Insurance Claims
An insurance policy is a contract. The policyholder agrees to pay the premium and the insurance company agrees to pay the policyholder for losses covered by the policy. Unfortunately, insurance companies sometimes act in bad faith to avoid paying what they owe under the policy.
We help individuals and businesses fight back against the insurance companies to get what they are owed. If you or your business are involved in a dispute with your insurance company, contact our insurance dispute lawyers for a free, no-obligation consultation.
Insurance cases we accept
We handle all types of bad faith insurance claims, including claims involving commercial insurance policies, life insurance policies, and claims for property damage to commercial buildings and residential buildings caused by:
- fire damage
- hurricane damage
- water damage
- wind damage
- tornado damage
- hail damage
Texas insurance claim laws
The Unfair Methods of Competition and Unfair or Deceptive Acts or Practices Act is a Texas law intended to protect policyholders. The Act prohibits insurance companies from:
- misrepresenting a material fact or policy provision;
- failing to attempt in good faith to settle a claim promptly, fairly, and equitably when the insurance company’s liability has become reasonably clear;
- failing to promptly provide the policyholder a reasonable explanation of the basis for the insurance company’s denial of a claim;
- failing within a reasonable time to: (1) affirm or deny coverage of a claim to a policyholder; or (2) submit a reservation of rights to a policyholder;
- refusing, failing, or unreasonably delaying a settlement offer under applicable first-party coverage because other coverage may be available or that third parties are responsible for the damages suffered;
- refusing to pay a claim without conducting a reasonable investigation with respect to the claim.
The Act allows policyholders to recover their damages and attorneys’ fees. If the insurance company acted knowingly, policyholders can recover three times their actual damages.
The insurance claim process
Although the claim process can vary depending on the specific policy and type of claim, it typically starts with the policyholder notifying the insurance company of a loss covered by the policy. Next, the insurance company will investigate the claim. If the claim is for property damage, for example, an insurance company adjuster will evaluate the damage and determine the cost of repairs. If the estimate is fair and the policyholder accepts it, the insurance company will issue payment. If the insurance company denies the claim, offers an unfair estimate, or needlessly delays resolution of the claim, the policyholder should seek legal advice.