Everyday, policyholders file claims with their insurance company — and many of these claims are eventually denied.
When your insurance company doesn’t properly compensate you for the unpredictabilities of life, bad faith insurance lawyers can step in to give you a helping hand. Experienced law firm, Millin and Millin, wants to take the time to help you understand when a claim denial is in bad faith and how they can help.
We hope this article serves as basic instructions on what to do when you are denied in bad faith. You can also reach out for a FREE evaluation if you have more questions!
Above all, you must prove that you’ve tried everything within reason to work with the insurance company before resorting to legal action. Let’s review what this entails in a step-by-step guide:
If you still have no luck, it might be time to talk to the professionals and file a bad faith insurance lawsuit.
We here at Millin and Millin hope that this guide will help you if you find yourself in a situation where your insurance claim has been denied in bad faith. When something goes wrong, it’s important to always be informed in regards to your particular circumstances. If you’ve followed the above process and still need help, the bad faith insurance lawyers will certainly review your case.
Insurance helps us respond to disasters with strength by providing the funds we need to rebuild our damaged properties, homes, businesses, and replace our lost valuables. Understanding the procedures insurance companies use to provide relief aid will help make the recovery process smoother.
After you have presented a claim for damages, an insurance adjuster will come out to inspect your property damage and verify lost possessions. If you have already found a contractor who will help you rebuild, be sure they are also present the day the insurance adjuster visits you. Your contractor can help explain the rebuilding estimates you are facing to the insurance adjuster.
Depending on the adjuster's evaluation, your insurer will then offer compensation based on the total damages suffered. It’s important to be aware that this amount can be negotiated; homeowners are not forced to accept the first offer they get from an insurance company. This is another opportunity to have a contractor offer the true cost of repairs in case an insurance company is paying less than you expect or need.
If you believe your insurance company is failing to account for all damages, you can also hire an independent insurance adjuster to help negotiate your claim.
Finally, how claims are repaid will be affected if your home is still owned by a mortgage company. In this case, you will not receive the insurance funds directly, and instead will have to endorse a check that goes on to the mortgage company. Most of the work done to rebuild the home will have to be approved by the mortgage company, which usually means building contractors will be reviewed, and payments will be split into multiple parts based on their progress.
How much money the insurance company will pay for repairs depends on a few factors, all of which will be spelled out in your policy details.
First, there is a difference between paying replacement costs versus the actual cash value. Replacement costs are usually higher, since this uses the present-day cost of a new item that is purchased as a replacement.
An actual cash value refund is often less than the replacement cost, since the actual value of your items have gone down over time due to wear and tear.
Home insurance companies also charge a deductible fee for any item that they are replacing. This deductible amount is how much the homeowner is expected to pay towards the replacement of items. Insurance companies usually charge higher deductibles for damages caused by certain events like hurricanes, so this is another difference in policies to pay attention to.
The cost of rebuilding after a tragedy often includes more than just the value of your possessions; there are also lost wages, relocation expenses, and other factors you can take into consideration. The insurance policy you have been paying monthly premiums toward should tell you what other benefits you can take advantage of to repay expenses incurred because of a hurricane or other disaster.
Most plans include Additional Living Expense (ALE) benefits, to help you pay for the cost of hotels, food, and transportation after a disaster forces you to find shelter.
Cleanup fees can also be reimbursed by insurance, as the process of clearing downed trees and building structures is often the first priority in any disaster. In this case, be sure to keep all receipts as evidence of payment toward any rebuilding effort.
At Millin & Millin, we are dedicated to helping you get your insurance to pay out what is owed to you.
If you are having to file an insurance claim, it’s likely due to the fact that you have just suffered through a terrible event. Having to deal with the unscrupulous tactics of an insurance company is the last thing you need on your plate during this time.
Depend on the responsiveness of the legal team at Millin & Millin. We know how to deal with insurance companies acting in bad faith and can help you obtain the
compensation that is owed to you.
When tragedy strikes, we are often left emotionally vulnerable. When an expected safety net, like homeowner’s insurance, also fails us, the resulting confusion can lead to anger.
Hopefully, this listing of common reasons for why insurance claims are denied (and what can be done to avoid denial) can help bring calm and sense back to a stressful situation.
An insurance company must explain to you, in writing, why any insurance claim has been denied. Phone conversations are not enough to be a denial.
Basic reasons for denial include not paying premiums on time, not filing a claim in time, and not documenting the damages claimed. These are all legitimate reasons for denying a claim and do not leave much ground to fight the denial.
A more complicated matter comes from an insurance policy’s exclusions lists. For instance, home insurance in many coastal counties does not include an option to cover wind or hail damage, so these claims can be denied. Flood damage is also covered by a separate insurance, so those claims must be made with the appropriate organization, and not with your homeowner’s insurance company.
Homeowners may also be denied coverage based on how they presented the damage claims to the insurance company. Without good documentation, a company can deny your proof of possession. Homeowners are also expected to try to prevent further damage from occurring after the initial incident. For example, if a wind storm created holes in your roof, it is your duty to temporarily cover those holes, instead of allowing later rainstorms to further damage your home.
If you believe your insurance company is denying your claim without a legitimate reason, you can follow these steps below on your own, or you can find a Texas homeowners insurance claims attorney to help you take legal action:
At Millin & Millin, we are dedicated to helping you get your insurance to pay out what is owed to you.
If you are having to file an insurance claim, it’s likely due to the fact that you have just suffered through a terrible event. Having to deal with the unscrupulous tactics of an insurance company is the last thing you need on your plate during this time.
Depend on the responsiveness of the bad faith insurance legal team of Millin & Millin to get the justice you need when seeking your rightful compensation from deceitful insurers.
Gulf Coast living provides many exciting recreational activities that the land-locked residents of most other states do not get to experience. But these opportunities come with a risk; warm-water hurricanes.
Homeowners know they must prepare for these events, and that includes knowing how to purchase insurance that will help you rebuild in case your part of the state faces the might of a strong storm.
A storm can cause structural damage in a number of ways.
What first comes to mind is flooding, a catastrophe that is not covered in your typical homeowner’s insurance. Instead, an additional insurance rider must be purchased — flood insurance. If your homeowner’s insurance agency doesn’t participate in this federally-regulated insurance market, you can reach out to the National Flood Insurance Program directly to find a local agent and policy for you.
Another form of storm damage that must be considered is wind and hail. Again, these are catastrophes that are not usually covered in a typical homeowner’s policy! Homeowners must be aware of what is covered in their home insurance policy, and what is excluded. Protection against wind and hail damage is usually an additional expense item that must be added to a plan.
If your insurance does not offer this option, you may have to buy an additional insurance plan for your house from the Texas Windstorm Insurance Association.
If you cannot find the insurance protection you need for your home, look toward the Texas Fair Access to Insurance Requirements Plan, also known as the Texas FAIR Plan. They can help you purchase basic insurance for your home after you’ve been denied coverage by other insurance companies.
How to Make Your Home Insurance Work for You
Now that your home is covered, you should prepare for the worst-case scenario by starting the documentation you’ll need in case any sort of home damage does occur.
Create a list of the property you own, and then update the list regularly. Try to include information about when expensive items were bought, their price, and their serial numbers.
Most household items can be included in your list of property damaged from a storm, including spoiled food, so having this list will help you substantiate your claim in the future. Keep this list in a fire and water-proof container, and also keep any photographic evidence of your home’s valuables secure for future use.
Finally, be sure to stay on schedule with paying your insurance premiums. Do not allow insurance companies the opportunity to deny your damage reimbursement because of this basic requirement!
While we hope that our region will be able to avoid any major storms this hurricane season, we also want to ensure that the people of the Rio Grande Valley are fully prepared. Should your home suffer severe damage caused by a storm and you cannot secure the coverage to you, do NOT hesitate to contact the experienced insurance claim attorneys of Millin & Millin.
Get on the path of recovery by calling the legal experts of Millin & Millin today at (956) 631-5600.
The pandemic has affected all of us in a wide variety of ways, few of them good. Along with the wave of harmful events that affected businesses and individuals alike came a wave of insurance claims related to that harm. Unfortunately, proving your right to compensation can be difficult, and insurance companies will often do what they can to minimize or outright deny you what you’re owed.
Because of this, it’s important for all Texans to know their rights and what they can do if those rights are challenged. Today, your committed McAllen bad faith insurance attorneys at Millin & Millin will explain how knowing your rights is the first step in protecting yourself.
The legal rights that each of us has in the U.S. are complex and varied, but one major component is our ability to seek damages for harm inflicted upon us. This includes instances such as suing for car accident damages or damages caused by a crime, while also including harm caused by negligence rather than direct action. Negligent harm occurs when an entity fails to fulfill its obligation to keep you reasonably safe.
There are many entities that owe you a guarantee of safety. Each time you enter a grocery store or walk through a parking garage, the owners of those properties are responsible for taking action to protect you from foreseeable harm. This includes using cameras, keeping floors clean, and providing adequate lighting.
You can also be a victim of harm when an entity sells you a faulty product or drug. In these cases, the seller has a responsibility to provide you a reasonably safe product. If they fail to do so, then you have the right to seek damages for any harm that you suffer as a result of using their defective product.
While the aforementioned rights laid out primarily deal with physical injuries, you also have rights related to your property. Some of these rights are directly related to the examples above. For instance, property damage might be included in car accident compensation along with compensation for medical expenses.
In most cases, the compensation awarded to victims comes from an insurance claim, but those claims are usually made with the insurance company of the at-fault party. For example, if someone else causes your car accident, their insurance policy is meant to cover the damages. Similarly, if you are injured in a place of business, the insurance policy of the business owner should cover your costs.
However, there are other insurance claims that you will need to make under your own policies. These claims include claims for business interruption, property damage, and other types of business-related harm covered under your specific policy.
You have the right to make a claim against any type of damage covered in your insurance policy. Unfortunately, your insurance company may attempt to stall, mislead, or flat-out lie to you in order to avoid paying what they owe. In that case, you have the right to seek the assistance of a bad faith insurance lawyer to help you hold your insurance company accountable.
In many of the cases laid out above, getting the compensation you need comes down to whether or not the insurance company involved is going to act fairly. Because of this, it’s important that consumers and business owners have access to the legal representation of bad faith insurance attorneys.
Whether your house burned down or your business closed, you’re probably going to be making an insurance claim. If you feel that your insurance company is treating you unfairly or refusing to pay what you are owed, reach out to the McAllen bad faith insurance attorneys of Millin & Millin for help fighting back.
Just like other businesses, insurance companies are interested in making money. Because of this, they will sometimes act in bad faith in order to avoid paying out the compensation their policyholders deserve. One of the best ways to avoid falling victim to these bad faith practices is to be aware of them beforehand.
Today, your McAllen bad faith insurance lawyers at Millin & Millin will list the 6 most common types of bad faith practices done by commercial insurance companies. These acts should be taken very seriously as they can result in massive financial losses.
If you have experienced any of these issues, you should contact a bad faith insurance attorney immediately.
There are many ways that insurers can use deception to deny your claim or minimize your rightful compensation. Insurance policies can be incredibly complex, making it easier for these companies to deceive policyholders regarding their contents.
An insurer may use deceptive practices by intentionally withholding information about filing deadlines or available coverage. They may also lie about what exclusions are included in your policy in an attempt to deny valid claims.
Oftentimes, insurance claims are made by businesses that need emergency funds to cover some sort of unexpected damage or financial crisis. Because of this, delays in compensation can be a serious issue.
However, insurance companies usually have a specific reason for delaying their process of approving or rejecting your claim. Delays can give insurance companies greater leverage in settlement negotiations as claimants' needs become more pressing; delays may also discourage claimants from pursuing their claim at all.
In Texas, insurance companies have 15 days to respond to your claim, either by accepting, denying, or requesting more time with an explanation for that request. If you haven’t received a response within 15 days of filing, you may wish to contact a bad faith insurance attorney about filing a suit against your insurer.
In order to deny claims, insurance companies may simply decide not to investigate them fully. It’s possible that the company may have bad faith guidelines in place in order to ensure more claims are denied. Insurance companies are required by law to make a fair effort to evaluate your claim.
An insurance policy is a binding contract for both parties. With that, if you make a valid claim against that policy, the insurance company must accept that claim. Any denial you receive should have a factual and evidence-based explanation.
Insurers aren’t allowed to simply decide to pay you less than you need in order to save themselves money. Regardless, many insurers may attempt to do just that.
If your insurance company is lowballing their settlement offers, they may be acting in bad faith to protect their bottom line.
Sending threatening messages is absolutely never allowed for insurers. This may include threatening to share private information, threatening to harm you or your business physically, or any other messages that threaten any sort of harm for any reason.
If you receive any messages of this type, contact a bad faith insurance attorney. The law takes these actions very seriously.
Don’t let insurance companies take advantage of you. Seek the guidance of Millin & Millin bad faith insurance attorneys.
Request Your FREE Consultation
Here are some basic tips to keep in mind when submitting your Hurricane Hanna claim:In the case of this storm, these repairs may include closing holes in your roof, boarding up broken windows, and removing wet building materials from your property. This is an obligation under each of your policies.
Make sure you are hiring reputable contractors. Unfortunately, we have seen a number of cases where inexperienced or dishonest contractors and/or public adjusters take advantage of property owners dealing with catastrophic events.
For flood claims, it may never be advantageous to hire a lawyer, as you will never be entitled to attorney’s fees and, therefore, attorney’s fees would come out of your insurance payment amount.
The past few years have seen a few devastating hurricanes cause massive amounts of damage to Texas’ coastal region. While we here in the Rio Grande Valley have been fortunate to avoid any catastrophes, the reality is that a major storm can eventually hit our region.
That’s why being prepared this hurricane season is so important.
You not only want to have a plan in order to protect yourself and your loved ones, but you also want to make sure that you have the right insurance coverages in place so that you don’t have to handle the costs of hurricane damages all on your own.
Let the dedicated bad faith insurance claim attorneys of Millin & Millin provide you some tips that can help to minimize any storm damages while also giving you insight into additional insurance policies you may need to purchase.
Before a hurricane or tropical storm hit, you’ll want to take the proper steps to protect your home and property.
a. Inspect your roof for any damages such as leaks, loose or missing shingles, cracks, or other signs of roof damage that could become a major issue should a hurricane strike. Get it fixed as soon as possible.
b. Double check that your windows and doors are properly sealed with caulking.
c. Check your home’s gutters and drains for any damages that can lead to water leaking into your home.
d. Clean up your yard including trimming loose branches and placing loose objects into a storage room or home.
If a storm is definitely going to hit the region, you’ll want to protect your windows by using plywood or having storm shutters installed if possible.
Alongside physically preparing your home for a storm, you’ll want to make sure you have the right insurance coverage.
Many homeowners do not know exactly what their insurance covers and this can lead to a world of financial trouble if they aren’t careful.
Generally speaking, home insurance policies typically do not cover flooding and certain other damages that can occur if you live in an area prone to hurricanes, tropical depressions, or floodings. To ensure you are fully protected, start investigating as to whether or not you will need:
While we hope that our region will be able to avoid any major storms this hurricane season, we also want to ensure that the people of the Rio Grande Valley are fully prepared. Should your home suffer severe damage caused by a storm and you cannot secure the coverage to you, do NOT hesitate to contact the experienced insurance claim attorneys of Millin & Millin.
Workers’ compensation is a form of insurance that allows for employees to seek out wage replacement and medical benefits in the case that they are injured or harmed in any manner while performing their work duties.
Every state has its own conditions and requirements for employees who are attempting to file for these benefits. If you are going to file for workers’ compensation in Texas, you’ll want to review all information available to you on the Texas Department of Insurance website.
You’ll be able to find guidance on how to seek workers compensation as well as the forms necessary to file a claim.
Alongside understanding the process of what to do when attempting to secure workers’ compensation, you’ll also want to know what NOT to do. Your bad faith insurance lawyers at Millin & Millin would like to share a bit of information regarding filing a workers’ compensation claim so that you can begin the process of healing and recovery.
If you wish to receive treatment, compensation, and benefits for your work-related injury, beware these common mistakes.
1. Not knowing if your employer has workers’ compensation insurance.
Although it is required by many states, in Texas, employers have the ability to opt-out of obtaining workers’ compensation, except if they are public employers or if they fall under special categories.
It is necessary for employers who choose not to obtain coverage to notify the Division of Workers’ Compensation (DWC) and to ensure all employees are well-informed about the lack of workers’ compensation. However, employers who fail to obtain workers’ compensation insurance (also known as nonsubscribers), are liable for workplace injuries and illnesses. If sued, nonsubscribing businesses cannot argue that:
Regardless of the circumstances surrounding the injury, you should know whether or not you are protected by workers’ compensation insurance or if you will have to seek out another legal route to obtain compensation for your injury.
2. Reporting your injury too late.
If you have suffered an injury while on the job, you should report the incident to a supervisor or manager immediately. Generally, accident policies - which contain information on who needs to be notified of your injury - can often be found in the company’s employee manual.
If your company does not have an accident policy, it is best to inform multiple parties about what has happened. This includes your manager, supervisor, co-workers, and also those in Human Resources.
Often employees cannot file for workers’ compensation because they failed to notify their employer within an appropriate time frame. The longer you wait to notify your employer, the more challenging it becomes to prove that the injury happened at work and not on your own personal time.
You should be aware that the law generally requires you submit a written notice to your employer within 30 days of the injury. Although this is several weeks worth of time, you should not wait the entire duration as it may raise red flags.
3. Missing the deadline to file a DWC Form-041.
Once you have reported your injury to your employer, the next important action to take is to file a workers’ compensation claim for a work-related injury or occupational disease.
You can file with the DWC online or in person, but you only have a year after the injury to do so. The organization will gather information concerning your work situation, injury, and status. You may then follow up with the Office of Injured Employee Counsel.
Missing the deadline can impact your ability to obtain benefits or how much you can collect. Make sure to file the DWC Form-041 as soon as you report your injury to your employer.
4. Not Receiving Medical Treatment
It is essential that you seek medical treatment for your work-related injury in order to receive compensation or benefits. Failure to describe all work-related injuries or be truthful with any medical professional providing you treatment can harm your claim and ability to secure benefits.
The employer or insurance will generally appoint you to a company medical provider. Even if you choose to get a second opinion, you must attend these initial appointments to assess work-related injuries.
Additionally, if you begin to obtain workers compensation benefits, but fail to attend sessions with appointed medical providers, benefits can be terminated.
Even employers that do have Texas workers’ compensation insurance may try to opt-out of giving you these benefits, try to deny your claim, or act in an unfair manner.
Whether your home is involved in a fire, suffers water damage from flooding, or has mold, there are steps you can follow to reduce the anxiety and financial worries concerning your situation.
In an emergency situation, it can be puzzling to know who to seek help from. There may be many questions you may have, including:
In the case that you do wish to file a claim on these damages, the bad faith insurance attorneys at Millin & Millin can guide you along the journey towards obtaining compensation.
One of the first steps you might want to take is to reach out to a Disaster Relief agencies and there are many reasons why.
A disaster relief agency is an organization that is trained to assess the damages caused by a variety of incidents. These organizations can assist you in dealing with your insurance company to help restore your home.
Individuals working for disaster relief agencies can answer many of the questions that may be on your mind. Additionally, they can aid you in cleaning up the mess, help you to gather evidence for your claim, create an estimate for restoration of damages, and help you to deal appropriately with your insurance adjuster.
Some agencies even render the aid themselves and can help to rebuild your home.
The first step to dealing with a disaster is to make sure all of the home occupants are safe. If trouble does arise, contact emergency responders such as the fire department in case of a blaze.
Next, you will need to assess the damages yourself. Consider if the home is safe to remain in or if it is best to evacuate and seek shelter. If the home is safe enough to enter, assess the damage and take pictures as well as video to document the damages.
DO NOT, by any means move, rearrange, or try and clean up the damages. If you need to file a claim with your insurance company, they will need documented proof of the damages caused by the disaster. If you attempt to clean up the damages yourself, your insurance company may attempt to place fault on you.
Should a natural disaster or accident cause substantial damage to your home, you’ll want to take the necessary steps to ensure that you get a fair settlement. Take the following actions when filing your insurance claim to get your damage repaired properly and efficiently:
Keep in mind that the value of your compensation depends on many variables. Here are some things that may decide if you get compensated and at what value:
Get on the path of rebuilding your home by calling the legal experts at Millin & Millin today at (956) 631-5600.
