Orange County Bad Faith Insurance Attorney

Our attorneys have been assisting the Orange County and Southern California communities for over 40 years.

Request free consultation

Orange County Bad Faith Insurance Attorney

Request free consultation


Since 1979, the Orange County bad faith insurance claim lawyers at DiMarco | Araujo | Montevideo have helped people deal with their insurance companies who have not performed their full duties. Being in an accident, having property stolen or damaged, or getting injured is bad enough. It is even worse when your insurer does not live up to the “implied covenant of good faith and fair dealing.”

As policyholders who have agreed to a contract and paid the insurance company the due premiums, we expect that they will aid us, be accountable, and be trustworthy. They indeed have a contractual duty to honor the claim on the policyholder’s behalf with your best interests in mind. Sadly, they do not always keep their side of the deal and they instead look for ways to minimize your legitimate claim in order to minimize their liability or be in a position to refuse to pay you anything.

Our firm has stood up to this for over three decades and we will continue to do so for you. Schedule a free case consultation today.

What is “Bad Faith” in California?

It is called “bad faith” when an insurance company refuses to fulfill its contractual obligations to its policyholders. Though these large insurance companies may appear to hold unlimited power with their teams of professionals, investigators, and forensic scientists, we can even the playing field. Do not let your family get bullied by their seemingly inexhaustible power as our successful firm has the experience, staff, consultants, and know-how to get you what you deserve: Fair treatment and full compensation.

Our state of California observes an implied covenant of good faith– insurance providers are required to use fair dealing when evaluating claims regardless of the fiscal impact on themselves. A client may bring a lawsuit against the insurer for bad faith and breach of contract if this is not followed.

How to File an Insurance Bad Faith Claim

Insurance companies have teams of lawyers who spend their time trying to minimize the compensation they must pay to policyholders. The law does want to protect you, though. If you or a family member have questions about how to bring an insurance bad faith claim legal cause of action, call us today at (714)-783-2205.

We will discuss your options and the following with you during your free consultation:

  • Options of how you may be able to do it yourself.
  • What would be involved in suing your insurer or another party.
  • Potential litigation issues including pleadings, investigation, expert witness depositions, written discovery, types of causes of action, law and motion, lay witness depositions, legal evidentiary standards of proof and legal requirements, potential special and general damages including medical treatment, bodily injury, loss of earnings, temporary disability benefits and other damages and benefits you are entitled to recover.
  • What the Department of Insurance (DOI) can do for you.
  • The answers to all of the questions you probably have about how we can help you navigate the legal system during this very difficult time.
  • How we could make your case simple, efficient, and successful.

Our experienced Orange County bad faith insurance attorneys and staff are here to take the stress, load, and pressure of a lawsuit off of your shoulders. If after meeting with us, and hearing about the numerous critical steps and costs that are needed to investigate, file, litigate, negotiate, and potentially take your injury case to trial, know that we are always here to step in and handle it for you. Our goal is to get policyholders the full compensation they deserve and get them back on their feet.

Appealing a Denied Claim

Policyholders have the right to appeal all denied claims by their insurer. We would be happy to have a free initial consultation with you to discuss how you should handle the appeal and evaluate the merits of your case. It is crucial that you have evidence to support your claim and that you read through your policy for the appeal process, proof needed, and the time limit you have before you are unable to appeal.

Our firm has handled this for clients for over thirty years so please let us know if you’d prefer to have our seasoned insurance and personal injury lawyers take over and give you the time and energy to focus on healing.

Proving Bad Faith in California

In order to prove that your insurance company has breached the covenant of good faith and acted in bad faith, there are usually three scenarios. The worst one is if your insurance company has not processed a claim whatsoever. The other two are more common:

  • The insurance company acted with disregard to your rights and they acted recklessly; and
  • The insurer denied a claim for a reason that is not written in your policy.

Unfortunately, these types of situations happen all the time so do not trust that your insurance company is above this type of behavior. Further examples of bad faith acts are listed next.

Types of Bad Faith Claims

The most common causes for insurance bad faith claims during our 30+ years have been:

  • The unwarranted denial of coverage;
  • The failure to conduct a reasonable investigation of the claim;
  • The failure to communicate all pertinent information;
  • The failure to pay or deny the claim within a reasonable period of time;
  • The failure to comply with reasonable discovery requests;
  • The failure to deny or confirm coverage within a reasonable period of time;
  • The act of offering an amount of money that is substantially less than the actual value of the claim (low balling);
  • The failure to promptly provide a reasonable explanation for the denial of a claim;
  • The failure to enter into any negotiations for settlement of the claim;
  • The failure to attempt to come to a fair and reasonable settlement when liability is clear;
  • The failure to respond to a time-limit demand; and
  • The failure to disclose policy limits.

Statute of Limitations

It is critical for you to call us as soon as you can for many reasons including these three main ones. First, it is best if we are able to investigate your case, interview witnesses and guide you from as soon after the accident as possible. Second, there are statutes of limitations on many types of insurance bad faith claims so it is important that we file your lawsuit within the designated time frame.

And lastly, the sooner you have your free case evaluation and initial consultation with us, the sooner you will know the merits of your case, how you should deal with insurers, and your legal options.

Insurance Coverage Defined

If you are not at fault for the accident, then the law does provide you with all of your current and future costs associated to the injury in addition to a number of damages including pain and suffering. It is important for you to know exactly what your insurance covers and what the limits are. Before we discuss the different aspects of insurance, please know that we have over thirty years of experience dealing with injuries and insurance companies and we are very willing to give you a free initial consultation to discuss your specific case, your specific insurance limits and your insurance and compensation options.

orange county bad faith insurance

Liability vs. Coverage

This is a main aspect of all cases that involve insurance. For example, the car that hit you may clearly be at fault and thus may clearly be liable for causing the accident. But, even though that car is liable, their insurance company only has to pay up to the covered limits that the driver paid for. We have the experience to know how to maximize what you get from the insurance company.

Insurance Company Settles above Policy Limits

In California, there is a duty to settle within policy limits so the insured isn’t hit with a large verdict. Insurance companies need to act reasonably and they may have to pay the difference between the limits and the trial verdict if they act recklessly and their action leads to verdicts above the policy limits. In these types of situations, it is critical for you to seek our assistance as you may be eligible for more damages including punitive ones for your injury.

Low Balling an Offer

We have experience winning insurance bad faith claims versus companies who have intentionally lowballed a settlement offer in order to not have to pay the higher, more reasonable amount. Insurance companies are mandated to act reasonably and fairly.

What You Could Learn During the Discovery Process

In dealing with insurance companies, it is important to level the playing field regarding information. The discovery process is intended to make it a fair legal fight. The type of info that is traded in a discovery may include the records for medical treatment, vehicle repair, financial loss, the original policy, and all amendments, the insurance company’s handbook on how claims are handled, and more.

Abandoned by Bad Faith and Special Settlements

In some cases, the plaintiff in a case where the defendant’s insurance company has acted in bad faith can have two additional options. They are assignment and direct action. Both can end up with the defendant being spared while the plaintiff goes after the insurance company. There are advantages to this for both sides and our experienced attorneys can discuss this with you regardless of whether you are the plaintiff or defendant in a similar case.

Uninsured Motorists (UM) & Under-insured Motorists (UIM)

UM and UIM are two areas we commonly see insurance bad faith claims. With supposedly one in at least every six drivers on the road today having no insurance coverage, it is important for all drivers to carry uninsured motorist insurance. Because your insurance company will not do you any extra favors, it is important to always know what your coverage limits are for collision, comprehensive, uninsured/under-insured motorist coverage, loss of use, loan/lease payoff, towing, personal property, umbrella, and buying online coverage.

Bilingual Bad Faith Claim Attorneys in Orange County

You have found the right firm if you need to speak to a bad faith insurance lawyer in Spanish regarding your accident. We have helped Spanish-speaking clients since 1979. Click on “En Español” to translate this page to Spanish or call us at any time.

We will meet with you at your house or hospital room if you are unable to come to us for any reason. We will even meet in the evenings and on weekends by appointment. We care about each of our clients and we will be your true ally during this rough time in your life. We will even make sure that you are getting the comprehensive and timely medical care that you deserve. Contact us right away at any hour of the day or night at (714) 783-2205.

DAM firm legal team

Contact Our Firm For Your Free Consultation

You may not be able to trust the insurance companies but you can trust our firm. We have been given an A+ by the Better Business Bureau for our ethics and service record. All initial case evaluations and consultations are complimentary. You will speak with and meet an insurance bad faith attorney. You will not incur any legal fees or costs for our time and assistance unless we win your case.

The lawyers at DiMarco | Araujo | Montevideo are available to meet at our Orange County office, your home, or hospital room Monday – Friday 8:30am to 5:30pm. Our attorneys and staff are also available all other times, including evenings, Saturday and Sunday, by appointment. If you cannot come to our office, our insurance bad faith lawyers in Orange County will come to you. Our top-notch reputation is known throughout Orange County. Call our firm any time of the day or night at (714) 783-2205 for a free consultation.

Request Free Consultation

  • *required fields