People buy insurance to protect themselves and their families in the event of automobile accidents, illness, injury, and other catastrophic events. When you submit an insurance claim, you expect to receive the benefits outlined in your insurance policy. However, many people find that the coverage they depended on is not available when they need it most. When Colorado insurance companies fail to honor the terms of your insurance policy or deny valid claims, they are acting in bad faith. If you have been in a Colorado Springs car accident or suffered a personal injury and your insurance company is not providing the benefits to which you are entitled, a Colorado insurance bad faith attorney can act as your advocate in a bad faith claim against the insurance company.
In Colorado, insurance companies are obligated to act in good faith and treat their policy owners fairly. This involves fair handling of claims made by the insured and against the insured. Insurance bad faith is intentional dishonesty or unfair treatment by an insurance company to the policyholder. This generally involves an insurance company’s failure to fulfill the terms of the insurance contract. Yet not all disputes between the insured and the insurance company are bad faith on the part of the insurance company. Sometimes there is a legitimate difference in how the insured and the insurance company interpret policy coverage. As such, determining whether bad faith has occurred can be complicated.
When an insurance company denies an uninsured motorist claim after an automobile accident, they may be acting in bad faith. Insurance bad faith may also occur when an insurance company fails to process a personal injury claim within a reasonable amount of time. Insurance companies may guilty of bad faith for a variety of reasons including:
- Making an unreasonably low offer to the policyholder – a practice referred to as “low-balling.”
- Rescinding or revoking coverage in order to avoid paying a claim
- Denying a claim for coverage stated in the insurance policy
- Unnecessarily delaying payment of claims
- Acting unreasonably in settling or defending a claim made against the insured by a third party
If you have a legitimate insurance bad faith claim you may be entitled to receive unpaid insurance benefits, attorney fees, and in some cases, punitive damages from your insurance company. Insurance bad faith clams can be difficult to prove, so if you are considering filing a bad faith lawsuit against your insurance company, you should contact a Colorado Springs insurance bad faith lawyer as soon as possible.
If you have been in an accident, Colorado Springs Personal Injury Lawyer Andrew C. Bubb will review your case for free and discuss with you all of your legal options. In some cases you may be able to recover compensation for medical expenses, lost wages, property damage, and pain and suffering. Call 1 (800) 773-4492 today or contact us through our website contact forms.
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