5 Common Bad Faith Insurance Tactics

5 Common Bad Faith Insurance Tactics

On behalf of Schmitt Law Firm, LLC posted in blog on Thursday, November 21, 2019.

Dealing with an injury after an accident is bad enough, but insurance companies can make it worse. If your insurance company is not holding up its end of the bargain, you might go without the compensation you need to recover. Your insurance company must thoroughly investigate and settle claims in a timely and honest manner.

Sometimes, insurance companies may partake in unfair or dishonest practices, known as acting in bad faith. Here are some common bad faith tactics:

1. Delays

According to the American Bar Association (ABA), one bad faith strategy is looking for problems that can unreasonably delay a claim. Your insurance company might do this to see if you will give up on the claim. If you are dealing with an insurance company dragging out time, you might be able to file a bad faith claim.

2. Incomplete investigation

Insurance companies must properly investigate claims. As a policyholder, you deserve to have your claim be seriously looked at. For example, if your claims adjuster fails to inspect damage to your car in-person and simply determines it was pre-existing after talking to you on the phone, it could be a violation of implied duty of fair dealing.

3. Undervaluing a claim

Your insurance company could try to offer you a reduced claim in an effort to save money. Insurance companies cannot intentionally offer a lowball claim. You should not accept a smaller amount than your claim is worth.

4. Deception

An insurer might intentionally fail to mention important information to you. For example, your agent could fail to tell you about a claim deadline or existence of coverage.

5. Making threats

One of the most obvious signs of bad faith is making threatening statements. If your insurance company is threatening to file criminal charges or take other legal action because you file a claim, you should contact an attorney as soon as possible.


The material presented in this website is not intended as legal counsel. It is provided solely for informational purposes and should not be applied to particular circumstances. Utilizing this website does not establish or imply an attorney-client relationship between Schmitt Law Firm and the site's users. For personalized legal guidance, we encourage you to consult with a qualified attorney.

Call Us Today. 816-400-1000

Tell Us About Your Unique Injury Claim


    The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.
  • Hidden
  • This field is for validation purposes and should be left unchanged.

“Ben has handled a couple injury claims for me in the past 4 years. He will fight for you and earn your loyalty and gratitude because he gets results! He knows every trick the insurance companies will try to pull, he’s five steps ahead of them. Be patient, these matters take time, but in the end you win with him on your side.”


“Ben Schmitt service to his clients exceeded my expectation. He took extreme care to communicate with me effectively and listen with an emphatic ear. His ability to assess my situation, implement & execute the course of action gave way to my successful outcome. I strongly recommend Ben T. Schmitt not only as a great attorney but an ethical leader who cares about his clients.”


“Ben Schmitt is a great lawyer. His accomplishments in his career are outstanding. He helped us very successfully in our time of need. I highly recommend him as a lawyer and a fair and kind man.”


Scroll to Top