Birmingham Insurance Claim Denials Lawyer
Filing a claim with your insurance company shouldn’t be something you dread. You pay every month for car, homeowner, fire, flood, and other insurance, yet your company still has the power to deny a legitimate claim. When you submit a claim to your insurance company, you assume the company will act in good faith in response to your claim. Unfortunately, disputes arise between policyholders and insurance companies when a claim gets denied – sometimes with no legitimate explanation. If this has happened to you, don’t hesitate in contacting an experienced Birmingham insurance claim denials attorney for a free legal consultation.
Reasons Insurance Companies May Deny a Claim
Many policyholders are baffled when their insurance claim is denied but the policy seemed to cover the damage clearly. Insurance companies can manipulate the language of policies to deny valid claims or undervalue the claim. Policyholders are under the impression their insurance covers certain injuries or damages and are unpleasantly surprised when claims are denied. Another reason an insurance company may deny a claim is if the policyholder fails to pay premiums on time, causing a coverage lapse.
Insurance providers strive to protect cash reserves and avoid payouts to policyholders whenever possible. When an insurance company denies your claim, you may receive an explanation along the lines of, “Your injury falls outside the scope of coverage.” When you look further into this explanation, you may find that your original agreement misrepresented how certain claims are paid (or not paid). These tactics may fall under the umbrella of unfair claims handling.
If your insurance company refuses to answer your questions regarding a denied claim or answers with vague responses, you can hire a insurance claim denial lawyer in Birmingham, AL to investigate further. Don’t take a generic response from your company as the last word on your claim – trust someone with your best interest at heart.
Unfair Claims Handling vs. Bad Faith Claims
Unfair claims handling describes a situation in which the insurance provider attempts to avoid a valid payout or reduces the rightful payment. Unfair claims handling can take the shape of fraud, deceit, purposeful misleading, neglect, or refusal to fulfill its contractual obligation to a policyholder. Most states have adopted the Unfair Claims Settlement Practices Act (UCSPA), but Alabama is not one of them.
Since Alabama does not follow the UCSPA, policyholders within the state are protected only by the common laws for bad faith claims. These laws maintain that an insured person can file a claim for bad faith if the insurance company breached a contract or intentionally refused to pay the claim without reason. Many policyholders believe they have a case of bad faith claims if their insurance company refuses a payout, but they likely have a breach of contract or unfair claims denial.
What You Can Do if Your Insurance Company Denies Your Claim
If you have reason to believe your insurance company is denying your claim or reducing the payout unfairly, you can pursue your rights in court. We pay for insurance to protect ourselves and our assets, and we feel wronged when the company refuses to pay for damages when we need help the most. Insurance companies have a responsibility to policyholders to act in good faith. When the company neglects this responsibility, you may have a case of unfair claims handling.
Get in Contact With Birmingham Insurance Claim Denial Attorney
If your family has had to endure financial hardship because of an unfairly denied or reduced insurance claim, The Mitchell Law Firm, LLC, can help you secure justice. Our Birmingham, AL insurance claim denial attorneys believe insurance companies have an obligation to provide honest, fair services to policyholders. We don’t take insurance company fraud lightly, and we have the resources to win compensation for victims.
Insurance is a safety net for policyholders. When the safety net disappears for no reason, the victims deserve retribution for financial damages. For skilled Birmingham insurance claim denial lawyers in Birmingham, call (205) 942-0294 or contact us online for a free consultation regarding your case.