Atlanta Insurance Bad Faith Lawyers
Insurance Bad Faith
Insurance, whether medical, car, motorcycle, home, or any other type, is purchased as financial protection against the costs associated with illness, injury, and other unfortunate and/or damaging events. People put their trust in their chosen insurance company to provide fair compensation in the event that they suffer illness or injury. However, insurance companies are in the business of making money or, at the very least, giving up as little of it as possible. Many insurance companies look for any opportunity to deny claims, even when they are legitimate, in order to avoid paying out coverage. This practice is known as insurance bad faith.
Examples of "Bad Faith"
Insurance bad faith most commonly occurs in motor vehicle accident cases. Under Georgia law, insurance companies must deal with their policy holders in "good faith," or fairly. Unfortunately, many do not. The two major ways an insurance company acts in bad faith involve denying legitimate claims and not paying the full amount of coverage under the policy.
1. In order to avoid paying out on a policy after a car, motorcycle, or truck accident, insurance companies may deny the claim, even if it is valid and the policy holder’s coverage clearly covers it. Oftentimes, insurance companies will even provide a reason for the denial, which is usually false or inapplicable.
2. In some cases, the insurance company won’t deny the entire claim, but will deny the full benefits of coverage. For example, if an injured person’s medical costs after a car accident total $20,000 and the insurance company may only pay out $5,000, despite the full coverage amount being $40,000.
In both these instances, the insurance company is valuing their profits above a person’s well-being. The reason why this is common practice is because many people don’t fight the insurance company’s decision. At The Law Offices of Wayne Grant, P.C., we find the insurance companies’ unlawful exploitation of its policy holders inexcusable and consider it our duty to enforce "good faith."
Georgia Motor Vehicle Liability Insurance Law
According to Georgia law (O.C.G.A. § 33-4-7), "[in] the event of a loss because of injury to or destruction of property covered by a motor vehicle liability insurance policy, the insurer issuing such policy has an affirmative duty to adjust that loss fairly and promptly, to make a reasonable effort to investigate and evaluate the claim, and, where liability is reasonably clear, to make a good faith effort to settle with the claimant ..."
If an insurer violates their lawful duty, they not only must pay the claimant for the loss, but must also pay greater than 50 percent of the insured party’s liability for the loss or $5,000, as well as all attorney fees associated with the action.
We Always Practice in Good Faith
Insurance companies that act in bad faith do so with the preconception that policy holders will not question their decisions, knowing that their actions are unlawful. The only way to get the compensation that is rightfully owed to you quickly and efficiently is to handle all insurance issues through a knowledgeable lawyer. At The Law Offices of Wayne Grant, P.C., our Atlanta insurance bad faith attorneys can ensure that all insurance companies involved provide fair and maximum compensation in accordance with the policy coverage. Before you make or sign any statements or initiate any other dealings with any insurance company, contact us for a consultation at (404) 995-3955 or toll-free at (866) 249-5513.
