What is bad faith insurance, and how might it come into play in a personal injury claim?

“Bad faith” in the insurance field is a term used to describe when an insurance company intentionally refuses to acknowledge the terms of an insurance policy during a personal injury claim.

When you enter into a contract with an insurance company for an insurance policy, whether for your car, home or health, there is generally an implied promise that the company will act in good faith.


Unfortunately, insurance companies are largely about making and keeping their money, meaning they’ll use certain strategies to damage your claim. Insurance adjusters are notorious for using tactics like demanding recorded statements or telling you not to get a lawyer so they can try to reduce or deny your claim.


Some examples of bad faith tactics include: 
  • unreasonably delaying settlement or payment in a personal injury claim;
  • post-claim underwriting, in which an insurer reevaluates your policy eligibility only after you file a claim; and
  • low-balling repair or damage estimates on your personal property. 


It may be difficult to tell when an insurance company is handling your personal injury claim unfairly, which is why you should exercise your right to legal counsel.


A personal injury attorney can help you review the insurance company’s conduct and determine if the actions they are taking in your claim are fair and in your best interest. If they are not, your attorney may be able to help you file a lawsuit against the insurance company to seek the damages you are entitled to under your policy.


Don’t Let the Bad Faith of Insurance Companies Ruin Your Personal Injury Claim


A bad faith insurance claim can happen in any legal situation, especially a personal injury claim. When the insurance company is willfully neglectful or unfair in their dealings with your claim, you may need the help of an attorney to get things right.

Don’t let the insurance companies take advantage of you – fight for your rights! At The Kahn Law Firm our husband-and-wife personal injury attorney team is here to help advocate for your rights so you can focus on recovery. Contact us today – 1-713-226-9900 or toll-free 1-844-301-KAHN.