Texas insurance code provides protection for policyholders

Texas law demands that insurance companies handle claims fairly and promptly. Chapters 541 and 542 of the Texas Insurance Code protects policyholders and outlines the duty of an insurance company to act in good faith.

The code was created by the Texas Supreme Court to reflect the outcome of a series of court cases, rather than by issuing a statute, because of so many instances of corporate negligence. Recognizing a “special relationship” between the insurer and the insured, the law establishes legal protection from unfair insurance practices.

The courts acknowledge that insurance companies have a clear advantage over the insured because of their superior understanding of their own policies and their limited risks when negotiating long settlements. To combat this legislation, insurance companies have filled their policies with complicated terminology in a deliberate attempt to confuse policyholders.

Hurricane Harvey is now expected to cost up to $180 billion, and insurance companies are balking at the demand. Overwhelmed and trying to protect their profits, these corporate giants often times cut corners and leave policyholders stranded. Their tactics include, among other things, ignoring claims, delaying payments, improperly investigating claims, and wrongly assessing damages.

If you have filed a claim, but are not satisfied with the insurance company’s response, it may be in your best interest to seek legal counsel. Even if you have any doubt as to the authenticity of your insurance company’s response in handling your claim, we can offer you in-depth legal advice.

Bad faith claims arise when policyholders experience delays and unreasonable denials. Claims that are clearly covered under an insurance policy are protected in the state of Texas, and the insurance companies have an obligation to address these claims in a timely manner. The attorneys here at Williams Hart have extensive insight into the laws protecting policyholders in the state of Texas, and we have experience at successfully holding insurance companies responsible across the nation.

Texas residents are protected under the Texas Insurance Code, and common law may also be relevant to your specific case. Under this protection, insurance companies face an increased penalty if they do not pay your claim in a certain amount of time. The law is very clear and it is on your side. Each case is unique and requires a deep background of knowledge in insurance adjustments. Attorneys with less experience are often eager to settle these types of lawsuits before it goes to court, at the expense of their client’s financial compensation. Our dedicated team of professionals will not settle for anything less than what you deserve.

Understanding the intricacies of a policy’s language and the strategies insurers use to deceive policyholders takes time and patience. For over 30 years, we have been defending victims from the abuse of powerful insurance companies wrongfully denying their claims. Many times, the insurance companies try to settle for less than what you deserve.

We are not afraid to hold corporate greed to the fullest extent of the law and we will pursue your claims until justice is served. If you are in need of legal help, contact us today at [phone number]. You can also chat with us live, or email us anytime. Don’t wait, get help today.

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