When an insurance company denies a legitimate insurance claim in California, it may be acting in bad faith. In order to make a successful bad-faith insurance claim, you must prove that the insurance company had no reasonable grounds for denying your claim. This can be difficult to do, but by understanding the elements of a bad-faith insurance claim, you can give yourself the best chance of success.
The insurance company withheld your benefits under the policy
According to insurance law, insurance companies are typically obligated to pay insurance claims when they’re submitted unless there is a specific reason to deny the claim. If your insurance company has denied your claim without any justification, you may have a strong case for bad-faith insurance.
You will need to show that the insurance company knew or should have known that their denial of benefits was unjustified. If you have evidence that the insurance company was aware of the facts of your case and still denied your claim, this may be enough to show bad faith insurance.
The insurance company delayed payment of your benefits
In some cases, insurance companies may delay payment of insurance claims in order to force the policyholder to accept a lower settlement. If you can show that the insurance company delayed payment of your claim without any justification, you may have a case for bad faith insurance.
You will need to show that the insurance company knew or should have known that their delay in payment was unjustified. If you have evidence that the insurance company was aware of the facts of your case and still delayed payment of your claim, you may have a strong case.
The insurance company refused to investigate your claim
In order to make a fair decision on an insurance claim, the insurance company should investigate the facts of the case. If the insurance company refuses to investigate your claim, it may be acting in bad faith.
You will need to show that the insurance company knew or should have known that their refusal to investigate your claim was unjustified.
If you are able to prove all three of these elements, you’ll increase your chances of success in a bad-faith insurance claim. However, it’s important to keep in mind that insurance companies are often large and well-funded, so you’ll need to prepare yourself for a long and difficult battle.