What Are Unethical Insurance Practices?
Due to the high volume of claims filed by homeowners and businesses throughout the Gulf Coast in recent years due to hurricanes and tropical storms, insurance companies have turned to unethical insurance practices, commonly known as bad faith insurance practices.
Unethical insurance practices include, but are not limited to, the following:
- Delaying payment unreasonably
- Denying a policyholder's claim despite overwhelming evidence to support it
- Making a partial payment and seeking a settlement for the remainder
- Not investigating a claim or, in some cases, denying the claim without providing any reason
- Unreasonably making demands for documents, interviews, and other information in a bid to delay or deny making payments.