Sometimes the process of claiming disability insurance benefits goes smoothly. Other times, it doesn’t go the way you want it to. Your claim may be denied or you may feel like the insurance company is giving you the run-around. This will leave you frustrated and you may be wondering where you can turn. You should try wherever possible to settle insurance matters out of court but there are certain situations in which you may choose to sue your insurance company. If you decide to go that route, you will need the services of a disability law firm. The insurance company will be armed with a team of lawyers. You don’t want to face them alone.
If you are contemplating suing your insurance company, it is likely because you believe they have breached their contract in some way. When you bought your long-term disability insurance policy, you entered into a contract with the insurance company. You are both expected to hold up your side of the agreement. If you can prove the insurer did not adhere to the terms set out in the contract, you can take them to court. Let’s look at some of the ways insurers can breach their contract.
They fail to investigate your claim
The insurance company is required to investigate your claim thoroughly as soon as possible after you file. If the investigation is delayed, necessary information may no longer be applicable or available. The insurance company may be hoping that you give up on your claim at this point. However, you have the right to sue in an effort to get a speedy resolution.
They deny a valid claim
It is well-known that insurance companies avoid payouts whenever possible. They want to make profits. Sometimes they have grounds for denying a claim. These include lapsed or canceled policies and a lack of evidence supporting a claim. Sometimes victims take too long to file their application for compensation. If you’ve fulfilled all the requirements and your claim is denied, you are well within your rights to sue. Denying a rightful claim is unlawful.
The insurer may offer an unreasonably low settlement
Sometimes your long-term disability insurer offers to settle your claim for a lot less than you applied for. If you’re disabled and unable to work, inadequate benefits can seriously hamper your ability to enjoy a reasonable quality of life. If you can’t negotiate a better settlement with the insurance company, you may have no choice but to go to court to get what you deserve.
They may delay your benefits
It is possible the insurance company could approve your claim but take an unreasonably long time to pay. If you’re still waiting months after the claim was approved, you need to get a disability lawyer and take the matter to court. You shouldn’t be made to suffer more if your claim is valid and approved.
Insurance doesn’t always work the way we want it to. Companies will do everything in their power to delay or deny a claim. Sometimes the only way to get the compensation you deserve is by taking your insurer to court.