Insurance Disputes/Bad Faith Claims
Home » Practice Areas » Insurance Disputes/Bad Faith Claims
Insurance litigation usually involves disputes concerning contracts or policies of insurance in the state and federal civil courts. In certain cases, insurance companies owe legal duties to persons with whom they do not have a contractual relationship. Most insurance disputes involving insurance policies are governed by state statutes. These statutes allow the policyholder to collect attorney’s fees if successful in a lawsuit against their own insurance company.
Furthermore, insurance companies have a legal duty to act fairly and honestly toward both their policyholders and insureds. This duty includes the legal duty that they settle claims and protect their insureds from lawsuits when presented with a reasonable opportunity to do so. Bad faith cases typically arise when a liability insurer refuses to pay their policy limits to a claimant when it is clear that the claimant’s case has a potential jury value equal to, or in excess of the insurance policy amount. Consequently, their policyholder or insured gets sued, and when a jury returns a verdict in excess of the policy amount, the policyholder or insured becomes personally liable for the amount over the policy limits. The policyholder may then have a potential bad faith case against its own insurance company for failing to protect him or her from the personal liability. The claimant receiving the verdict or judgment in excess of the policy limits may also have a potential bad faith case against the insurance company for failing to settle for the policy limits when it had a chance.
The attorneys at Baker & Zimmerman, P.A., a South Florida law firm, have handled numerous bad faith cases. The attorneys are skilled in evaluating and prosecuting bad faith claims. If you, a family member or friend has been a victim of bad faith, please contact our firm to discuss your potential claim with us.
