If you’ve signed an insurance contract, paid your premiums, and filed on time for a valid claim, you should be able to access the insurance coverage you need. However, insurers often use bad faith practices to avoid paying fairly for legitimate claims. If your insurance company fails to treat you fairly, you may need to file a bad faith lawsuit to seek fair compensation.
If you think your insurance company acted in bad faith, keep reading to learn more about the process, how long it takes, and factors that can impact the timeline of your legal action.
Insurers are required to engage in fair dealing with their customers, providing fair insurance payments for valid claims. When insurers fail to act in good faith, insurance policyholders have options. Below, we explore the entire legal process for accessing bad faith compensation by suing your insurance company:
1. Filing an Insurance Claim – The first step is to file an accurate and complete claim with your insurance within your policy filing deadline.
2. Filing an Appeal – If your claim is rejected or undervalued, you can file an appeal with the insurance company.
3. Filing a TDI Complaint – You can also file a complaint with the Texas Department of Insurance (TDI) for bad faith actions by insurers.
4. Sending a Demand Letter – If your appeal is denied and your complaint is ineffective, you can send a demand letter to inform the insurance company of your intent to sue.
5. Filing a Lawsuit – If your demand letter is ignored or disregarded, you can file a lawsuit to take legal action. You will typically need to file your lawsuit within two years of the bad faith act.
6. Making Settlement Negotiations – Once a lawsuit has been filed, your bad faith attorney will negotiate for a fair settlement, taking between weeks and months.
7. Going to Trial – The majority of bad faith cases settle out of court, but if no settlement can be reached, a trial may be necessary. This can add significant time to your claims process as your lawyer proves bad faith in court.
8. Filing Legal Appeals – If your trial is unsuccessful, you can file an appeal. You can expect the appeals process to add considerable time to your lawsuit.
9. Getting Compensation – After a settlement has been reached, you may have to wait up to another six weeks to get paid.
If you think you were treated in bad faith, we can help hold your insurer accountable. We will begin with an initial case evaluation to carefully review your options. Make sure to keep copies of all communications with your insurer, and get in touch with us as soon as possible.
There are numerous factors that can drastically impact the length of your life, auto, or homeowners’ insurance bad faith lawsuit. If you plan on filing a lawsuit for bad faith tactics, a few key issues impacting the typical timeline include:
With all these details in mind, you might be left a little confused as to how long you can expect your lawsuit to take. To put it simply, most bad faith cases take between one and three years to settle.
If you plan on filing a lawsuit for bad faith, it’s important to keep this timeline in mind and act as soon as possible to start the process. Delaying could both make the process longer and potentially put your claim at risk. To get started on your bad faith insurance lawsuit, don’t wait to reach out to our bad faith insurance law firm.
From asking for unnecessary documentation and misrepresenting policy terms to harassing or intimidating policyholders, there are many types of bad faith practices that an insurer may engage in. Bad faith also includes unreasonable delays in your claim, low-ball settlement offers, and being wrongfully denied. If you believe your insurance company is acting in bad faith, it’s time to get help from an experienced attorney.
Experienced legal counsel can make all the difference in your case. A lawyer can determine whether bad faith occurred, what you’re owed, and make a strong argument for fair compensation. With our in-depth understanding of the Texas Insurance Code, we can help you achieve a favorable outcome while your insurer is held accountable.
Whether your insurance adjuster misled you about your insurance policy or your claim was unreasonably denied, you can count on the capable bad faith insurance lawyers at Millin & Millin Attorneys for legal assistance. We can help you understand policy language, access evidence and expert testimony, and file suit for compensation.
If your insurance company has treated you in bad faith, we’re here for you. Reach out to learn about your options for seeking full compensation for your losses.
