Insurance Attorney New Orleans

What to Do if an Insurance Company Will Not Pay a Claim

Policyholders have the right to sue when their insurance provider refuses to pay out a valid claim.

At Lowe Stein, LLC, our insurance attorneys in New Orleans represent policyholders in these disputes involving the availability of coverage. If you pay your monthly premium, your insurance provider must compensate you when your policy calls for it. When they try to get out of paying what they owe, you may seek justice through a bad faith insurance claim. 

Suing an Insurance Company for Bad Faith Practices

Here are some of the most common bad faith insurance practices that provide grounds for a claim:

• Misrepresenting sections of your insurance policy
• Failing to approve a valid claim
• Failing to pay out a settlement within 30 days
• Failing to investigate a claim quickly and efficiently

It is also considered bad faith for an insurance company to make changes to an insurance policy without the insured’s consent. This goes beyond the “placement of insurance,” or the purchase or renewal of an insurance policy. Processing a claim using terms not included in the placement of insurance is fraudulence—plain and simple.

Signs that Your Insurance Company Is Acting in Bad Faith

Insurance companies are supposed to be in the business of supporting people when they need it most, such as after an auto accident or medical emergency. But the very fact that insurance is a business tends to get in the way. 

These days, insurance companies have a reputation for paying as little as possible. From adding on deductions to blaming victims, it’s clear that insurance providers acting in bad faith care most about their bottom lines. 

If you suspect your provider is acting in bad faith, keep an eye out for these warning signs:

• Your claim was denied without any good reason
• You were offered a very low settlement
• Your insurance agent takes a long time to get back to you (lack of communication)
• Your insurance agent claims a provision of your policy doesn’t apply when it should
• Your insurance agent refers to clauses that shouldn’t apply to your claim
• Your insurance agent requests unnecessary documentation
• Your insurance agent takes issue with inconsequential details
• Your claim was approved, but you haven’t been compensated

Keep in mind: Insurance agents acting in bad faith are usually betting on you to give up and accept whatever they initially offered. Don’t let them take advantage of you. Stand your ground; better yet, put an insurance defense attorney in New Orleans on your side. Having legal representation is often the best way to get an insurance provider to pay up.

How Much Is a Bad Faith Insurance Claim Worth?

While every case is different, bad faith insurance claims often result in compensation for your damages. On top of that, the insurance company may need to pay you a penalty worth twice your original claim or $5,000—whichever is more. 

For help with insurance coverage disputes, don’t wait to contact Lowe Stein, LLC. Our New Orleans bad faith insurance attorneys have what it takes to advocate for you!

False Accusations of Bad Faith Insurance

If you are being wrongfully sued for bad faith insurance practices you didn’t commit, our New Orleans insurance defense lawyers will fight to protect you!

Insurance law can be very complex. The policies themselves can be easily misinterpreted by a policyholder. They may claim that the way a policy is worded is misleading, that their claim was wrongfully denied, and much more.

Being accused of fraudulent practices can damage your business. That damage will only be worse if a policyholder manages to win a frivolous lawsuit. 

Lowe Stein, LLC will work tirelessly to defend you against wrongful accusations of insurance fraud, protecting you and your business. 

Insurance Coverage Disputes Between Insurers and Brokers

Our New Orleans insurance lawyers at Lowe Stein, LLC also represents insurance companies, agents, and brokers in disputes with one another, such as over who is liable for paying a claim. 

We won’t let someone else stick you with their bills.