When you have been involved in a car accident the normal procedure would be that any damages or general accident claims would be handled by your insurance carrier. It is not something that a accident lawyer Riverside would normally get involved in. After all, that’s what you pay your insurance premiums for right? But what happens when you have submitted a claim to your insurer and they offer a payment which falls way below the costs of the accident, or worse still fail to pay out at all?
In the US, any insurance carrier is bound by what is known as the ‘covenant of good faith’. This means that the insurer is under obligation to deal with each claim fairly and that any legitimate claim has to be paid out in full. When any insurer does not do this then they are in breach of the covenant and are acting in bad faith. If this happens to you, then this could leave you in financial difficulties. It is at this point that you should call upon the services of an experienced Riverside accident attorney who will explain your rights.
State statute of limitations requires that any insurance company are legally bound to respond to a claim within a given time frame. If they don’t do this and breach that duty of fair dealing and good faith then they may be liable under the relevant states deceptive trading acts. On top of this, if your insurance carrier has wrongfully denied a legitimate and valid claim, then they are committing insurance fraud. This ultimately means that you will have grounds to sue.
The insurance business operates like any other business in that they are doing it to make money. The way that carriers do this is by taking in as many insurance premiums as possible but at the same time paying out as little as possible, thus increasing their bottom line balance. Whilst this is not an illegal practice, and indeed this is how all insurance companies operate, it becomes illegal when they don’t pay out on legitimate claims. Denying valid claims is how unscrupulous insurers will make money. In this instance you will have grounds for recourse, because a Riverside County accident attorney who has a good understanding of state insurance law who wins the case can instruct the insurer to pay out in full. Not only that, they can also file a claim for damages directly against the insurer for any stress and trauma caused to the plaintiff, plus any out of pocket expenses that they have already had to use.
Some of the ways that insurance carriers will deny claims are as follows:
- Your physician’s professional diagnosis is over-ruled by the insurers medical examiner
- Creating unnecessary paperwork or loosing paperwork to cause delay tactics
- Reclassifying a person’s injury as an illness, as opposed to an injury as it should be
- Cancelling your insurance policy after the event
As you can see, these are fairly sneaky practices used by unscrupulous insurance carriers and in some ways it is easy to think that as a ‘premium’ payer your insurer has a legitimate reason to not pay out on your misfortune. When this happens, you may be surprised at the amount of people who simply accept that this is the case. One of the reasons for this is that they are probably unaware that insurers would do such a thing, but in reality insurance fraud committed by companies costs the taxpayer millions of dollars every year and it happens all the time. That’s why there are groups of attorneys who specialize in this field.
If this type of situation happens to you, firstly you need to be aware of it, and you should in no way simply accept the matter. Secondly you should contact an experienced Riverside accident lawyer who is well versed in dealing with such an issue. By contacting an attorney, they will ensure that you get the successful outcome that you deserve and will see that the unscrupulous insurers are punished financially, so that they will certainly think before they do it again to some other unsuspecting individual.