Understanding Insurance Bad Faith Claim In Florida
Michael Babboni
Insurance Coverage
Getting into an accident is a traumatic experience. Aside from the injuries that you have to deal with, you also have to face expenses for medical treatments and car repairs. Depending on the extent of your injuries, you may even end up worrying about medical costs for a long time.Fortunately, in Florida, all vehicle owners have to carry personal injury protection (PIP) insurance policy. With this, you have something that will help lessen your financial problems in case an unfortunate incident occurs.
What It Is
Your insurance company will have to give you proper compensation to help with your accident-related expenses. However, there are instances when insurers do not treat claimants honestly and fairly. They end up not keeping their end of the bargain and either delay or deny a claim.
Many people do not like talking with insurance adjusters. Although their intended purpose is to help policyholders pay for damages and medical expenses, there are those who do not respond in a cordial and timely manner.
Acting in bad faith happens when a company attempts to avoid settling a claim even though they have a legal liability to pay out that money. If your insurance company does not settle or negotiate a valid claim, they are guilty of this action.
When To File A Claim
Not all claim denial is in bad faith. That is only the case if there is a deliberate attempt to deny a claimant the value of their claim.
Here are some common tactics that insurers turn to that can lead to a possible bad faith claim:
• The insurer fails to respond to a payment demand within the specified period.
• The company fails to convey necessary information to the claimant.
• The insurance agency denies or pays a claim after the specified time limit.
• They fail to settle the claim when the liability for a claim is clear.
• The insurer refuses to pay a claim without proper investigation.
An accident lawyer can help by sending a letter to the insurance adjuster for a possible bad faith action. The insurance company may respond to settle the case.
How To File The Claim
Under Florida law, a claimant can file a bad faith claim against an insurance company. However, this will be a separate case from the original claim. So if you file a claim after a wreck, you have to file another one for bad faith.
You can get the necessary forms from the Florida Department of Financial Services. They will have 20 days to either accept the document or return it for correction. The insurance company will have a 60-day window to respond. The insurer has to report within the specified time to correct their error, settle the said claim, or provide a counter-argument.
Some people may think that making a bad faith claim is an easy task. However, the whole ordeal can be a bit complicated. You may need to hire an experienced personal injury lawyer to help you out. Having an attorney by your side can ensure that you get the best possible outcome.