. If you were injured in a neighbor’s home, you might file a homeowner’s claim. When there is a relevant insurance policy, you expect to receive what’s fair. But what happens when an insurer fails to follow through? Whether you are treated poorly by your own insurer, or the at-fault party’s insurer treats you unfairly, you may have a claim for bad faith against the insurer. When the insurer’s actions cost you money, you may be entitled to compensation.
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If you believe an insurer has not handled your insurance claim appropriately or issued an unfair denial, call the bad faith insurance attorneys with Begum Law Group. Our Texas personal injury lawyers will thoroughly review the insurance policy, protect your rights under Texas law, and if the insurer’s conduct caused you economic harm, we will fight to set things right.
If you have a valid claim for bad faith, we will represent you in court and pursue the compensation that you deserve. To learn more about your rights, call The Law Giant at 866-523-4167. You can also reach us online to schedule a free, no-risk consultation.
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When you make an insurance claim, insurance law dictates that the insurer treats you with good faith. Originally, your right to fair treatment arose from common law, which means the right was created through the courts instead of statutes. Today, your right to good faith and fair dealings is also established in the Texas Insurance Code, Chapter 541, Unfair Methods of Competition and Unfair or Deceptive Acts or Practices, and 542, Processing and Settlement of Claims.
Under the law of good faith and fair dealings, an insurer must:
If you filed an insurance claim after an accident, and you believe the insurer is acting in bad faith by violating these requirements, contact an insurance claims attorney right away. By hiring an attorney, you will have someone with the knowledge and experience necessary to review your situation. This ensures you receive an objective opinion regarding whether an insurer is acting within the law or in bad faith.
When you have a valid insurance claim dispute concerning a bad faith tactic, your attorney can pursue the proper recovery for your original accident, and additional compensation related to the insurer’s illegal conduct.
When learning about bad faith insurance practices in Texas, you will come across the Stowers Doctrine. This is the name given to the duty of good faith and fair dealing the insurance company owes when dealing with a third-party claim against a customer’s policy.
For example, say there was a car accident, and the other driver claims you are at fault. The other driver files a personal injury lawsuit against you, which you notify your insurer of. The Stowers Doctrine refers to their responsibility to you and to handle the process appropriately.
The Stowers Doctrine requires the insurer to exercise the degree of care and diligence an ordinarily prudent person would in managing their own business and negotiating a settlement. The duty is specifically relevant when the other party, the claimant, makes a settlement demand when:
If your insurance company is handling a claim against you, and you believe it is not doing so in good faith, call an insurance dispute lawyer at Begum Law Group as soon as you can. It is imperative you get the claim on the right track as soon as possible to avoid more serious problems down the road.
A bad faith definition is when an insurer fails to uphold its duty to respond to your claim with good faith and fair dealings and/or violates a provision of Texas’ insurance law.
The insurer is required by law to treat you a certain way. The insurer, since it inherently has an advantage over you, must treat you fairly. If they violate this legal responsibility, then they are said to have acted in bad faith.
To be clear, denying your claim is not automatically bad faith. There are many reasons insurers can rightly deny an insurance claim. However, if your insurance claim is denied improperly, then you may have a legal claim against the insurance company.
Whether or not you are being treated unfairly or in bad faith is difficult to tell. You are probably not an expert in insurance law—and you shouldn’t have to be. But if your insurance claim process is not going well, or if it has become obvious that the insurer is not acting as it should call our bad faith attorneys at Begum Law Group for help.
At Begum Law Group, our insurance dispute lawyers have worked with all the major insurance companies over the years. We know the ins and outs of the insurance process, and tricks adjusters use to deny claims or try to limit your compensation. We know how an insurance company should act, and we know what it looks like when they violate the law.
Some examples of when an insurer acts in bad faith include:
There is a lot an insurance company can do that they shouldn’t. Yet, it can be hard to notice it is happening in the midst of your claim. This is why it is so important to call an insurance bad faith attorney as soon as something feels wrong. The minute you think you are getting the runaround, or the moment an insurance adjuster is rude or inappropriate toward you, you should call us.
You have the right to be treated fairly during the insurance claim process. If you are not, then you may have a separate bad faith claim against the insurer, which could entitle you to compensation.
You have the right to good faith and fair dealings with an insurer. If an insurance company violates that right, then you can file a lawsuit against it. You have the right to pursue compensation based on the insurer’s unlawful conduct. In these cases, your potential damages will depend on the insurer’s unlawful conduct and your specific financial injury.
Your right to a fair insurance claims process is true whether you file a first-party claim, which would be against your own insurance policy, or a third-party claim against another person’s policy. Although, your rights and legal options may differ depending on whether you are the insurer’s direct customer or not.
For example, if you are part of a first-party claim, then your bad faith lawsuit may be based on breach of contract or a breach of the common law. However, if you are a third-party claimant, you cannot allege breach of contract. You can allege the insurer violated Texas law, though.
Two of the most common issues we see are insurers wrongly denying a claim or refusing to negotiate a settlement appropriately. If an insurer denied the claim when the other party’s liability was obvious, and it should have approved it, then talk with our insurance lawyers about suing an insurance company for denying the claim.
If the insurer refused to negotiate a settlement, or an adjuster tried to harass or bully you into accepting the low settlement, call us to discuss filing a lawsuit against the insurer for a bad faith insurance settlement.
These issues also can significantly affect you if you are the policyholder. If your insurer wrongly denied or refused to settle a claim against you appropriately, and then a court finds in favor of the other party, making you liable for a significant amount, call us right away. As your insurance company, it should have protected you.
In any of these situations, you are going to need lawyers who sue insurance companies, not simply attorneys who handle the insurance claim process. Many personal injury and wrongful death lawyers work with insurers on behalf of their clients. They are well-versed in obtaining compensation. That does not mean they are experienced in filing bad faith insurance claims in Texas.
of U.S. insurers are proven bad faith violators that repeatedly engage in bad faith practices. – FBIC Report
At Begum Law Group, we are highly experienced in handling the insurance claim process. We are also veteran bad faith insurance attorneys, who are unafraid of holding insurers accountable. We know what it takes to recover what you rightly should have received. We also know bad faith conduct when we see it, and we don’t stand for it. When you believe an insurer is not treating you fairly, call The Law Giant at 866-523-4167 or contact us online. We offer free consultations.