The concept of insurance is a fundamental part of modern society. Insurance litigation serves as a way to make sure insurance companies honor their agreements. Insurance is a system where individuals and businesses to pay a third party, or “insurance company” a sum of money. In exchange for paying this fee, insured businesses and individuals are guaranteed compensation in the event of specific types of unexpected losses or damages. This insurance agreement is commonly known as an insurance policy.
Orlando Insurance Litigation
The concept of insurance has a wide variety of applications. Individuals can insure personal belongings, including houses and cars. Additionally, health and life insurance are common and cover an individual’s personal wellbeing. In the event of personal injury or loss of property, an individual or business will call upon their insurance provider to make good on their agreement, and provide financial compensation.
When insurance holders feel that their insurance provider hasn’t honored the terms of the insurance agreement, it may become necessary to file a lawsuit. In a lawsuit, an insurance holder can claim that an insurance company did not compensate them for damages that they were covered for. Additionally, insurance holders may file a lawsuit if they feel that an insurance provider has acted in “bad faith” when estimating damages.
Types of Insurance Litigation
There are several different types of insurance litigation which individuals may encounter. However, the two most common types are coverage disputes and “bad faith” cases.
Coverage Disputes: A coverage dispute takes place when an individual feels that an insurance company has failed to honor the insurance coverage that has been laid out in the insurance policy. Insurance policies are legal documents, and are written using language that is aimed at very clearly defining the terms of the agreement. However, in some cases there is still ambiguity in the wording of a policy. This lack of clarity in wording may be exploited by an insurance company in order to deny coverage.
Coverage disputes often involve fine print of an insurance policy, or the particular words that are used to define coverage. A classic coverage dispute takes place when an individual files an insurance claim for which they believe they are covered. They are then told by their insurance company that this claim does not fit the parameters of what they are covered for. If an individual still feels that the insurance company is not honoring the coverage agreement, they may wish to file a lawsuit.
Bad Faith: A bad faith claim is a bit different than a coverage dispute. Most commonly, a bad faith claim comes about when an individual feels that their insurance provider has improperly estimated the compensation that they qualify for. A classic example involves property damage. An individual might be the victim in a car accident and have their car destroyed. A representative from the insurance company may come and make an estimate on the car’s value, and compensate the individual based on this estimate. If the individual believes that the insurance company has undervalued what their vehicle is worth, they may feel that the insurance company is acting in bad faith and subsequently file a lawsuit.
Orlando Insurance Litigation Attorneys
Insurance litigation is often a complex process. This is partially because insurance policies are legal documents and may contain legal terminology which is difficult for non-experts to fully grasp. As a result of the difficulties involved with insurance litigation, individuals who wish to file a lawsuit against an insurance company may be best suited to contact a qualified attorney.
An insurance litigation attorney will be familiar with the process of filing a lawsuit. They will also be able to make an educated judgment as to whether or not an individual has a case in an insurance dispute. Additionally, they can help in deciding whether filing a lawsuit is worthwhile. Nora Orlando.