Filing a policy claim with your insurance company can be a difficult and intimidating process. Many people feel pressured and helpless when a massive insurance corporation refuses to pay on a policy, and think there is no way to contest it. However, coverage companies must obey the law like everyone else. Sometimes insurance claim process does not work the way it should. Many insurance companies deny claims that should be approved or settle for less money that the insured deserves. It is important to know your rights to sue an insurer. Here are the steps on bringing a suit against your insurance company:
There are many strategies your insurance company will use to deny your claim because they do not want to give you a payout. The insurance company may claim that the accident was your fault or the policy does not cover your claim Regardless of the reasons they try and deny your claim. You can sue your insurance company for denying your claim without a good reason to do so. Here are the steps after your claim has been denied:
Next, file for an immediate appeal or administrative hearing with the insurer. While it is unlikely that the company will reverse its own decision, it is essential that you do this to comply with the terms of your insurance policy to exhaust all available remedies.
Remember to ensure your policy actually does cover the damage you are dealing with, as many people wrongfully assume that they are covered when they are not. For instance, many people mistakenly think that homeowner's insurance covers flood damage, only to be left without coverage when a flood damages their home.
There are many reasons insurers will sue their insurance company. Understanding the reasons you can sue your coverage company, and the process for bringing the suit itself will help you if you find yourself in this frustrating situation. Here are some reasons you can sue your coverage company:
The standard of proof is also much higher when you are trying to sue an insurance company, as you must prove the company acted in "bad faith." A legitimate dispute or disagreement over coverage or benefits will likely not give rise to a bad faith claim.
All insurance companies have a team of lawyers who defend them and it is highly recommended for you to hire an experienced lawyer to help you with your claim. If you may have a legal case against your insurance company, you should contact an experienced business attorney. Your lawyer will help you understand the likelihood of winning a lawsuit against your company.
Last Modified: 04-06-2018 12:32 AM PDTLaw Library Disclaimer
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