Elkhart County Attorneys Focus on Bad Faith Insurance Claims
Indiana Personal Injury Law Firm Protects the Rights of Insureds
Although insurance companies have the right to deny claims that are false or not covered by the policy, they must have a sound basis for the denial, and are prohibited by law from operating in bad faith toward their policyholders.
What is Bad Faith?
Bad faith is a deliberate, deceitful act by an insurance company that readily fails to satisfy its legal or contractual obligations to policy owners. It is unlawful for an insurance company to wrongfully delay, deny, or try to avoid its obligation to consider and pay valid claims.
There are generally two kinds of bad faith actions:
- First-party – an insurance company declines to pay or thoroughly investigate a claim filed by one of its own insureds.
- Third-party – an injured party “stands in the shoes” of a first party against the its insurance company after the company unjustly fails to defend, support, or settle a claim within the limits of a policy purchased to protect them from the injured party’s claims.
In Indiana legal precedent provides guidance regarding how an insured can seek legal remedy against an insurance carrier who acts in bad faith while processing or paying (or failing to pay) an accident claim. The Indiana Supreme Court has held that an insurance company violates its legal duty when it fails to honor a claim “presented to it with no legitimate basis for the denial.”
Contact an Elkhart County, IN Insurance Bad Faith Attorney Today
Did you file an insurance claim in Elkhart County, IN and the insurance company is unfairly refusing to pay it? Contact the bad faith insurance attorneys at Kelly Law Offices, LLC online or call 1-800-859-8800 to set up your free initial consultation today.
