Insurance Law covers the business of insurance and how insurance claims are handled. If you’ve had your insurance claim denied, or believe your insurance company has practiced bad faith insurance or health insurance fraud, an insurance lawyer can help with your insurance claim.
Insurance Law ensures that insurance companies pay claims with good faith—willingly, promptly and properly. It is illegal to practice bad faith insurance and insurance fraud by willingly discounting, delaying or denying payment of claims. In the US, insurance companies are bound by a “covenant of good faith and fair dealing” in treating their policyholders, which means that the insurance company is under an obligation to pay a legitimate claim. If an insurer breaches this covenant, it is acting in bad faith.
Insurance ClaimState statutes require that an insurance company responds to a claim within certain time limits. Insurance companies that breach their duty of good faith and fair dealing may also be liable under certain state deceptive trade practices acts.
If your insurance company has wrongfully delayed or denied your disability claim, it may constitute insurance fraud. Unscrupulous insurers deny valid disability insurance claims to make more money from their policy holders.