Insurance Law: Duty to deal fairly and acting in bad faith
According to state and federal law, insurance companies are obligated to abide by a common pledge. They are obliged by the duty to deal fairly with insured members. The implied term of the promise of good faith exists in every insurance contract and an insurance law attorney protects the rights of individuals and families when an insurance company fails to act in good faith. When an insurer fails to honor their contractual obligations, the company is said to have acted in bad faith and you may be able to make a claim against the company for these violations.
Examples of bad faith under Texas law include:
- Denying or intentionally delaying benefit payment
- Failing to provide for your defense, if you are sued
- Ignoring contractual procedures in certain compensation disputes
Bad faith cases result from disputes between insured individuals and their insurance companies. A claim of bad faith can only be made against your insurer and not the other driverâ€™s insurance company. The case will be a fight and you can count on your insurance law attorney from The Law Offices of Regis Mullen & Shane Mullen to be at your side throughout the entire process.
How courts interpret insurance contracts may come into question, since these contracts often contain ambiguous language that is open to interpretation. It is essential to seek the advice of an experienced insurance law attorney with knowledge of the vernacular and policies of the insurance industry. The insurance law attorneys at The Law Offices of Regis Mullen and Shane Mullen are here to help.
Damages in Bad Faith Cases
If you prevail in your law suit and demonstrate that your insurer acted in bad faith and breached their duty under the law, the insured can recover all related damages. An insurance law attorney can advise you about the damages that can be recovered in your specific case, but the possible damages that can be recovered include:
- Consequential losses
- Loss of use of the insurance proceeds
- General damages
- Attorney fees
- Certain punitive damages
If you or a loved one has suffered as a result of the bad faith action of an insurance company, contact us to schedule a free consultation with an insurance law attorney in the Dallas/Fort Worth area. You can call our office at (214) 747-5240 or submit a simple case form online. If your case is accepted, we work on a contingency basis and only get paid when we are able to recover compensation for you. You may have a valid claim and be entitled to compensation. Donâ€™t delay; contact us to schedule your free consultation to discuss your case with an insurance law expert.
The above is not legal advice. That can only come from a qualified attorney who is familiar with all the facts and circumstances of a particular, specific case and the relevant law.