Steps For Filing a Bad Faith Insurance Claim

Steps For Filing a Bad Faith Insurance Claim

Car Accident Lawyer

Purchasing an insurance policy is an investment in your future. When you do buy it, you are also buying a sense of protection and peace of mind. When an event occurs that you know your insurance will cover, you have one less thing to stress about should a bad situation arise. Unfortunately, just because you have insurance does not mean that your insurance will kick in for any event that happens, and when they deny your claim outright for unknown or unjust reasons, it is possible to pursue a bad faith action. It is important that you know just because your insurance company denies a claim does not mean that you must take this as the final answer. Instead, there are steps you can take as recommended by the insurance recovery attorneys so that you can pursue a bad faith insurance claim. If you have any additional questions, please contact a law firm today.

Follow the Steps Below

If an insurance company has placed you in a position where you think the best next step is filing a bad faith insurance claim, follow the steps below.

Step #1. Examine Your Insurance Contract

Before you take the steps to file your bad faith claim, you want to ensure that the insurance company has violated your contract. Remember, a contract is between two parties—you and the insurance company. Just because they enter into these types of policies every day does not mean they cannot make mistakes. Get a copy of the full contract, check that it has the right dates of coverage, and ensure that the claim you originally tried to make is covered under the contract.

Step #2. Gather Evidence for Your Original Claim

Once you have established your claim should fall under the contract, you want to prove that your original claim is valid. To prove that it does fall within the terms outlined in the insurance policy, gather any supporting documents you might need for evidence, including photos you provided to your insurance company, receipts, estimates, and any conversation you had with the insurance company.

Step #3. Show That They Denied Your Claim

It is important to have documentation on the denial of your claim. If they choose not to reverse their denial decision, you can speak with an insurance attorney and appeal to the insurance regulatory agency in your state. In some cases, the insurance company may decide to reconsider their denial of your claim.

Step #4. Take Final Action

It is important that you show you tried to settle your claim one final time. To do so, send a demand letter to your insurance company that details your claim and ensure you have a proof of mailing the letter. Once received, your insurance will have anywhere between 15 and 60 days to reverse their decision. Once this time is up, you can begin the process for filing your bad faith insurance claim.

Fighting with insurance companies can be tricky. If you believe you have reason to file a bad faith insurance claim, please reach out to a bad faith litigation lawyer Chicago, IL offers to discuss your case and see what your best steps are.

 


 

Thanks to Childress, Loucks & Plunkett for their insight into dealing with insurance companies and bad faith claims.

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