Types Of Bad Faith Cases We Can Help You With
At HagEstad Law Group, we handle both first-party and third-party bad faith claims. We vigorously represent insurance companies against allegations of bad faith. Here are the types of cases we are proficient in handling:
First-Party Bad Faith
- Inadequate claim processing: Ensuring proper steps are taken during claim processing to prevent accusations of bad faith.
- Improper or inadequate claim investigation: Safeguarding against inadequate investigation or excessively intrusive inquiries that could lead to bad faith claims.
- Delay in payment: Offering guidance in timely payment practices to avoid implications of bad faith.
- Unreasonable denial of claim: Ensuring that the grounds for denial are reasonable and justifiable.
Third-Party Bad Faith:
- Failure to settle: Providing counsel to make informed decisions during settlement negotiations to prevent bad faith claims.
- Failure to defend: Ensuring compliance with the duty to defend insureds against third-party claims.
Negligent handling of defense: Advising on best practices in defense strategies to avoid allegations of bad faith or negligence.
Common Duties Of Insurance Companies Acting In Good Faith
As an insurer, acting in good faith is essential to uphold your reputation and avoid legal complications. Here are the fundamental duties insurance companies must observe:
- Duty to Investigate Claims: Ensure an appropriate and timely investigation is conducted before issuing any determination on a claim.
- Duty to Uphold the Terms of the Policy: Strict adherence to the terms of the insurance policy is mandatory, including honoring legal and financial obligations.
- Duty to Defend Policyholders: Offer legal representation to insured parties when required under the policy terms.
- Duty to Indemnify: Obligation to cover judgments and settlements as dictated by the policy terms and limits.
When Can A Bad Faith Claim be Filed Under the Montana Unfair Trade Practices Act?
Insurance companies must adhere to the Montana Unfair Trade Practices Act (UTPA) to ensure fair treatment of claimants. As a distinguished Montana bad faith insurance attorney, HagEstad Law Group stands ready to vigorously defend insurance companies against claims filed under the UTPA. Below are instances when claimants might allege violations of the UTPA, and in such cases, insurance companies need an adept legal defense:
- Unjustified Denial of Insurance Coverage: Claimants may allege bad faith when they believe the insurance company has denied coverage without reasonable grounds. Our attorneys evaluate the case meticulously to present a strong defense.
- Failure to Investigate the Claim: When accused of not conducting prompt and thorough investigations, our team demonstrates the efforts taken by the insurance company and the validity of their process.
- Unreasonable Delay: If claimants allege that the insurance company has caused losses by unreasonably delaying a claim, our lawyers craft a defense that emphasizes due diligence and adherence to procedure.
- Undervaluation of Claim: When faced with claims of offering less than the full value, we defend insurance companies by elucidating the evaluation process and ensuring that it aligns with industry standards.
- Denying a Claim without Reason: If a claimant asserts that their claim was denied without explanation, our Montana bad faith attorneys work to substantiate the grounds for denial.
- Ignoring Time Limit Demands: In cases where the insurance company is accused of not responding within time constraints, we establish the rationale behind the timeline and actions taken.
- Insurance Policy Misrepresentation: If an insurance company is accused of misrepresenting facts or policy provisions, our defense strategy focuses on clarifying communication and policy terms.
Why Do You Need An Insurance Bad Faith Lawyer?
Engaging a veteran Montana bad faith attorney is critical to protect your insurance company from allegations of bad faith, which can damage your reputation and result in substantial financial losses. Our attorneys provide seasoned counsel, ensuring that your claim-handling procedures are compliant, that you are well-prepared for any litigation, and that your company's interests are vigorously defended.