Insurance Bad Faith Attorney

You pay your insurance premiums faithfully, year after year, with the expectation that when disaster strikes, your insurance company will be there to honor its promise. Unfortunately, far too often, policyholders in Houston and across Texas find themselves battling their own insurance companies after a legitimate claim. Instead of providing the financial relief you deserve, insurers may engage in tactics designed to deny, delay, or underpay your valid claim, forcing you into a corner. This is known as insurance bad faith.

At Mostyn Law, our dedicated team of Houston Insurance Bad Faith Attorneys has extensive experience holding insurance companies accountable for their wrongful conduct. We understand the complex web of Texas insurance laws and the aggressive strategies insurers use to protect their bottom line at your expense. We are committed to fighting tirelessly for homeowners, vehicle owners, and all policyholders who have been victimized by an insurer’s unfair practices.

If you suspect your insurance company is acting in bad faith, don’t let them deny you the compensation you’re owed. Contact Mostyn Law today for a free, no-obligation consultation. We are available 24/7 by phone to discuss your rights and strategize your next steps.

What is Insurance Bad Faith in Texas?

Insurance bad faith occurs when an insurance company fails to act fairly and honestly with its policyholder in handling a claim. In Texas, insurance companies have a legal and ethical duty to treat their policyholders fairly and in good faith. This means they must:

• Promptly investigate claims: Conduct a thorough and timely investigation into your claim.
• Pay valid claims fairly and promptly: Pay benefits without unreasonable delay once liability is clear.
• Communicate effectively: Provide clear reasons for any denial, delay, or settlement offer.
• Act reasonably: Not place their financial interests above the policyholder’s needs.

A simple disagreement over the value of a claim does not necessarily constitute bad faith. However, if an insurer’s conduct goes beyond a good-faith dispute and demonstrates a pattern of unfair or deceptive practices, you may have an insurance bad faith claim.

Common Tactics of Insurance Bad Faith in Houston

Insurance companies employ various strategies that can lead to bad faith claims. If you’ve experienced any of the following in Houston or elsewhere in Texas, you might have a bad faith case:

• Unreasonable Delays: Taking an excessively long time to investigate, communicate, or pay a claim without a valid reason.
• Denial Without Proper Investigation: Rejecting a claim without conducting a thorough or objective investigation into the facts.
• Offering a “Lowball” Settlement: Offering a settlement amount that is substantially less than the fair value of your claim, knowing you’re in a vulnerable position.
• Misrepresenting Policy Language: Misinterpreting or misstating terms of your policy to deny or reduce coverage.
• Failure to Communicate: Not responding to your calls, emails, or written requests for information.
• Demanding Excessive Paperwork: Requesting an overwhelming amount of unnecessary documentation to delay or deter your claim.
• Coercion and Threats: Using intimidation or threats to pressure you into accepting a low offer or dropping your claim.
• Changing Adjusters Repeatedly: Assigning different adjusters to your claim, leading to delays and inconsistent communication.
• Improper Use of Surveillance: Using surveillance to discredit your injuries or damages unfairly.
• Unjustified Claim Denial: Denying a claim for an invalid or fabricated reason, or without providing a clear, accurate explanation.

Types of Insurance Policies Subject to Bad Faith Claims

Insurance bad faith can occur with nearly any type of policy you hold, including:

• Homeowners Insurance: Denied or underpaid claims for property damage from storms (hail, wind), fire, water leaks, or other covered perils.
• Auto Insurance: Disputes over collision, comprehensive, uninsured/underinsured motorist (UM/UIM) coverage, or Personal Injury Protection (PIP) benefits.
• Life Insurance: Unjustified denial of death benefits to beneficiaries.
• Disability Insurance: Unreasonable denial or termination of long-term or short-term disability benefits.
• Health Insurance: Unjustified denial of coverage for necessary medical treatments or prescriptions.
• Commercial Property Insurance: Denials or underpayments for business property damage and business interruption losses.
• Flood Insurance: While NFIP policies (federal) have different rules, private flood insurance carriers can be sued for bad faith.

Why Choose Mostyn Law for Your Insurance Bad Faith Claim in Houston?

Going up against a large insurance company is a daunting task. They have vast resources and experienced legal teams dedicated to protecting their profits. You need a powerful advocate on your side. Mostyn Law offers:

• Deep Experience in Texas Insurance Law: Our attorneys possess an intimate knowledge of Chapter 541 and 542 of the Texas Insurance Code, the laws designed to protect policyholders from unfair insurance practices. We know how to leverage these laws to your advantage.
• Proven Track Record Against Major Insurers: We have successfully battled some of the largest insurance corporations in the country, securing significant compensation for our clients. We are not intimidated by their size or tactics.
• Comprehensive Litigation Resources: From seasoned investigators and expert witnesses to advanced legal technology, we commit every necessary resource to build an airtight case against your insurer.
• Aggressive Advocacy: We prepare every bad faith case as if it’s going to trial. This meticulous preparation strengthens our negotiation position and signals to insurers that we mean business.
• No Upfront Fees – We Work on Contingency: Facing an insurance dispute is already a financial strain. Mostyn Law operates on a contingency fee basis for insurance bad faith claims. This means:
  • Zero Upfront Costs: You pay nothing out-of-pocket to hire us.
  • We Only Get Paid if We Win: Our fee is a percentage of the settlement or verdict we secure for you. If we don’t win your case, you owe us nothing.
• Client-Centered Approach: We understand the frustration and financial stress that comes with an insurer’s bad faith. We provide compassionate support, clear communication, and personalized legal strategies, allowing you to focus on your recovery and peace of mind.

Compensation You Can Recover in a Texas Insurance Bad Faith Claim

If your insurer has acted in bad faith, you may be entitled to recover more than just the original policy benefits. Texas law allows for significant additional damages:

• Contractual Damages: The full amount of the benefits owed to you under your insurance policy.
• Extra-Contractual Damages:
  • Statutory Damages: Under the Texas Insurance Code, you may be entitled to recover “treble damages” (three times your actual damages) for certain violations, plus interest and attorney’s fees.
  • Emotional Distress/Mental Anguish: Compensation for the stress, anxiety, frustration, and other emotional suffering caused by the insurer’s bad faith.
  • Punitive Damages: In cases where the insurer’s conduct was malicious, fraudulent, or extremely reckless, punitive damages may be awarded to punish the insurer and deter similar future conduct.
• Attorney’s Fees and Court Costs: The insurance company may be required to pay your legal fees and court costs.

What to Do If You Suspect Insurance Bad Faith

If you believe your insurance company is acting in bad faith, protect your rights by taking these steps:

1. Document Everything: Keep meticulous records of all communications with your insurer (dates, times, names, what was discussed), copies of all submitted documents, and any letters or emails received from them.

2. Continue to Comply: Continue to meet any reasonable requests for information from your insurer, but consult an attorney before providing recorded statements or signing releases.

3. Do NOT Accept a Lowball Offer: Once you cash a settlement check, it may be difficult to pursue further legal action.

4. Contact Mostyn Law Immediately: The sooner you involve an experienced insurance bad faith attorney, the better. We can review your policy, analyze the insurer’s actions, and quickly determine the best course of action to protect your claim.

Contact a Leading Houston Insurance Bad Faith Attorney Today

Don’t let your insurance company deny you the justice and compensation you rightfully deserve. The legal battle against a bad faith insurer is complex, but with Mostyn Law on your side, you have a powerful advocate. We are ready to fight for you.

Your initial consultation is completely free and confidential. We will review your claim, assess the insurer’s conduct, and explain your legal options without any obligation.

Call Mostyn Law today at (713) 714-0000. Our phone lines are available 24/7 to assist you. Or, fill out our convenient online contact form to schedule your free consultation.

Mostyn Law – Main Office

3810 W. Alabama Street, Houston, Texas 77027
Phone: (713) 714-0000
Fax: (713) 714-111
Office Hours: 7:00 AM to 7:00 PM
Monday to Friday
Phone calls available 24/7