Can I Sue the Insurance Company Directly for Denying My Valid Claim?

When an insurance company unreasonably denies a valid claim, Arizona law empowers policyholders to file a bad faith lawsuit against the insurer. This legal action seeks compensation not only for the original claim but also for additional damages resulting from the insurer’s misconduct.

Recent Case in Phoenix

In the case of Franklin v. CSAA General Insurance, the Arizona Supreme Court ruled that insurers must allow policyholders to “stack” underinsured motorist coverages for each vehicle insured under a single policy. This decision underscores the court’s commitment to protecting consumers from unfair insurance practices. Read more about the case here.

Arizona Law and Your Rights

Arizona recognizes the duty of insurers to act in good faith and deal fairly with policyholders. When an insurer breaches this duty by denying a valid claim without a reasonable basis, the policyholder has the right to pursue a bad faith lawsuit. This can result in compensation for the original claim, emotional distress, and, in some cases, punitive damages designed to deter similar conduct.

Statute of Limitations

It’s crucial to act promptly. In Arizona, the statute of limitations for filing a bad faith insurance claim is typically two years from the date of the alleged bad faith act. Delaying action can jeopardize your ability to seek justice.

What To Do Next

If you believe your insurance claim was wrongfully denied, consult with experienced legal professionals. Attorney Jack Hirsch, a Certified Specialist in Personal Injury and Wrongful Death, and Attorney Chelsie Talcott, a former Maricopa County Deputy Public Defender, have a proven track record in handling insurance bad faith cases. Our firm operates on a contingency fee basis, meaning you pay no fees unless we win your case. Learn more about our fee structure.

At Hirsch Talcott, we are dedicated to holding insurance companies accountable and ensuring our clients receive the compensation they deserve. If you suspect your claim was unjustly denied, contact us at 602-903-6000 for a free consultation.

Where to get help

If this situation applies to you, Hirsch Talcott offers a free consultation — speak with a Phoenix bad faith lawyer or browse our insurance claim lawyer practice to understand your options.