Bad Faith Insurance Lawsuits

reviewing claims at home

People buy insurance in a spirit of trust. They feel assured that the insurance policy will bear the heavy financial responsibility if property is damaged or a family member or friend is seriously hurt. Unfortunately, insurance companies often break their promises. Customers have the right to hold them accountable.

What is a Bad Faith Insurance Claim?

Insurance bad faith is when an insurance company fails to fulfill its duties to the customer. People pay for their services because they assume they will act in good faith.

Your insurer is legally obligated to:

  • Act in good faith
  • Treat you fairly
  • Communicate with you promptly and clearly
  • Help process your claim
  • Reasonably and promptly investigate the claim
  • Pay claims according to the insurance policy

If your insurance company fails to meet these standards, that could constitute a bad faith insurance lawsuit.

man and woman in a thoughtful conversation

Examples of Bad Faith Insurance

There are two types of insurance claims.  The first is when you submit a claim to your insurance company for losses to you or your property or losses of your family.  This is called a “first-party” claim.

Bad Faith Insurance Practices in First-party Claims May Include:

  • Failure to investigate the claim
  • Failure to negotiate and settle in good faith
  • Unreasonably denying the claim

Unreasonably delaying the process of investigation and settlement.
The second type of claim is when another party makes a claim against you.  This is called a “third-party” claim.

Worried Man Waiting In Waiting Room.

Bad Faith Insurance Practices in Third-party Claims May Include:

  • Failure to investigate the claim
  • Failure to defend you in court
  • Failure to negotiate a settlement
  • Failure to pay what you are responsible to pay up to policy limits

Our attorneys have experience suing insurance companies that act in bad faith against their policyholders in situations like auto accidents, health insurance, and negligence. Over the years we have helped people in the greater Seattle area recover full payment from their insurance companies. It’s all about doing what’s right.

Settlements for Insurance Bad Faith Claims

  • $2,940,000 settlement for recovery of interest, attorney fees, and bad faith damages in a wrongful death case
  • $2,000,000 settlement for policy limits on behalf of a woman who suffered significant orthopedic injuries in a car crash
  • $600,000 settlement, including $200,000 over the defendant’s insurance policy limits for a woman who suffered a fractured hip when a yacht operator plowed into her dinghy.

The Insurance Bad Faith Attorneys at the Stritmatter Firm Are Here to Help

Contact us today for a free case evaluation.

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