Professional Liability

Arizona Professional Liability

In Arizona, every insurance policy includes an implied duty of good faith and fair dealing. When an insurance company breaches the duty of good faith and fair dealing, it commits a tort allowing the insured to bring a cause of action to recover damages. This is often called a claim for “bad faith.” An insurance company commits bad faith when it intentionally denies, fails to pay or delays payment of a claim without a reasonable basis, knowing that it acted with a reasonable basis. There are numerous ways an insurance company can commit bad faith in Arizona, including:

• Failing to pay monies owed under an insurance policy
• Delaying payments of an insurance claim
• Lowballing or underpaying an insurance claim
• Forcing a policy through needless adversarial hoops to recover an insurance claim
• Misrepresenting facts or pertinent terms of the insurance policy
• Failing to conduct a reasonable investigation of a claim
• Forcing an insured to file suit to recover damages for a covered claim
• Failing to recognize a valid assignment of a claim