As a licensed driver in the State of Nevada, you purchase an auto insurance policy under the impression that when you need it, the insurance company will step in and help cover expenses related to an auto accident. And, as long as the damage is covered under your policy, you would be correct to assume so! That being said, there are instances when an insurer will attempt to back out of its obligation to a policy holder’s legitimate insurance claim by refusing to pay out the claim or by failing to properly investigate and process the claim within a reasonable period. This is known as bad faith insurance.

Examples of Bad Faith Insurance Practices

While there are many ways in which an insurance company can act in bad faith, it is important to have an idea of what that might look like in practice. One common bad faith practice is to deny a claim by stating that it is not covered on the policy despite it being in the policy. This bad faith tactic works when policyholders do not read every line in their policy agreement.

Another bad faith practice that insurance companies may employ is settling or low-balling a claim for much less than the policyholder could and should be paid for the damages.

How to Prove Bad Faith Insurance

While it can be difficult to prove bad faith practices, it is not impossible. It is important that you thoroughly document all interactions with the insurance company including those where they reference their reasons for denying a claim or for not investigating properly. If an insurance company is in fact acting in bad faith, you may be able to file a lawsuit against them. 

Call Willoughby Shulman Injury Lawyers

If you suspect that your insurance company is acting in bad faith, either by denying your valid claim or by refusing to properly and thoroughly investigate the matter, do not hesitate to contact the law firm of Willoughby Shulman Injury Lawyers. Our legal team can help you every step of the way. As experienced personal injury attorneys, we know how the insurance companies operate and will fight for you to recover all of the damages you are entitled to. Schedule a consultation today.