Texas Insurance Disputes Attorneys Discuss Insurance Bad Faith Claims 

When you fulfill your contractual obligations by paying insurance premiums, you have a reasonable expectation that your insurance company will honor its promise to pay out on your claim after a disaster has taken place. The expectation of receiving the insurance compensation and benefits that you paid for may be a reasonable expectation. However, many insurance policyholders who make a claim find their insurance company will not cover their property damage or medical bills pursuant to their underinsured motorist or uninsured motorist (UM/UIM) coverage, fail to cover the cost of repair or replacement of their home after a fire, or fail to provide the security for which premiums were faithfully paid.

The Unethical Business Practices of Certain Insurance Carriers

Our Texas bad faith insurance law attorneys at The Law Office of Alex Martinez are familiar with the unfair business practices that insurance companies use to increase profits while failing to abide by contractual obligations to policyholders. We receive many phone calls from individuals who want to retain our law firm because they have tried to obtain a payout from their insurance company only to receive a denial letter or receive a seriously undervalued settlement offer. Your insurance carrier is required to reply to reasonable inquiries regarding the status of your insurance claim and to provide answers to your questions regarding your claim. An insurance company might violate these responsibilities because the carrier understands that policyholders will often give in, or give up, or accept a “lowball” settlement. Our Texas insurance dispute lawyers are accustomed to hearing sad stories about the immoral and dishonest practices used by various insurance carriers. Our law firm is ready to fight for the insurance compensation and benefits that were promised to you under your policy.

What is an Insurance Bad Faith Lawsuit?

When your insurance company neglects to deal with your claim in good faith, you may have the right to seek damages for your loss, plus you may also have a right to seek non-contractual damages for the insurance carrier’s refusal to deal with you in good faith. Whether your insurance company is denying your insurance claim without a legitimate basis or unfairly undervaluing your claim, our Texas insurance bad faith attorneys can explain the strategies to obtain benefits under your policy, which might include filing a lawsuit for insurance bad faith.

The Obligations of Insurance Companies Toward Their Policyholders

The bad faith insurance lawyers at our law firm have years of experience litigating bad faith insurance claims, including but not limited to, the following:

  • Auto insurance/comprehensive coverage (full value of property damage including diminished value)
  • Denials of private long-term disability coverage
  • Denials of coverage by health insurance carriers
  • Failure to cover damage to your home (homeowners insurance coverage)
  • Fire damage claims
  • Refusal to defend against lawsuits
  • Roof damage claims
  • Uninsured Motorist (UM) & Underinsured Motorist (UIM) Claims

Our attorneys provide tenacious legal representation for all types of conduct constituting violations of an insurance carrier’s obligation to cover claims and avoid bad faith practices, which include the following:

  • Claims related to the scope of coverage and policy exclusions
  • Failure of the insurance carrier to properly calculate deductibles
  • Lowball settlement offers
  • Unjustified or unexplained denials of claims

Although insurance companies are contractually obligated to provide financial security from loss, insurance carriers do not increase profits by maximizing what they pay in claims. When your insurance carrier denies your claim, you should request that your insurer indicates in writing exactly why your claim is being denied and ask your insurance company to indicate the language or section of your policy that forms the basis for denying or undervaluing your claim. By requesting that your insurance company provide this information, you force the insurance carrier to defend a specific rationale for its position when we file a lawsuit for coverage, proper valuation, and/or bad faith regarding your claim. It is also advisable to document all communications with your insurance company.

When your insurance company fails to honor its obligation to pay your claim, defend you from a liability claim, or attempts to force you to settle for far less than the value of your claim, our bad faith insurance law firm helps policyholders obtain the coverage and benefits to which they are legally entitled.

We invite you to contact us if your insurance company fails to provide coverage for damage to your home, your car caused by an uninsured driver, or other covered forms of loss. We know the frustration that comes with dealing with an insurance company that refuses to honor its obligations or provide proper communication and promised benefits. Our legal professionals can review your correspondence with your insurance company and advise you regarding your rights. Our attorneys effectively represented many victims of bad faith insurance tactics just like you. If you or a member of your family is not being treated fairly by your insurance company, contact us for your initial consultation.

At The Law Office of Alex Martinez, we represent clients in all types of insurance claims matters. Call us today at (866) 253-9689.