843-479-2865
Insurance companies have a legal duty to handle valid claims fairly. When an insurer unreasonably denies, delays, underpays, or fails to properly investigate a covered claim, it may be acting in bad faith under South Carolina law. If that happens, you may be entitled to more than the benefits under your policy.
If you believe your insurance company put its financial interests ahead of honoring your policy, get in touch with Douglas Jennings Law Firm, LLC. Our bad faith insurance lawyers in Bennettsville, SC, can review what happened, explain your legal options, and pursue the compensation you should have received under the law.
When Does an Insurance Company Act in Bad Faith?
Not every denied insurance claim is automatically bad faith. Insurance providers have the right to investigate claims and deny coverage when a policy exclusion legitimately applies. However, they can’t just refuse to pay or delay payment without a reasonable basis.
South Carolina recognizes a bad-faith claim when an insurer breaches its duty to act in good faith and to deal fairly with its policyholder. In addition, S.C. Code Ann. § 38-59-40 allows courts to award attorney’s fees when an insurer refuses to pay a covered claim without reasonable cause or in bad faith.
Determining whether an insurer crossed the line typically requires reviewing the policy language, claim file, communications, and the steps the company took during its investigation. It’s also crucial to note that a court doesn’t find bad faith simply because an insurer ultimately loses a coverage dispute. The question is whether the insurer had a reasonable basis for its actions when it handled your claim.
What Are Common Examples of Insurance Bad Faith in Bennettsville, SC?
Bad faith can take many forms, including:
- Denying a valid claim without conducting a reasonable investigation.
- Delaying payment for weeks or months without justification.
- Misrepresenting what the insurance policy covers.
- Repeatedly requesting unnecessary documents to postpone a decision.
- Offering substantially less than the claim is reasonably worth without adequate support.
- Refusing to defend or indemnify an insured when the policy requires it.
Our Bennettsville, SC, bad faith insurance attorneys can compare the insurer’s conduct against South Carolina law and determine whether the company’s actions were simply a coverage dispute or evidence of bad faith.
How Can You Tell Whether Your Claim Was Wrongfully Denied?
You can start by asking some crucial questions. Did the insurer clearly explain why your claim was denied? Did it inspect the damage or review the available evidence before making its decision? Is the denial based on policy language that actually applies to your claim?
Sometimes insurers look to broad policy exclusions that don’t fit the facts, overlook supporting evidence, or delay making a decision in hopes that a policyholder will give up. If something about the claims process doesn’t seem right, our bad faith insurance lawyers in Bennettsville, SC, can review the denial to determine whether the insurer acted reasonably.
Can I Receive Compensation in a Bad Faith Insurance Claim?
You may receive more than the value of your original claim if your insurer acted in bad faith. Depending on the circumstances, you may be compensated for unpaid policy benefits, financial losses caused by the insurer’s unreasonable conduct, attorney’s fees, and, if applicable to your case, punitive damages intended to discourage similar misconduct. The available compensation depends on the facts of your case and the evidence showing how the insurer handled your claim.
Is Your Insurer Looking for Reasons Not to Pay? Our Bennettsville, SC, Bad Faith Insurance Attorneys Are On Your Side
A denied or delayed claim doesn’t automatically mean your insurer acted in bad faith. However, if your insurer failed to investigate your claim fairly, ignored evidence, or refused to pay without a reasonable basis, you may have legal remedies beyond simply appealing the decision. Learn how our bad-faith insurance lawyers at Douglas Jennings Law Firm can hold your insurer accountable by calling 843-479-2865 or emailing us for a no-cost case evaluation.