Happy couple shaking hand with insurance agent

Insurer’s Duty of Good Faith

Arnett & Arnett, PC Oct. 23, 2023

When you enter into an insurance contract, it's more than just a business transaction; it's a promise. A promise that when disaster strikes, you won't be left in the lurch. That's why the principle of good faith and fair dealing is at the heart of every insurance policy. 

But what happens when that promise is broken? What if your insurer doesn't uphold their end of the bargain? This is where we step in. At Arnett & Arnett, PC, we can help if your insurer isn't exercising this critical duty. We firmly believe in the principle of good faith and fair dealing. Unfortunately, not all insurance companies adhere to this principle when handling claims. If you find yourself in a situation where your insurer is unjustly denying or delaying your claim, we are here to help. 

Arnett & Arnett, PC offers free case consultations and proudly serves clients in Chandler, Phoenix, Tucson, Flagstaff, and throughout Arizona. 

Filing a Bad Faith Claim

When you pay your insurance premiums, you expect your insurer to honor its part of the contract by providing coverage when you need it most. However, there are times when insurers act in bad faith, leaving policyholders feeling betrayed and helpless.  

In Arizona, insurers are required by law to act in good faith and deal fairly with their policyholders. When they fail to do so, they can be held accountable. In such cases, you have the right to file a bad faith claim against your insurance company. Here's a brief guide on how to navigate this process. 

Preparation Is Key 

Before you embark on this legal journey, thorough preparation is essential. Begin by gathering all relevant documentation. This includes your insurance policy, any correspondence with your insurance company, medical records (if applicable), and any other evidence related to your claim.  

Understanding your insurance policy is crucial. Familiarize yourself with its coverage, exclusions, and provisions related to bad faith claims. It’s important to understand that you can consult with an attorney experienced in bad faith insurance claims at any stage in this process. They can assess your case's strength and guide you toward a favorable outcome. 

Proving Your Case 

To win a bad faith claim, you must establish certain elements: 

  • Existence of an insurance contract: You must prove that there was a valid insurance contract between you and the insurance company. 

  • Breach of duty: You must demonstrate that the insurance company breached its duty of good faith and fair dealing. 

  • Resulting damages: You must show that you suffered damages as a result of the insurance company's bad faith conduct. 

Filing the Claim

The filing process involves several steps: 

  1. Draft the complaint: Your complaint should outline the facts of your case, detail your insurance policy, describe the insurance company's alleged bad faith conduct, and enumerate the damages you've suffered. 

  1. File the complaint: Submit your complaint to the appropriate court, ensuring you adhere to the jurisdiction's rules and procedures. 

  1. Serve the complaint: Your complaint must be properly served to the insurance company, usually through a process server or certified mail. 

  1. Await the response: The insurance company will have a specified period to respond to your complaint, either by filing an answer or a motion to dismiss. 

At Arnett & Arnett, PC, we're ready to offer our support. We're advocates, ready to stand by your side and fight for your rights. If you believe your insurance company has acted in bad faith, don't hesitate to reach out to us. We're here to help you get the justice you deserve. 

The Role of an Attorney in Filing a Bad Faith Claim

As experienced attorneys, we have seen firsthand the tactics insurers use to deny or delay claims unfairly. We understand the nuances of insurance law and can help identify if your insurer is acting in bad faith. We'll guide you through the complex legal process, helping you understand your rights and options every step of the way. 

When we take on a bad faith claim, we start by thoroughly reviewing your policy and the insurer's actions. We gather evidence, consult with experts, and build a strong case to prove the insurer's bad faith. Our goal is to secure the compensation you are rightfully due under your policy. 

Rely on Our Experience

At Arnett & Arnett, PC, we are dedicated to holding insurers accountable for their actions. We understand the stress and frustration that comes with dealing with an uncooperative insurer. That's why we're here to advocate on your behalf. 

If you suspect your insurer is acting in bad faith, don't face them alone. Let us at Arnett & Arnett, PC fight for your rights. Contact us today for a free consultation. We serve clients in and around Chandler, Phoenix, Tucson, Flagstaff, and anywhere throughout Arizona.