New Jersey Insurance Bad Faith Lawyers
People are often most vulnerable during the most dire of situations. To safeguard their well-being, many people in New Jersey pay monthly premiums to insurance companies so that, in case of some sort of disaster or hardship, the insurance company will help make living conditions more comfortable for the insured. However, some insurance companies fail to inform their clients of stipulations, and use unethical business practice as a way of proliferating business without the intent of fully assisting their clients as is stipulated in their policies.
According to Law.com, bad faith is "an intentional dishonest act by not fulfilling legal or contractual obligations, misleading another, entering into an agreement without the intention or means to fulfill it, or violating basic standards of honesty in dealing with others." Some examples of New Jersey insurance bad faith are:- Unnecessary delay in handling claims
- Refusal to make a reasonable settlement offer
- Unreasonably interpreting an insurance policy
- Inadequate investigation into insurance claims
Insurance bad faith is a term used to describe unethical business practice on the part of an insurance company. When a person pays into an insurance policy, that person is in fact entering into a contract with the insurance company. That contract guarantees that the insurance company will act in the best interest of the client as per the agreed upon stipulations of the contract. When insurance bad faith in New Jersey arises, it is considered a breach of contract and is therefore the right of the policyholder to seek necessary damages from the insurance company.
It is important to read over insurance policies and understand exactly what your insurance premiums are going towards each month. If an insurance claim you have is denied, then the reason for the denial must be stipulated in the policy agreement that you entered into with the insurance company. Even if your New Jersey insurance claim is denied, you have the right to appeal it, particularly if you feel as though the insurance company failed to grant you every opportunity in allowing your claim, and providing you with the coverage you purchased. Also, if the insurance company decides to change, alter or modify its policy with you, it cannot do so without your prior consent. Insurance companies have to inform their clients of all omissions and additions to policies, and must always act in the best interest of their policy holders. Misinterpretations of the policy on the part of the insurance company can also be an example of insurance bad faith, and should be compensated for duly.
Insurance is a service that people choose to pay for. If insurance companies are not delivering the products they claim to be peddling, then those companies can be held liable for negligence. If you feel as if you have recently been the victim of insurance bad faith, please contact the experienced New Jersey insurance bad faith attorneys at Lependorf & Silverstein for a free consultation. Allow us the opportunity to help you determine if you have a valid insurance bad faith claim.