Dealing with an insurance company after a car accident or unexpected loss is rarely enjoyable, but most people expect a certain level of professionalism and cooperation. After all, you pay your premiums on time with the understanding that when something goes wrong, your insurer will be there to help.
Unfortunately, that doesn’t always happen.
Sometimes, instead of acting in good faith, insurance companies engage in practices that delay, minimize, or outright deny valid claims.
Bad faith insurance tactics aren’t just frustrating—they can have real consequences. You could find yourself forced to pay out-of-pocket for vehicle repairs, related medical bills, or other expenses that should have been covered.
If you feel like something is off during the claims process, chances are you might be right.
Let’s take a look at five common signs that an insurance company may not be playing fair, along with some tips for what to do next.
What Are Common Bad Faith Insurance Tactics?
Sometimes, insurance companies will use certain tactics to keep from paying out claims. These may include:
#1: Unreasonable Delays in Communication or Payment
Once you’ve filed a claim, your insurance company is expected to respond within a reasonable time.
That doesn’t mean you’ll get a check the next day, of course, but it does mean they should communicate regularly, provide updates, and move your claim forward without unnecessary roadblocks. If you find yourself leaving multiple voicemails, sending follow-up emails with no response, or getting vague answers about when your claim will be resolved, it may be a sign of trouble.
Delaying tactics can serve the insurance company in several ways. First, it can pressure you into accepting a lower settlement out of desperation.
Second, it could cause you to miss legal deadlines or lose important evidence. If the insurer is stalling and you’re not getting a clear explanation, it’s time to start documenting every interaction and considering outside help.
#2: Lowball Settlement Offers That Ignore Evidence
Insurance companies are businesses. Their goal is to minimize losses and protect their own bottom line.
One way they do this is by offering quick, low settlements that don’t reflect the true value of your car accident claim. They’ll often downplay the extent of your injuries, challenge the need for ongoing treatment, or ignore certain damages altogether as well.
You might receive a check accompanied by a statement like, “This is our final offer,” or “This is what your claim is worth.” But if the offer doesn’t cover your medical bills, lost income, or property repairs, it’s likely not a fair deal, and you shouldn’t accept it.
A legitimate insurance company should consider the evidence you provide, including medical records, car repair estimates, and lost wage documentation. If they refuse to acknowledge that evidence or they make an offer well below what you need to recover, it’s worth pushing back.
#3: Misrepresentation of Policy Terms
Your insurance policy is a legal contract. It outlines what is covered, under what conditions, and for how much. When a company starts twisting or misinterpreting the language of the policy to deny your claim, that’s a major red flag.
You might be told something like, “That type of damage isn’t covered,” or “You didn’t meet the conditions of your policy,” even when the terms clearly say otherwise. Some insurers rely on the fact that most people lack the time or legal expertise to understand their policies fully. They may highlight one section of the contract while ignoring another that supports your claim.
If what they’re telling you about your policy doesn’t match your understanding of it, or if they refuse to provide written explanations for their decisions, it may be a sign of bad faith.
#4: Requesting Excessive or Unnecessary Documentation
It’s normal for insurance companies to ask for documentation during the claims process. They need to verify what happened and assess the cost of your damages. However, when these requests become unreasonable or repetitive, it can signal a deeper issue.
You may find yourself repeatedly sending the same forms, getting new document requests every week, or being asked for paperwork that doesn’t relate to your claim at all. This tactic is meant to wear you down and create delays that benefit the insurer in the long run.
It’s also a way to frustrate claimants into walking away or accepting a lower settlement.
A good-faith insurer will clearly communicate what they need and explain why. If you’re being buried in red tape with no end in sight, it’s time to question their motives.
#5: Shifting Blame or Denying Liability Without Proper Investigation
In some cases, an insurance company may deny a claim outright without conducting a fair investigation.
They might claim you were at fault in a car accident without reviewing police reports, ignore third-party witness statements, or suggest that a preexisting condition caused your injuries. Sometimes they’ll blame the loss on an exclusion in the policy, even when no real effort was made to assess the circumstances.
If your claim is denied quickly and without clear evidence, that’s a problem. Every insurer has a legal obligation to investigate claims thoroughly and fairly. Jumping to conclusions or refusing to engage with your side of the story is a tactic meant to close the file quickly and avoid a payout.
What Should I Do If I Suspect Insurance Bad Faith?
If your gut is telling you the insurance company isn’t treating you fairly, don’t ignore it. Start by keeping detailed records of all interactions, including emails, phone calls, and letters. Also, keep copies of any documents you’ve submitted and ask for written explanations for any decisions they make.
You should also consider speaking with a personal injury or insurance attorney, especially if your financial losses are significant. An experienced lawyer will review your policy, assess your claim, and determine whether your insurer has crossed the line into bad faith. In some cases, you may be able to file a separate legal claim against the insurance company for damages caused by their misconduct.
Another step is to file a complaint with your state’s insurance department. Regulatory agencies take bad faith complaints seriously and may intervene if the company has a pattern of similar behavior.
Insurance is supposed to offer peace of mind in difficult times.
But when the insurer starts playing games, delays your claim, or offers pennies on the dollars you deserve, that trust breaks down quickly. Knowing the signs of bad faith can help you take action early, protect your rights, and make sure you aren’t taken advantage of when you need help the most.
The accident claims process should be fair, transparent, and grounded in your policy. If it starts to feel like an uphill battle from day one, you might not be imagining things.
Being informed and proactive is your best defense when the insurance company isn’t playing fair.
If you find yourself in this unfortunate and frustrating situation, our experienced legal professionals at Curcio Law can help.
