Bad Faith Insurance

Answer:

Bad faith in insurance hurricane claims refers to the fact that the insurance company repeated and has made it a practice not to pay claims in a fair and equitable amount in a timely manner. An insurance company does this because they want to save money or they don’t have the resources presently available to pay claims, they decide to take a path to delay claims unnecessarily. An insurance company can be guilty of what’s known as bad faith because under your policy, the insurance company has an implied duty of good faith to handle your claim timely and fairly. If they breach that duty, then if that breach causes you to suffer additional damage because you’re out of your home for an extended period of time, for instance, then the insurance company can be responsible for any additional damage you suffer that are not covered by the policy directly but are caused by the insurance company’s delay. This is known as a bad faith claim.