What are punitive damages?

Punitive damages serve the function of punishing a person or entity for outrageous behavior or egregious conduct. Under California law, it must be shown that a party has acted with malice, oppression or fraud in order to claim punitive damages. It is not uncommon for individuals to seek punitive damages against their insurance company following a denial or mistreatment.

At Donahue & Horrow, LLP, our attorneys have more than 50 combined years of experience guiding clients through a variety of challenging financial times. We understand the frustration and confusion that is generated when an insurance company mistreats a loyal policyholder. Through a detailed and careful examination of your situation and supporting documentation, we can provide valuable insight about your case, your challenges and your potential compensation.

Insurance Bad Faith Claims and Punitive Damages

When it is determined that an insurance company acted outside the bounds of acceptable conduct, a jury can award punitive damages. These damages represent monetary compensation over and above any financial payments through the insurance policy itself.

There are three fundamental factors that the jury must consider when determining punitive damages:

  • The reprehensibility of the harm
  • The financial status of the defendant
  • The ratio of punitive damages to the actual damages awarded

Insurance Bad Faith Attorneys in Southern California

As this is a constantly evolving area of the law, it is wise to seek the counsel of an experienced lawyer as soon as possible. We can fully investigate your situation and proceed to aggressively defend your best interests while ensuring that your rights as a policyholder were not violated. Schedule a free consultation with an attorney at Donahue & Horrow, L.L.P., today.

All cases are taken on a contingency basis, which means you pay nothing and we receive nothing unless you win your case by way of settlement or verdict. Call our Los Angeles-area office toll free at 877-664-5407 or e-mail us to schedule a free consultation to discuss your case.