Insurance 101 – Chapter 11 – Volume 61 – Abuses of the Tort of Bad Faith

Abuses of the Tort of Bad Faith

We live in a litigious society. In California, and those states that have accepted the tort of bad faith, lawsuits have been filed against insurers for bad faith as a negotiating tool, even before the insurer has had the time to investigate and decide whether to accept or reject a claim. Bad faith lawsuits have also been filed on first party property cases even before notice is given of the claim. Attorneys have been known to use “set up letters” which are designed to lure adjusters and claims supervisors into committing acts that can later be claimed to be acts of bad faith.

The following video was adapted from my book, “Insurance Claims A Comprehensive Guide” Published by the National Underwriter Company and is available at the Zalma Insurance Claims Library

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The author and publisher disclaim any liability, loss, or risk incurred as a consequence, directly or indirectly, of the use and application of any of the contents of this blog. The information provided is not a substitute for the advice of a competent insurance, legal, or other professional. The Information provided at this site should not be relied on as legal advice. Legal advice cannot be given without full consideration of all relevant information relating to an individual situation.

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