Insurance Bad Faith & Coverage Disputes

As plaintiffs’ personal injury lawyers in Colorado Springs, the attorneys at Melat, Pressman & Higbie, LLP have dealt with nearly all of the insurance companies operating in the Colorado Springs, Pueblo, Canon City, Salida, San Luis Valley and the entire southern Colorado region. 

We know how the insurance industry operates and regularly represent clients in coverage disputes with the insurance company, including litigating claims of insurance bad faith when the insurance company has acted unreasonably in its handling of a claim.

Each of the three partners of this firm has past experience representing insurance companies.  We understand what motivates them and how they operate. For more than 25 years we have used this valuable experience to exclusively represent individuals as they confront the insurance companies.

What is Insurance Bad Faith?

Every contract implies that the parties will act in good faith and deal fairly with each other.  If an  insurance company unreasonably refuses to pay claims and benefits, it may be liable to the policyholder on a claim of insurance bad faith.  Insurance bad faith may play out in many different ways.

It may be reasonable for an insurance company to determine whether there is coverage under an insured’s policy and it may fairly and promptly evaluate a particular claim.  But it is unreasonable and may be bad faith, however, for a company to cause an undue delay in processing the claim, to attempt to settle the claim for far less than it is worth, or to deny the claim when it is clearly covered under the insurance policy. 

Sometimes, when evaluating a claim, an insurance company will review an insured's policy and find a reason to cancel or rescind the entire policy along with dismissing the claim, based on missing, incomplete or inaccurate information on the insurance application or other factors.  The motives of the insurance company in any rescission must be carefully examined to determine whether it was done for the purpose of avoiding paying a claim, which may provide the basis for a claim of bad faith.  When an insurance company acts in bad faith, it may be held accountable for the damages and harm that results.

Attorneys on Your Side when the Insurance Company Isn't

Insurance bad faith can occur in connection with any type of insurance claim, including auto, home, fire, and more.  Determining bad faith requires an investigation into the company's motives as well as the customary course of practice in the insurance industry.  Based on our years of experience negotiating and litigating cases, we have the background, knowledge, and ability to competently handle a bad faith insurance case regardless of the type of insurance or nature of the underlying claim.  If you feel that you are being unfairly denied coverage of a claim or otherwise mistreated by your insurance company, contact Melat, Pressman & Higbie, LLP for a free consultation.