You have the right to pursue a legal action for bad faith when your own insurance company tries to limit or even deny coverage of a claim without proper justification or warning. Not every act of an insurance company with which you disagree is bad faith, but if you have been treated unfairly and have been denied coverage or a reasonable settlement wrongfully, you may have a case for bad faith against your carrier. Contact Rick Woods today for a risk-free evaluation by calling 479-443-5222 or filling out the online contact form.
FILING AGAINST AN INSURANCE COMPANY
If you find yourself in a position where you question an insurance company’s tactics, you can file a complaint with the Arkansas Insurance Commissioner, which may require the insurance company to divulge more information about their actions. However, the only way to pursue your claim in Court is by hiring a qualified attorney who has experience handling insurance bad faith. Only then will you be able to get high-quality advice regarding whether or not the insurer’s actions fall within the definition of bad faith, and whether or not you have a case. In order to avoid a claim for bad faith the insurance company must show that it acted with reasonable care to discover the facts as to liability and damages that are necessary to make an intelligent decision. (McChristian v. State Farm Mut. Auto. Ins. Co,.304 F.Supp. 748 (W.D. Ark 1969)). In Arkansas, the insured also has a contractual claim that allows, in addition to payment under the policy, a 12% penalty on the amount in controversy plus reasonable attorney fees. (Ark. Code Ann. §23-79-208). If an insured is successful on a bad faith claim, he may also be entitled to recover punitive damages against the insurance company. (Employers Equitable Life Ins. Co. v. Williams, 282 Ark. 29, 665 W.W.2d 873 (1984)).
WE CAN HELP
For a no-cost, no-obligation evaluation of your case, contact Rick Woods today online or by phone at 479-443-5222. In bad faith cases our lawyers will work on a contingency fee basis; that is, they will take a percentage of the settlement or award as their fee. If you lose your case, you pay no fee. We put our agreements in writing so that you are certain how we are paid.