Disability insurance offers an income for you and your family if the unfortunate event occurs that you become disabled and are unable to work. Sadly, it is not uncommon for insurance companies to take advantage of those with disabilities. They will often slow the claims process and engage in unfair tactics in order to deny legitimate claims for disability benefits that you have paid for and deserve to receive.
Insurance Fraud/Insurance Bad Faith
This kind of behavior by insurance companies is essentially insurance fraud. Sometimes this conduct is also called insurance “bad faith.” If an individual has purchased an insurance policy and has been paying the company for that policy, the individual and the company have entered into a legally binding contractual agreement. If you are the victim of insurance fraud or bad faith, you have the right to take legal action against the insurance company.
We welcome you to contact us or call 707-703-4038 if you have any more questions about insurance fraud.
What is Disability Insurance Fraud or Bad Faith?
Any action that unreasonably disrupts a policyholder’s right to receive proper benefits is illegal, and victims are entitled to seek compensation for their losses.
Examples of disability insurance fraud or bad faith include:
- Insurance company has denied policy benefits for invalid or fraudulent reasons.
- Payments to the policyholders are delayed unreasonably.
- Payments to the policyholder stop before the policyholder is able to return to work and begin earning a paycheck again.
- Insurance company will not pay benefits claiming that the policyholder is able to do some other job which is not actually available, or for which the policyholder is inadequately trained.
What should you do if your Insurance Company denies your claim?
If your insurance company denies your claim for disability payments, it is important that you file an appeal as quickly as possible. Many companies have a short period of time wherein you are allowed to file an appeal. Hiring an experienced and qualified attorney who has dealt with insurance disability denials before might be very beneficial for you.
Is Social Security Disability an Option?
The United States Government pays Social Security disability benefits to individuals and specific family if the injured person has worked long enough and has a medical condition that has prevented him or her from working or is anticipated to keep the person from working and earning an income for at least 12 months or end in death.
Reasons You Should Apply for Social Security Disability Benefits
If all of the below issues apply to your situation, you should file for disability benefits:
- You are experiencing a mental or physical condition that is critical.
- You anticipate your medical condition to last for at least a full year, or more.
- Your condition is grave enough that it is holding you back from employment and earning more than $1,090 per month (or $1,820 if you’re blind).
Reasons You Should Not Apply for Social Security Disability Benefits
Just because you have been injured or even denied benefits from your private insurance company doesn’t mean you qualify or should apply for Social Security Disability Benefits from the Federal Government. Below are reasons you should not apply for Social Security Disability Benefits.
- Your doctor does not think your condition is severe.
- Your condition is anticipated to last less than one year.
- You are capable of earning over $1,090 per month in some manner.
- You haven’t worked enough to be eligible for SSDI, but your family income or assets are too high for SSI.
This area of the law is complex and there are few attorneys who understand or have experience in handling disability claims. If your disability claim was denied, you should hire an experienced and qualified disability attorney to represent you during your appeal. Having a lawyer greatly increases the possibility of the insurance company complying with the requirements of the policy, and if they do not, you will have good reason to bring a lawsuit to force the insurance company to honor its promise to you.
We welcome you to contact us or call 707-703-4038 to schedule a free initial consultation at your convenience.