What Are Some Examples of Insurance Bad Faith in Fort Lauderdale?
“Bad faith” is one of many legal phrases that might be confusing to the average person, but it makes sense to gain an understanding of this concept. This is especially true if you believe your insurance provider is acting in a fraudulent or dishonest manner. In this situation, an experienced property insurance lawyer in Fort Lauderdale may be able to help expose their misconduct and strive for positive outcomes.
Denying a Claim With No Reason or Investigation
If your insurer denies your claim outright with no valid reason or investigative process, this could be an example of bad faith. At the very least, your insurer should tell you why they are denying your claim. They should explain their reasoning in clear terminology. They also need to send you an official denial letter in writing. Even if they give you a specific reason, their behavior could constitute bad faith if they didn’t bother to actually investigate your situation.
Unreasonable Delays
This is one of the most common examples of insurance bad faith. Insurance companies know that the longer they delay, the more desperate you will become. If your home is unlivable due to damage, you might be spending a fortune on hotels and other expenses. Fortunately, insurance companies are not allowed to delay the claims process to an unreasonable degree. If you believe that your insurance company is engaging in stalling tactics (perhaps by constantly demanding you provide new documents), this may constitute bad faith.
Nondisclosure of Various Conditions
Your policy should clearly communicate all of the various conditions of your insurance. Your insurer cannot suddenly introduce new conditions and details without disclosing them in advance. For example, your policy may state that you are covered for flood damage. If the insurer suddenly claims that your policy excludes the garage area, this could be bad faith if this condition was not included in the original policy.
Lowball Offers
Another common issue is a lowball settlement offer. Insurance companies should offer you a fair amount that will actually cover your losses – and this could constitute bad faith. That being said, this is still a very common practice in the insurance industry – and it highlights the need to negotiate alongside an experienced lawyer.
What Are the Penalties for Insurance Bad Faith in Florida?
If it becomes clear that an insurance provider is engaging in bad faith, they may face various financial penalties. However, the real benefit of establishing bad faith is simple: You can finally get the settlement you deserve, and you can put an end to these ridiculous tactics once and for all.
Contact Our Fort Lauderdale Property Insurance Lawyers Today
At Geyer Fuxa Tyler, our legal team is made up of a diverse combination of attorneys who are well-positioned to protect the legal rights and financial interests of policyholders. If your property insurance claim was denied, we can help. For a free consultation, please call us today at (954) 990-5251. With an office in Sunrise, we represent policyholders in Broward County and throughout the state of Florida.
Sources:
newsweek.com/beware-bad-faith-home-insurance-wake-growing-hurricanes-opinion-1965062
tampabay.com/news/florida-politics/2024/11/19/state-run-citizens-insurance-had-worst-rate-paying-floridians-claims/
