Good Faith Handling of Personal Injury Claims

People often become disgruntled when another driver’s insurance company denies their claim despite the fault of the other driver being clear.  I’ve been asked before: “Doesn’t the other insurance company have to deal with me in good faith?”  The answer…is complicated, as are most insurance laws.  Your insurance company has an obligation to protect and defend you (their own insured) and deal with you in good faith.  But another driver’s insurance company is only obligated to act in “Good Faith” when they have accepted liability and have been sent proof of property damages.  Conversely, even when the insurance company has accepted liability of their insured, the other insurance company is under no obligation to deal with you in “Good Faith” regarding your bodily injury damages; rather, the insurance company’s obligation is to protect their insured (i.e. the other driver).

If you have questions regarding the handling of a personal injury claim, please reach out to us and we’ll be happy to assist you.