Is The Insurance Company Doing More Than Spying On You After an Accident?

Insurance companies like to do a little investigative work before paying out an accident claim. They’ll talk to witnesses and even send out an accident scene investigator. 

Don’t be surprised if the insurance investigator starts popping up in your neighborhood. You’re under surveillance and this is usually legal and pretty common. 

What the insurance company can’t do is invade your privacy. Most of the time, the common insurance surveillance tactics after an accident tend to help prove your claim. Unfortunately, it can also be a sign you’re getting ready to start fighting a bad faith insurance claim.

Steps for Filing a Bad Faith Insurance Claim

If your insurance provider is unreasonably delaying processing your legitimate claim or outright denies it, there’s a chance they may be acting in bad faith. So, what are your legal options? 

Are you stuck waiting for a response or with the denial? If your claim is legitimate and falls under your policy’s coverage, you may be able to file an insurance bad faith lawsuit. This is when you file a lawsuit against the insurance company in civil court. 

However, before you and your attorney head to the courthouse, you should follow a few steps. These steps can help ensure you’re ready to successfully bring a lawsuit against your insurance provider.

Review Your Insurance Policy

Before you move on to filing a lawsuit, read your insurance policy. This includes reviewing the fine print. You know the sections pretty much everyone ignores. The fine print may contain exclusions or other policy limitations.

If the contract’s fine print excludes your claim, you may not be out of legal options. Remember, bad faith acts include failing to disclose all policy limitations. If the insurance agent didn’t cover these points before selling you the policy, it may be considered bad faith.

Make Copies and Save Everything

To file a bad faith lawsuit against an insurance company, you’re going to need plenty of proof. Along with a copy of your insurance policy, you need to provide proof of the insurance provider’s bad faith actions.

Save copies of all texts and emails concerning your claim between yourself and the insurance company. You should also be receiving documents from the insurance company relating to the status of your claim. 

Even if the documents only notify you the claim’s still under review, add the paperwork to your file. Chances are, you’ll have phone calls between yourself and an insurance adjuster. Jot down notes detailing the discussion, but don’t record the conversation.

Yes, it can be tempting to record your conversations but it’s usually not a good idea. While some states have one-way recording laws, most don’t. This means you need the insurance adjuster’s consent to hit the record button. 

Another reason you probably don’t want to record your discussions is the insurance company can use your words against you in the lawsuit. Just stick to keeping notes that include the date and time of the calls.

Other documents you want to have on hand relate to your initial insurance claim. This typically includes your medical records and other bills and receipts for additional damages.

List the Bad Faith Conduct

You need to have a reason to file a lawsuit against an insurance company. Remember, spying on you doesn’t always meet the criteria. Along with your lawsuit, the insurance company may also face industry fines and other penalties which often vary by state. While we covered a few examples of bad faith insurance practices earlier, here’s a more extensive list:

• Failure to investigate a claim or explain the reason for a denial

• Failure to settle one portion of a claim to influence settlement on another part of a claim

• Trying to settle for an amount that doesn’t reflect the actual value of the claim

• Requiring a policyholder to undergo unnecessary medical testing

If your insurance provider is continually sending you unreasonable document requests, this may be an attempt to deter you from continuing to pursue a claim. Once you can list the bad faith conduct, you can usually move forward with your lawsuit.

Don’t Accept Bad Faith Insurance Practices

If your insurance company is acting in bad faith, you have legal options. You can file an appeal with the insurance company. 

Hopefully, your issue is only an internal mistake or miscalculation. Yes, the appeals process can take some time but it can also help ensure you eventually receive fair compensation. Your other legal option is filing a lawsuit against the insurance provider in court.

When you’re dealing with an insurance company and suspect bad faith tactics, don’t go through the process alone. Talk to an attorney to learn more about your legal options.