Insurance Companies Are Businesses
Individuals have come to trust insurance companies. This relationship has built up over years and decades. Money is paid each month or each year to protect an insured against disease, property damage or other disasters. Unfortunately, it is not uncommon for an insurer to act in a hostile or adversarial manner toward the insured. If this has happened to you or a loved one, it is crucial that you contact a skilled California insurance bad faith claims attorney.
Consumers often forget that insurance companies are businesses — they sell insurance policies with the hope of making profits. In order to ensure their businesses are profitable, insurance companies look for ways to deny claims, delay claims, or reduce benefits on the majority of claims that are filed with them.
At Donahue & Horrow, LLP, our lawyers have dedicated a significant portion of our firm’s attention and resources toward representing clients who have been mistreated by insurance companies. Our experience and depth of knowledge in this field give us a unique insight into the motivations and processes adopted by the insurance companies. We can guide our clients through these emotionally trying and financially challenging times with ease and confidence.
So, what are insurance companies required to do under the law?
Numerous individuals have scheduled consultations with attorneys at Donahue & Horrow, LLP, to gain a clear understanding of how they should be treated by their insurer. Often, the first question we are met with is, “What are the duties of the insurance company?”
Generally, insurers owe three separate duties to their policyholders:
- the duty to defend;
- the duty to settle claims in good faith; and
- the duty to indemnify and pay coverage claims.
When an insurance company delays, devalues or denies a claim without proper consideration, it can be said that the company has acted in bad faith. Depending on the situation, and the severity of mistreatment, it is possible to recover not only the money owed by the policy, but punitive damages well in excess of the coverage.
Schedule a consultation with an experienced attorney to learn more about your options.
Trusted El Segundo California Insurance Disputes Law Firm
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. No matter where you are — in Southern or Northern California, our attorneys are here to help.