What is a "bad faith claim"?
A bad faith claim is when an insurance company unreasonably delays or denies payment for a legitimate claim.
How do I know if I have a "bad faith claim"?
When you purchase an insurance policy, the insurance company has a duty of good faith and fair dealing under Texas law. This means that the insurance company cannot deny or delay payment of a legitimate claim. If you feel that your insurance claim has been unfairly denied or delayed you should contact an attorney with experience taking on large insurance companies.
What are my rights under my insurance policy?
Your insurance policy is a contract between you and the insurance company. Under the policy you are obligated to pay your premiums to the insurance company and to promptly report any claim you have to the insurance company. The insurance company is then obligated to investigate the claim and promptly pay any legitimate claim.
How long does the insurance company have to pay my claim?
Under Texas law, an insurance company must promptly pay legitimate claims. The law allows the insurance company to investigate your claim, but they must act quickly and make a good faith effort to quickly resolve your claim. If it has been more than 6 weeks since you first reported your claim to the insurance company and they have not yet given you a decision on your claim, then you should contact an attorney who specializes in taking on insurance companies.
What Should I Do if My Insurance Company Is Denying Coverage or Delaying Payment?
You should seek legal advice immediately and contact an attorney with experience handling bad faith claims against large insurance companies. Sometime we can resolve cases for an insured without having to file a lawsuit, while others may require aggressive legal actions against the insurance company.
I made a claim against my neighbor's homeowner's policy for damage he caused to my home and his insurance company is not responding to me. Do I have a bad faith claim?
Under Texas law, you most likely do not have a bad faith claim. When you make a claim against someone else's insurance policy, the other person's insurance company does not have the duty of good faith and fair dealing with you. However, you should still contact an experienced insurance lawyer to determine if you can pursue a claim.
I contacted the Texas Department of Insurance about my insurance company, but they said there was nothing they could do for me. Do I still have a bad faith claim?
You may. Just because the Texas Department of Insurance does not take action against your insurance company does not mean you don't have a bad faith claim. You should still contact an experienced insurance lawyer to determine if you can pursue a claim.
