Bad faith insurance claims are defined as an insurance company failing or refusing to honor its contract and pay a valid claim. If this happens, you have the right to bring a civil action for damages against that insurance company. In addition to suing for a “breach of contract,” you might be able to bring a “tort” claim seeking damages based upon the insurer’s “bad faith” handling of the claim.
An insurance policy is a contract between the insurer and the insured. If the insurance company fails or refuses to pay a claim which should be paid under the terms of the policy, it is in breach of the contract, and the insured can pursue all available legal remedies for the breach. This is called insurance bad faith.
This usually involves filing a lawsuit against the insurance company. If successful, the insured will be able to recover its damages, which at least will equal the amount the insurer should have paid under the terms of the policy.
If you or a loved one has been treated unfairly by an insurance company, contact a Nebraska lawyer from Miller Grell Law Group experienced in bad faith insurance law claims for a free consultation at 402-261-4736 or toll free at 1-877-791-0029.