Section Photo Background
Section Photo Background

When you pay insurance premiums, you expect the insurance company to be there for you when you need them after suffering a personal injury. Unfortunately, that does not always happen as insurance companies may act in bad faith to minimize their financial liability.

If you believe your insurance provider acted in bad faith, you have the legal right to file a bad faith insurance claim. For legal advice and representation, contact Gingras, Thomsen & Wachs, LLP. We are a leading law firm based in Eau Claire, Wisconsin, focusing on insurance bad faith claims. Our bad faith claims legal team can guide you on what needs to be done to file a claim against the insurance company.

What Is Insurance Bad Faith and How Does It Affect Policyholders

Bad faith refers to an insurance company’s attempt to renege on its obligations to the policyholder by unnecessarily delaying the claim process, denying a legitimate claim, or offering an unreasonably low settlement offer.

It’s also considered bad faith insurance if the insurance company fails to disclose policy limitations and exclusions to the policyholders before they file a claim or purchase insurance. Instances of bad faith insurance can happen for any type of insurance coverage including auto insurance, life insurance, and health insurance.

Common Tactics Used By Insurance Companies to Deny or Undervalue Claims

Insurance companies can deploy various tactics to undervalue, delay, or deny claims in an attempt to minimize their payout. One of the most commonly used tactics is to request excessive documentation or unnecessary evidence with the aim of frustrating or confusing the policyholder. The unnecessary delay in gathering evidence can often cause the policyholder to miss important deadlines, undermining their claim.

Another tactic used is to interpret the insurance policy terms in their favor. As policies are often complex, insurance companies can use the policy technicalities to deny or undervalue claims. For insurance policies where pre-existing conditions can exist, the insurance companies can argue that the claim is related to a pre-existing condition and therefore is not covered under the policy.

In some cases, insurance companies can use third-party “experts” who have a bias toward minimizing payout to investigate the claim.

These are just some of the most commonly used bad-faith insurance tactics. Insurance companies can come up with new and innovative ways to reduce their financial liability. However, our Eau Claire insurance bad faith lawyers are familiar with such tactics and can protect you from being a victim of bad faith insurance.

Section Photo Background
Section Photo Background

The Role of an Insurance Bad Faith Lawyer In Protecting Policyholders’ Rights

An insurance bad faith lawyer is well versed in federal and state laws, such as the Unfair Claims Settlement Practices Act, that address bad faith practices. They use these laws to fight for the policyholder’s rights. The attorney can also help victims seek compensation to cover out-of-pocket expenses like lost income and legal fees.

In some cases, the court might even award punitive damages to punish the insurance company for their wrongdoing and discourage other insurance providers from acting in bad faith.

As insurance companies have the experience and resources to fight such cases, the policyholder might feel intimidated by going against the insurance company. However, an experienced attorney can help policyholders be more confident in their claims.

You need to take timely action. Ideally, you want to get the attorney involved early in the process so they offer their experienced legal guidance on each step.

What to Do If Faced With an Insurance Bad Faith Situation

If you believe you have been a victim of insurance bad faith, please get in touch with us at Gingras, Thomsen & Wachs, LLP. We will evaluate your insurance bad faith case to determine if you have the legal grounds to pursue a lawsuit against the insurance company.

With a team of highly experienced attorneys, Gingras, Thomsen & Wachs, LLP is dedicated to helping you fight against unfair insurance practices. Our firm has a proven track record of success, providing compassionate and dedicated legal representation for clients facing insurance disputes or other types of legal issues. Contact us today to schedule an initial consultation with one of our insurance bad faith attorneys in Eau Claire, WI.

Nationally Recognized Law Firm