Residents of Cedar Key, Bronson, Chiefland, Williston, Inglis and Yankeetown may receive services from their insurance company that could qualify for an insurance bad faith claim. Policyholders should keep in mind that Florida law provides that victims of bad faith conduct could be entitled to punitive damages in addition to any other compensation due to them through their policy.
Below are a few examples of bad faith practices used by the insurance company after you file a hurricane or storm damage claim:
Failure to investigate a claim.
Insurance companies that do not conduct a proper investigation or preemptively decide they will deny a claim, are acting in bad faith. Insurance companies have a duty to fully investigate a claim as outlined in their policy. Why would an insurance company avoid investigating a claim? There are many reasons, actually, including:
- They don’t think policyholders are aware of Florida laws surrounding the claims process.
- They think the investigation will end with them paying more than they would like to the policyholder.
- They are trying to cut costs by avoiding the investigation altogether.
Refusing to reimburse you for all of your losses.
Insurance companies must provide what they promise as outlined in their policies. Many policyholders are unaware of what they are rightfully owed and will accept lowball payouts because they do not realize they can re-file a claim or appeal an offered settlement.
Illegal denial of a claim that should have been paid.
Some insurance companies hope their policyholders do not know their rights. They rely on the fact that most will not file an appeal or complaint.
Extended delay in making payments to the policyholder.
In certain situations, the insurance company will accept your claim and pay the policy benefits. However, instead of making these payments in a timely manner, they may create delays so that they can hold on to their money longer. This is certainly unfair and illegal.
If you have experienced a similar situation as the ones listed above, you could have a claim for bad faith insurance practices. Call our Cedar Key Hurricane & Storm Damage Claims Attorneys at Whittel & Melton today at 352-264-7800 or contact us online for a free consultation.