Bad Faith Commercial Insurance
Attorneys

Bad Faith Commercial Insurance Attorney

Commercial Insurance claims are meant to protect a business that has experienced several different types of claims, such as personal injury that has occurred on their property and property damage that the business has experienced.  Commercial insurance claims are meant to protect you and prevent any further damage in the case of an unexpected circumstance. Purchasing commercial general liability insurance is required for almost every single type of business in California. However, it could be very stressful and frustrating when your commercial insurance company acts in bad faith to avoid paying you your claim amount.

Your commercial insurance company must be on your side and must defend you in the case of any unexpected circumstances. When a commercial insurance company fails to act in good faith, they could be held liable under a bad faith claim. If you or a loved one have experienced any type of bad faith behavior by your commercial insurance company, contact our California bad faith attorneys today to see how we can help you receive the compensation you deserve. Our California bad faith attorneys will help you navigate through the legal process because we understand how complex it may be to litigate a commercial bad faith insurance claim.

What is commercial insurance?

Commercial insurance is provided by an insurance company that engages in the practice of selling and ensuring policyholders receive commercial insurance for their business. Commercial Insurance is meant to protect you from lawsuits, customer injuries, employee injuries, theft, property damage, etc.

Who needs commercial insurance?

All businesses must have some form of commercial insurance. Whether you are an independent contractor, corporation, or a limited liability company, you must purchase some form of commercial insurance.

What are some examples of commercial insurance?

• General liability insurance: this is to protect you in the case you experience property damage, or a lawsuit from a third party.
• Professional liability insurance: this occurs if you have been negligent throughout your profession. For example, making a mistake or missing a deadline that affected your business could fall under this category.
• Auto insurance: this includes insurance that covers your business vehicles from damage that occurs from accidents, or vandalism.
• Cyber Insurance: this is meant to protect your business from any type of cyberattack.
• Workers compensation insurance: workers compensation is meant to reimburse any employees if they were to be injured on the job.

Do insurance companies have to act in good faith?

Under California law, commercial insurance companies must act in good faith. This means that they must prioritize their insurer’s priorities before any other party, and make sure that their insurer gets the reasonable respect they deserve. This means the insurance company has several responsibilities such as making sure they hold a reasonable investigation, and provide a reasonable claim payout.

What happens when a commercial insurance company acts in bad faith?

If a commercial insurance company acts in bad faith, you may be able to file a civil lawsuit against them for the compensation you deserve.

What happens when I file a commercial insurance claim?

If you were to file a claim with your commercial insurance company, your commercial insurance company must start to investigate the event that caused the damage, and provide you with a reasonable monetary payment. If they fail to do so, and have engaged in any type of bad faith practice throughout this process, they will be held liable under a bad faith lawsuit.

What should I do if I believe my commercial insurance company is acting in bad faith?

If you believe your commercial insurance company is acting in bad faith, there are some steps you must take to make sure that you successfully pursue a bad faith lawsuit against them.

• Document the claim: collect all the documentation that you have and the commercial insurance company has regarding your claim. For example, make sure you have the insurance company’s reasoning as to why they denied your claim.
• Make sure that the communication you have with the insurance company is all in writing: we advise all our clients to refrain from making any type of statements to an insurance company on the phone. This could be misconstrued in a future lawsuit. That is why we advise all communications to be in writing, whether it is through email or mail.
• Contact a top-rated bad faith commercial insurance attorney: bad faith is a very specific type of law, and is not pursued by all types of lawyers. It is very important that you contact an experienced attorney that has been dealing with bad faith claims. Our attorneys have been representing policyholders who have been mistreated by their commercial insurance companies for decades.

What are the different types of bad faith actions taken by commercial insurance companies?

• Unjustified delay: an insurance company must investigate your claim immediately after you have filed it. This means that they must respond to you within a reasonable period of time.
• Misrepresentation on what the customer’s policy covers: for example, if the insurance company told you at the time you were signing the contract that car insurance was covered, but now are denying that it is covered, you may be able to hold them responsible under a bad faith claim.
• Canceling your insurance policy: an insurance company may try to cancel your policy to avoid paying out your claim.
• Underpaying your claim: a commercial insurance company must pay out a reasonable amount for your claim. If they fail to do so, you may be able to hold them responsible under a bad faith claim.

There are several other instances where insurance companies have engaged in bad faith behavior. If you feel as though your insurance company is not treating you the way they should, contact our California bad faith lawyers today to see how we could hold the insurance company responsible for their actions. Getting your commercial insurance claim denied can be very stressful, especially for small businesses. Businesses go through hurdles already every day, and this could make the situation even worse. Contact us today to see how we can hold bad faith insurance companies responsible for their actions.