Your insurance company owes you duties that come with your insurance policy. They must treat you fairly, communicate with you, investigate your claim, and make payments to you. However, insurance companies will violate these duties, leaving you injured, frustrated, and in financial peril. At Ridder Law, we have been fighting insurance companies for over a decade and make sure they are held accountable. Speak to our experienced insurance and bad faith attorneys to let us help you and ensure your rights are protected at (720) 812-1047.
What Are Some Insurance Bad Faith Claims in Colorado?
- Your insurance company must offer you uninsured and underinsured motorist coverage. If they do not, you may have a claim for insurance bad faith.
- If you have been in a motor vehicle accident with an uninsured or underinsured motorist, your own insurance company must step up and pay for your damages. If they do not, you may have a claim for insurance bad faith. You can speak with our auto accident lawyers in Colorado today.
- If your insurance company denies a homeowner’s claim for hail or fire, you may have a claim for insurance bad faith.
Common Examples of Insurance Bad Faith in Colorado
Insurance companies in Colorado are expected to treat policyholders and injury claimants honestly and fairly. Unfortunately, some insurers put their own profits first and act in bad faith, delaying or denying payments when they should be helping. Common examples of insurance bad faith in Colorado injury claims include:
- Unreasonably denying valid claims
- Refusing to investigate a claim properly
- Making lowball settlement offers far below the true value of your case
- Delaying payments or responses with no good reason
- Misrepresenting facts or policy language to avoid paying
- Failing to provide a clear explanation for a claim denial
- Withholding important information about your policy or coverage
- Demanding unnecessary or excessive paperwork to stall the claims process
- Canceling a policy without proper notice just after a claim is filed
Getting treated unfairly by your insurance company can slow down your recovery and add stress to an already painful situation. If you suspect bad faith, documenting everything and consulting an attorney can help hold the insurer accountable.
Common Examples of Insurance Bad Faith in Colorado
Insurance companies in Colorado are expected to treat policyholders and injury claimants honestly and fairly. Unfortunately, some insurers put their own profits first and act in bad faith, delaying or denying payments when they should be helping. Common examples of insurance bad faith in Colorado injury claims include:
- Unreasonably denying valid claims
- Refusing to investigate a claim properly
- Making lowball settlement offers far below the true value of your case
- Delaying payments or responses with no good reason
- Misrepresenting facts or policy language to avoid paying
- Failing to provide a clear explanation for a claim denial
- Withholding important information about your policy or coverage
- Demanding unnecessary or excessive paperwork to stall the claims process
- Canceling a policy without proper notice just after a claim is filed
Getting treated unfairly by your insurance company can slow down your recovery and add stress to an already painful situation. If you suspect bad faith, documenting everything and consulting an attorney can help hold the insurer accountable.
How Colorado Insurance Companies Must Act in Good Faith
In Colorado, state law requires insurance companies to handle claims and policyholders with honesty and fairness at all times. Under the law (C.R.S. § 10-3-1115) and long-standing court rulings, insurers can’t simply look for ways to avoid paying you what they owe. They’re obligated to quickly acknowledge your claim, start a reasonable investigation, and keep you updated throughout the process. Communication must be clear and truthful, so you understand what’s happening with your case. If there’s a delay or denial, the insurer must give you a clear and valid explanation, supported by your policy’s terms.
Your Rights If an Insurer Acts in Bad Faith in Colorado
If an insurance company in Colorado acts in bad faith you have important legal rights and protections. As a policyholder or an injury claimant, you can take direct action by filing a formal lawsuit against the insurer for bad faith, which could lead to extra damages on top of what you’re already owed under your policy.
Additionally, you’re allowed to file a complaint with the Colorado Division of Insurance, the state agency responsible for regulating insurance companies and enforcing consumer protection laws. This agency will review your complaint and may investigate the insurer’s practices. By suing and reporting the company, you can hold the insurer accountable, encourage fair treatment, and help prevent future harm to others in your position.
Compensation Available for Insurance Bad Faith in Colorado
You may be entitled to different types of compensation if you succeed in a bad faith insurance claim in Colorado. Understanding each category helps you know what to expect if you’re considering legal action against your insurer.
Original Policy Benefits
This represents the actual amount your insurance company should have paid you from the start your full, legitimate claim under the policy.
Statutory Damages (Double Benefits)
Colorado law allows you to demand extra money twice the amount of the delayed or denied claim value.
Attorney Fees and Legal Costs
Winning a bad faith lawsuit in Colorado often means your insurer could be made to pay your reasonable attorney’s fees and many associated court costs. This is meant to level the playing field and help policyholders recover without going into debt over legal expenses.
Noneconomic Damages
On top of economic damages, you may also recover money for mental suffering, anxiety, or loss of enjoyment caused by battling with the insurance company’s bad-faith behavior.
Punitive Damages
In the most extreme situations when an insurer’s behavior crosses the line into malice, fraud, or a conscious disregard for your rights the court may order additional damages purely as a form of punishment.
These forms of compensation help hold insurance companies accountable for treating you unfairly.
How a Colorado Insurance Attorney Can Help You
Dealing with an insurance company that’s acting unfairly can quickly become overwhelming. A Colorado insurance attorney is your advocate when you feel mistreated or stuck by claim delays and denials. Here’s how they can help:
- Review your policy and help you understand your rights and coverage
- Collect and organize the evidence supporting your original claim
- Identify any signs or patterns of insurer bad faith
- Contact the insurance company to push for honest, timely responses
- Negotiate for a fair settlement without unnecessary delays
- File complaints with state regulators, if needed
- Prepare and pursue a lawsuit
- Represent you in mediation, court, or appeal hearings
With a knowledgeable lawyer guiding you, you can focus on your own recovery rather than struggling through red tape on your own.
Contact Our Colorado Insurance Bad Faith Attorneys
At Ridder Law, our goal is simple. We want to give you the time and attention you deserve and guide you with what you need to know about Colorado no-fault insurance laws. With a personal touch, you are always available to get in touch with us 24/7. We have more time to spend with you than the big advertising firms do, and this results in better outcomes. Each case is important to us. Contact us today at (720) 812-1047 for a free case consultation.