We Buy Insurance For Peace Of Mind, So What Should You Do When The Insurance Company Won’t Pay?

From Los Angeles law offices our attorneys offer statewide legal representation for victims of insurance bad faith including Southern California, San Francisco, the Bay Area, and all of Northern California.

Holding Insurers Accountable For Their Actions

An insurance company must uphold its duty of good faith and fair dealing when investigating a policyholder’s claim. If the claim is denied unfairly and without giving it the proper consideration, that carrier is said to have acted in bad faith.

We buy different types of insurance for different reasons. We buy health insurance to ensure that we will be better able better afford to go to the doctor to take care of ourselves and our families. Health insurance offers some financial protection if we are sick, or need hospitalization or surgery, so that the cost of care won’t present an undo financial hardship.

People buy disability insurance to guard against the event that if an income earner becomes disabled he/she will be able to continue to be self-sufficient and provide for themselves and/or their loved ones. And, we buy life insurance to help provide for loved ones after we are gone.

Policyholders may pay premiums for years or even decades before it becomes necessary to collect on life, or disability benefits with the false assurance that just because they made timely payments, the insurance company will also pay out benefits in a timely manner.

We buy insurance for peace of mind and insurance company ads are targeted towards that need promising we are in good hands, or like a good neighbor they will be there for you when you need help. The problem is, that even when you have purchased insurance, you may still find yourself in a battle with your insurance company over your benefits when it comes time for them to pay on a claim. Suddenly that “good neighbor” isn’t so friendly, and those hands you thought you were in are signing off on claim denials.

Some of the nation’s biggest insurance companies — Allstate, AIG, and State Farm among others — have denied valid claims in an attempt to boost their bottom lines. These companies have rewarded employees who successfully denied claims, replaced employees who would not, and when all else failed, engaged in outright fraud to avoid paying claims.” Source: American Association For Justice

Implied Covenant of Good Faith

California law holds insurance carriers to a high standard regarding the way they are required to conduct business, including the processing and payment of claims. And, in every insurance policy issued in California, there is an unwritten requirement of insurers to uphold its duty of good faith and fair dealing as required by law. Still, insurance companies use a wide variety of tactics — some of which are illegal in California — to delay or deny insurance claims of all types.

The implied covenant of good faith carries several duties, including, but not limited to:

  • Thoroughly investigate the insured’s claim and to fully inquire into all possible bases that might support payment of the claim;
  • Objectively evaluate the insured’s claim and to give at least as much consideration to the insured’s interests as it does its own;
  • Promptly investigate the insured’s claim;
  • Timely respond to the insured’s inquiries and otherwise communicate with the insured.

We Buy Insurance For Peace Of Mind, So What Should You Do When The Insurance Company Won’t Pay?

The first thing you should understand about insurance companies is that they are businesses and to maintain their profits they look for ways to deny claims or underpay on claims. The second thing you should know is that just because an insurance company has denied a claim does not mean that is the end of the issue. Wrongfully denied claims can be appealed and our lawyers can hold them accountable if they acted in bad faith.

At Donahue & Horrow, L.L.P., our insurance bad faith lawyers have more than 50 combined years of experience guiding clients through these challenging times. By carefully investigating your claim and the accident that led to it, we can develop a strong and effective strategy for negotiating with your insurance carrier. If we cannot reach a beneficial settlement, we are fully prepared to represent you in court. Do not become frustrated when you receive an insurance denial notification — contact a skilled attorney for representation.

It is important to hold your insurance company responsible for its actions. If the insurance company has ignored its good faith duties and unreasonably denied your benefits claim, we encourage you to call our office and schedule a free consultation.

Headquartered in the Los Angeles area, Donahue & Horrow, L.L.P., also represents clients in Northern California communities such as San Francisco, Oakland, San Jose, Sacramento and Hayward.

Contact a San Francisco Insurance Bad Faith Attorney Today

To learn more about how our attorneys can help you, and to discuss your rights and options with an attorney who has extensive experience handling cases of insurance bad faith in California schedule a free consultation today. We represent clients in communities throughout all of California. Call us at 877-664-5407 or contact us online to schedule an appointment — there is no need to come to our firm– from Los Angeles area law offices, we take cases throughout the state of California and can come to you, or handle virtually all your needs via phone, FAX, mail, and email.

Our law firm handles insurance bad faith cases arising out of a wide variety of claims, including: