What most people want from their insurance policy is pretty simple. They only want what they deserve. When they file a claim, they expect to be paid in a reasonable amount of time as long as it was a just claim. Unfortunately, insurance companies sometimes intentionally cause payment delays so that they can hold onto the money longer. As long as they keep it sitting in their account, they can keep earning interest on the money. That boosts their bottom line, but it’s problematic for the policyholder, who may need that money to cover their losses after a fire, flood or robbery.
If you are dealing with unnecessary delays and you feel that your insurance company might be engaging in the shady practice of intentionally slowing down your payout, you should contact our legal team to consult with us about what courses of action you have at your disposal. We will let you know whether we can help you recover your payment quickly, and there may even be a possibility of receiving punitive damages from your insurance company.
In addition to collecting interest on claim money, insurance companies will sometimes force their policyholders to wait on a payout because it makes them less likely to dispute the amount that they are paid. Because they are nervous about receiving the money in general, they will be less apt to complain about being underpaid. In some cases they don’t even notice. Some insurance companies will also offer quicker payouts to customers who accept less money than they are rightfully owed, and tell them that it will take longer to get the full amount.
That’s not only unfair; it could also be illegal. If you think that you are being asked to produce more documentation than necessary, or being subjected to an unusually long wait, talk to a bad faith insurance lawyer on our team. We’ll find out if you have the grounds to take legal action, and assist you in that regard. You can fill out a form today to get a free evaluation. We’ll then begin forming a strategic plan on your behalf.