Insurance Bad Faith Claims

The contract between an insurance policyholder and a policy provider clearly runs off of the assumption that if a person pays for a policy, they should receive the proper amount of coverage. However, some insurance providers may not honor a policy or may drag out the coverage payment process to the detriment of the policy holder. In these cases, that individual can file a lawsuit against the insurance company on the grounds of bad faith.

For insurance companies, a bad faith lawsuit illustrates either that provider’s unwillingness to give up the proper sum of coverage or an unacceptable sluggishness in the process. As many policyholders depend on the protection of their insurance policies if their vehicles are damaged in an accident, insurers need to provide prompt pay-outs for these damages. Otherwise, the policy holder can suffer financially because of a lax attitude from the insurer.

In addition to slow payments, the lack of a payment can also be a major concern. A policyholder has the right to collect a missing payment and pursue legal action if the policy provider outright refuses payment. Additionally, a policyholder can pursue litigation if an insurer will not provide coverage that the policyholder has paid for. He or she may  hire a lawyer to pursue a personal injury claim.

If you or someone you love has been treated improperly by an insurance company, litigation may be the solution. To learn more about your rights and options as a wronged policyholder, contact the Austin car accident lawyers of the Law Offices of Vic Feazell, P.C., today by calling 877-948-4842.