Recreational boat accidents are common in the U.S. Although the numbers are not as high as car accidents, thousands of individuals are still injured when a boat collides or they fall overboard.
When you are involved in a boating accident, insurance companies are supposed to protect you and provide compensation for your losses. However, some insurance companies engage in bad faith practices, leaving policyholders helpless and struggling to recover.
What is bad faith?
Bad faith refers to an insurance company’s failure to uphold its contractual obligations. This includes denying valid claims, delaying payment or offering inadequate compensation. If your insurance company engaged in bad faith practices, it is not only a breach of contract but also a violation of the policyholder’s trust and confidence.
How do insurance companies engage in bad faith practices?
Insurance companies may engage in bad faith practices in various ways. For example, they may deny a valid claim without a reasonable explanation, delay payment for an extended period or offer an unreasonably low settlement amount. They may also fail to investigate or misrepresent policy terms to policyholders properly.
What can you do if you suspect bad faith?
If you are seeing red flags indicating that your insurance company is not being honest, here are some steps you can take:
- Document all communication: Keep track of all communication with your insurance company. It may include email interaction with them, letters, and even phone calls. This can help you prove bad faith later.
- Gather evidence: Collect all documents that are relevant to your injury, such as your medical records, repair estimates and other evidence that supports your claim.
- Seek a second opinion: Consult an attorney or insurance expert to review your policy and the insurance company’s conduct. They can offer guidance on how to proceed.
- File a bad faith claim: Doing so can hold your insurance company accountable for its actions so that you can recover the compensation you deserve.
Having a clear grasp of the usual bad faith practices and your legal options can help you navigate the claims process. It will help ensure that you receive the compensation you deserve. Remember, you have the right to hold your insurance company accountable for any bad faith practices they may engage in.