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Insurance Bad Faith

Insurance is meant to provide peace of mind, protection, and financial security in times of need. When that time of need comes and insurance companies act in bad faith, policy holders can face undue hardships and financial losses. Expert legal representation is crucial in insurance bad faith cases to seek justice and fair treatment for policyholders.


Actions included under insurance bad faith are denying valid claims without proper investigation, unreasonably delaying claim payments, undervaluing claims, or breaching contractual duties. With the expansive knowledge of insurance law and regulations, expert attorneys are able to meticulously analyze insurance policies, assess claim denials, and evaluate actions of insurance companies to identify instances of bad faith.


These actions all play a role in protecting policyholders’ rights so that they receive fair treatment, proper claim evaluation, and just compensation. By challenging any unfair claim denials, delays, or underpayments, these attorneys protect policyholders’ rights to receive the benefits they are entitled to under their policy. With the advocacy from our legal team, the client will feel empowered to fight back against unjust practices.


Insurance companies have a legal and ethical duty to act in good faith when handling claims. Expert insurance bad faith attorneys work to hold these companies accountable when they fail to fulfill their obligations. Our attorneys conduct thorough investigations, gather evidence, and strategize to build strong cases against insurance companies that engage in bad faith practices. Their efforts serve to protect the interests of policyholders and promote integrity within the insurance industry.


Insurance bad faith can result in significant financial losses and emotional distress for policy holders. By getting an assessment of the full extent of damages suffered, there is room for negotiation with the insurance company or litigation if necessary. Having a lawyer on your team will help each policy holder regain stability and move forward with confidence, especially after going through the overwhelming process of having to deal with the insurance company.


Expert insurance bad faith attorneys are essential advocates for policyholders, fighting for fair judgment, justice, and proper compensation.



Insurance bad faith refers to dishonest or unfair conduct by insurance companies towards policyholders. It includes denying valid claims, delaying payments, undervaluing claims, or breaching contractual duties, violating their obligation to act in good faith and fairly deal with their insured individuals. 

Consult an attorney experienced in insurance law and they will help you prepare a complaint outlining the bad faith actions and file it in the appropriate court. A primary step you could take is to gather evidence of the company’s unfair actions, such as claim denials or delays. 

A bad faith lawsuit is a legal action brought by an individual against an insurance company or other party alleging dishonest or unfair conduct, such as denying valid claims, delaying payments, or breaching contractual duties, resulting in harm or damages to the plaintiff.

Examples of insurance bad faith in Pennsylvania include unreasonably denying valid claims, delaying claim processing without justification, undervaluing claims, and failing to promptly investigate or settle claims, violating the duty of good faith and fair dealing with policyholders.

In Pennsylvania, the amount you can recover for insurance bad faith varies case-by-case. Damages may include actual losses, interest, attorney fees, and punitive damages up to two times the amount of your actual losses.

In Pennsylvania, the statute of limitations to file an insurance bad faith lawsuit is generally two years from the date of the insurer’s bad faith conduct or from the date the insured could have reasonably discovered the conduct.

In Pennsylvania, to establish an insurance bad faith claim, plaintiffs must show the insurer lacked a reasonable basis for its actions, acted in reckless disregard of the insured’s rights, and acted with the intent to harm the insured or acted unreasonably and knowingly violated insurance regulations.

In New Jersey, to prove an insurance bad faith claim, plaintiffs must demonstrate that the insurer acted in a dishonest or malicious manner, lacked a reasonable basis for its actions, and intentionally disregarded the policyholder’s rights or acted unreasonably and knowingly violated insurance regulations.

Yes, you can use Alternative Dispute Resolution (ADR) methods, such as mediation or arbitration, for insurance bad faith claims in Pennsylvania if both parties agree to pursue such a process. ADR can offer a faster, more cost-effective resolution compared to traditional litigation.

Anton Kaminsky, Kaminsky Law's founding partner, is an aggressive and creative lawyer that takes a modern approach to business, personal injury, and employment litigation

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Kaminsky Law is a small business-oriented litigation Law firm licensed in Pennsylvania and New Jersey with cost-effective approach to lawsuits, settlements, and dispute resolution.