Alabama Policyholders Protection Attorney

 

Insurance Policyholders' Protection Lawyer in Birmingham, AL Providing Committed and Compassionate Legal Representation to Policyholders Throughout The State

Throughout Alabama, insurance companies let down the policyholders they’re supposed to protect. Wrongful claim denials and underpayments can leave you facing financial hardships, no matter how prepared you thought you were for every eventuality. It’s time to stop playing the insurance carrier’s game and bring in professional representation. With an Alabama policyholders protection attorney at Johnstone Trial Law, LLC on your side, you can fight back against unfair tactics and receive the benefits you deserve. 

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Our firm is dedicated to protecting policyholders from being taken advantage of. We stand up to the biggest insurers in the world and fight to make sure policyholders receive compensation that makes a meaningful difference in their lives. Contact us today for a free consultation, and find out what an insurance policyholders' protection lawyer in Birmingham, AL, can do for you. 

Comprehensive Legal Assistance for Insurance Issues in Alabama

You’ve paid for coverage and held up your end of the contract—possibly for years—but now that it’s the insurer’s turn to meet its obligations, the company seems to have no problem breaking your trust. When your claim has been denied, the insurer is dragging its feet unnecessarily, or the settlement offer you’ve received is unreasonably low, you need the advantages of professional legal representation. 

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With our firm’s reputation for fighting tirelessly for policyholders and our record of success, you can count on us to provide the full array of assistance you need to hold an insurer accountable for breaches of contract and other types of bad-faith conduct. 

Claim Denial Analysis

An insurance company’s denial of your claim doesn’t have to be the end of the matter. Instead, think of this as a clear indication that it’s time to bring in professional legal counsel. 

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At Johnstone Trial Law, LLC, we won’t take the insurer’s word that your claim doesn’t qualify. Our Alabama policyholders protection attorney will conduct an in-depth assessment of your circumstances to understand why your claim has been denied and identify any errors or unfair tactics involved in the insurer’s denial. You can count on us to: 

• Analyze the language of your insurance policy and all documentation 

• Evaluate the reasons the insurer gave for denying the claim

• Examine the specific facts of your situation 

• Research applicable laws and legal precedents

What we uncover through this analysis determines how we can help you fight unfair claim denials. Whether your case requires more documentation or it’s time to take the insurer to court to hold them to established legal precedents, we’re ready to fight for you. 

Resolutions Through Negotiation and Litigation 

Negotiating a resolution—and avoiding the need to go to court—offers numerous benefits. Settling your claim for a fair amount when possible is generally faster, less costly, and less legally demanding. Although we aim to save you time, money, and hassle when possible, the reality is that even the most skillful negotiations can sometimes fail to yield a fair resolution. 

If the insurance company sticks to its decision to deny a claim unfairly or refuses to agree to a settlement offer that addresses the full extent of your losses, litigation is the next step. As an experienced insurance policyholders' protection lawyer in Birmingham, AL, Inge Johnstone is fully prepared to take your case to court and fight for everything you’re legally entitled to. 

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Our firm has a proven track record in litigation. We know what it takes to present a compelling case at trial, establishing an insurer’s bad-faith conduct through evidence and solid legal arguments. Through litigation, we pursue nothing less than full compensation for our clients—not only the benefits you should have received from the beginning but also compensation for all of the damages you incurred as a result of the insurer’s misconduct. 

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Expert Consultations 

To stand up successfully to a major insurance company, you need comprehensive evidence that supports all aspects of your claim. At Johnstone Trial Law, LLC, we acquire evidence not only through our own diligent investigations and analyses but also through collaborations with expert witnesses. 

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We work with reputable industry experts of all kinds, including: 

• Appraisers

• Claims professionals

• Engineers

• Contractors

We recognize the weight that expert opinions carry in court and the situations in which they are necessary, which is why we hire experts when necessary. Through the expert opinions we obtain, we’re able to successfully document and present crucial data pertaining to the causes of covered losses and their extensive impacts on our clients’ lives. If the insurer’s delays or denials have led to consequential damages or worsening hardships of any kind, documenting these damages is essential for recovering compensation that addresses all of your losses.

 

Policyholder Education 

When the insurance industry keeps policyholders in the dark, it’s easier for carriers to get away with bad faith conduct. At Johnstone Trial Law, LLC, we believe that understanding your rights as a policyholder is crucial. As we fight for the outcome you deserve, we’re also committed to supporting policyholder education. 

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By providing you with professional guidance, we equip you to make informed decisions about your insurance coverage and the next steps of your claim. Insurance law is complex, but having the right help allows you to navigate the claims process with confidence. 

Protections for Policyholders Under Alabama Insurance Law 

In claim disputes and related issues, it can seem like your insurance company always has the upper hand. You have to follow the processes that the insurer requires in order to file a claim. Then, the company can deny your claim or refuse to pay the full amount of your damages, without being directly subjected to anyone else’s oversight. 

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What the insurance industry doesn’t want you to know is that its decisions aren’t always the last word in insurance disputes. 

Under a blend of state statutes, industry standards and case law—the legal precedents established by prior court decisions—policyholders in Alabama have rights and protections that include the following. 

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Alabama’s Homeowners Bill of Rights Act

Section 3 of the Alabama Act No. 2012-510, known as the Alabama Policyholder Bill of Rights, guarantees certain protections to homeowners throughout the state, including: 

• The right to competitive pricing practices

• The right to expect insurance advertisements to provide representative information on the policy

• The right to assurance of the financial stability of their insurance carrier and the larger insurance market in the state

• The right to receive service from licensed insurance companies or producers

• The right to receive the complete policy language and, if needed, to request duplicate policy documents

• The right to receive notice of coverage cancellation in writing, with a minimum amount of advance notice, that explains the reason for cancellation

• The right to cancel their policies with the insurer and receive a refund for unearned premiums

• The right to receive written notification of changes in coverage when insurance policies are renewed

• The right to reject settlement offers made by the insurer in the course of resolving claims

• The right to choose their own licensed contractor or vendor to perform repairs or replacements of damaged property in insurance claims

• The right to file a written consumer complaint with the Alabama Department of Insurance

Several of these protections extend to policyholders who have purchased other types of insurance coverage besides homeowners insurance, as well. These rights are important for the fair treatment of policyholders not only when purchasing or renewing insurance coverage but, in particular, when claim disputes and denials arise. 

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Restrictions on the Types of Misrepresentations That Can Prevent Recovery

Insurance carriers determine whether to offer insurance, and how much to charge for a policy, based on data and mathematical calculations. In some instances, when a covered event occurs and the insurance company is responsible for paying a claim, the carrier instead looks for ways to avoid payment by arguing that the policyholder misrepresented facts in their application for coverage. 

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A common example is when a policyholder with a life insurance or accidental death insurance policy dies, often within the first couple of years after the policy takes effect. The policyholder provided the required medical records and test results, and the insurer decided based on this information to offer a policy—then subsequently tried to argue that the policy was not actually valid due to a misrepresentation. 

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Under Section 27-14-7 of the Alabama Code, insurers can only get away with denying such claims for misrepresentations, omissions, or incorrect statements if the information provided or withheld was either fraudulent or material, and the insurer would not have issued the policy had they known the truth. This law protects beneficiaries from improper denials in situations in which the insurer had sufficient information to know that they should have investigated further.

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Eligibility for Punitive Damages in Claims of Insurance Bad Faith

You shouldn’t have to go to court just to get the benefits your policy entitled you to from the beginning. Under Alabama law, plaintiffs in bad-faith insurance litigation can recover not only the benefits they should have received and compensation for any consequential damages resulting from non-payment but also punitive damages, if applicable.

 

Punitive damages refers to money paid to punish and deter the defendant rather than to compensate the plaintiff for actual losses they have suffered. Any punitive damages you receive through your claim for insurance bad faith are in addition to, not instead of, the compensation you receive for the original loss and any consequential damages.

 

State law (as codified in Section 6-11-20 of the Alabama Code) permits punitive damages to be awarded in instances in which the insurer’s conduct can be shown to have been committed “with malice, willfulness, or wanton and reckless disregard of the rights of others.” 

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Legal Precedents Protect the Rights of Alabama Policyholders

In insurance litigation, we consider not only legal statutes but also the precedents established by prior cases. The decisions made in past cases involving insurance bad faith can also provide important protections to policyholders.

 

For example, in the case Gulf Atlantic Life Ins. Co. v. Barnes, 405 So. 2d 916, 924 (Ala. 1981), the Alabama Supreme Court distinguished between negligence in insurance investigations and conduct that constitutes bad faith. Per this decision, you can move forward with a claim for bad faith if you can demonstrate that the insurer committed a breach of known duty by acting with self-interest, dishonest motives, or ill will toward the policyholder. If you can show bad faith, you can recover consequential damages, mental anguish, and sometimes punitive damages as discussed above.

 

In the case of National Ins. Ass’n v. Sockwell, 829 So. 2d 111, 130-32 (Ala. 2002), the Court rejected an insurer’s efforts to repeatedly deny a claim under exclusions that were void under state law, as well as the carrier’s attempt to characterize its failure to pay the claim as a mere “mistake.” Although the company eventually paid the benefits after a lawsuit was filed, the Court determined that doing so was not sufficient to address the company’s bad-faith conduct and allowed the policyholder to recover both mental anguish damages and punitive damages.

 

How Johnstone Trial Law, LLC Can Help

To make the most of the protections available to you under Alabama law, you need legal guidance you can count on throughout the litigation process. Our firm is here to help, providing skilled representation inside and outside the courtroom to ensure policyholders receive the benefits they deserve. 

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Types of Insurance Coverage a Policyholder’s Protection Attorney Can Assist With

Insurance disputes and conduct in bad faith can occur in any type of coverage, from individual policies to commercial policies. Our team helps policyholders stand up to carriers who shirk their obligations pertaining to types of coverage such as the following: 

• Homeowners insurance 

• Private flood insurance

• Commercial property insurance

• Commercial general liability insurance 

• Errors & omissions policies

• Employment practices liability policies

• Directors & officers' liability policies 

• Boiler and machinery policies 

• Professional liability insurance

• Short term health insurance plans

• Individual disability insurance

• Life insurance

• Accidental death insurance

 

From our office in Birmingham, we represent policyholders statewide in claims of bad faith arising out of all types of insurance company misconduct.

 

Our Effective Approach to Protecting Policyholders 

To prove bad faith and breach of an insurance policy, we employ comprehensive strategies. Our firm analyzes and interprets the language of insurance contracts and documentation, paying special attention to how insurance industry rules in Alabama apply. We identify any ways in which the insurer is intentionally or recklessly acting to the detriment of the policyholder and work to prove that the company’s claim denial or other conduct constitutes bad faith. 

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Why Choose Johnstone Trial Law, LLC as Your Alabama Policyholders Protection Attorney?

Your insurance company let you down right when you most needed help. Now, you need an Alabama policyholders protection attorney who’s willing to fight for you. You need Johnstone Trial Law, LLC, a firm with experience focusing on claims of insurance bad faith and providing aggressive, personalized representation for policyholders. 

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Extensive Experience in the Unique Area of Insurance Bad-Faith Law

For more than 15 years, our firm has been the voice of Alabama policyholders mistreated by their insurance companies. We’ve cultivated a reputation for success in a complex area of law that relatively few attorneys are willing to put in the work and take on the risks to practice. While individual policyholders routinely entrust us with their cases, so do other lawyers who recognize that their clients’ insurance claims could benefit from our comprehensive knowledge of insurance bad-faith law. 

Aggressive Advocacy to Protect Policyholders’ Rights

 

In any insurance dispute, the carrier has advantages the average policyholder doesn’t, including an abundance of resources and legal teams with considerable knowledge of Alabama law and the insurance industry. If you’re going to stand up to an insurer successfully, you’re going to need strong legal support to level the playing field. Our team is committed to seeing justice served and contracts to policyholders honored. We fight tirelessly to ensure these outcomes happen through the legal system.

 

Through our aggressive pursuit of justice, we secure financial relief for individual clients and so much more. Our consistent efforts to fight back against insurer misconduct and hold companies accountable help deter insurers from acting in bad faith in the future.

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Client-Centered Services Personalized to Your Individual Needs

Your insurer treated you like nothing more than a claim number when you needed it. You can expect better from our firm, where we genuinely care about our clients and their needs. When you choose Johnstone Trial Law, LLC to handle your insurance dispute case, you’ll have a personal contact throughout your claim who gets to know you as a person and puts your goals first. We develop individualized legal strategies that align with your needs. 

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Even our fee arrangement can be personalized. Our firm provides contingency-based representation that ensures you can receive professional legal guidance at no upfront cost, but we also offer our services on an hourly fee basis when this arrangement is a better fit for individual clients and cases. 

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Contact an Alabama Policyholders Protection Attorney at Johnstone Trial Law, LLC Today for a Free Case Evaluation

It’s time to hold your insurer accountable for its failures to approach your claim in good faith. With the right legal guidance, you can finally receive the benefits you’ve paid for, along with all additional damages you’re entitled to under Alabama law. 

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For help from an insurance policyholders' protection lawyer in Birmingham, AL, contact Johnstone Trial Law, LLC online or call 205-894-8900 today.

Frequently Asked Questions About Insurance Policyholder Protections in Alabama

What rights do policyholders have in insurance disputes in Alabama? 

Generally, policyholders in Alabama have the right to expect insurers to pay the benefits specified in the insurance contract in the case of a covered event. The insurer is legally obligated to act in good faith in its dealings with the policyholder or beneficiary and to treat this party’s interests in equal regard as its own. Although minimizing payouts is beneficial for the insurer, acting in bad faith when conducting investigations, interpreting policy language, or conducting negotiations could be the basis for taking legal action against the carrier. 

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As a policyholder in Alabama, your rights include the ability to refuse a settlement offer you feel is unfairly low, receive written copies of the complete policy and any policy changes upon renewal, and file a complaint over insurer misconduct with the state’s Department of Insurance. If you suspect that your insurer is acting in bad faith, you may retain professional legal counsel to represent you and, if necessary, initiate litigation against the company to recover compensation through the court system. 

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Can you sue an insurance company for taking too long in Alabama?

Insurance claims can move forward at a frustratingly slow pace. Although the acceptable timeframes differ by type of insurance and claim, it can often take weeks to months to resolve the claims process even if no bad-faith conduct occurs. However, unreasonable delays can constitute bad faith. If it seems like your insurance claim is dragging on without getting any closer to a resolution or if the insurer engages in other conduct that concerns you, you may have grounds to sue the carrier for bad faith. 

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When should I hire an insurance lawyer? 

It’s in your best interests to consult an insurance lawyer as soon as you have reason to suspect that your insurer is not following appropriate laws and guidelines. Often, clients reach out to Johnstone Trial Law, LLC after they have received unreasonably low settlement offers or notice of claim denials, or have encountered unnecessary delays. Our firm offers a free case evaluation, so you have nothing to lose by contacting an attorney to understand your options. 

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What do policyholders' protection attorneys do? 

Policyholder protection attorneys stand up to insurance companies that engage in bad-faith conduct, advocating for policyholders and beneficiaries to receive the compensation and benefits they’re entitled to. Our work on behalf of clients includes thoroughly analyzing policy language, investigating claims and insurer conduct, collaborating with industry experts to secure valuable evidence, negotiating settlements with insurers, drafting and filing legal documents, and representing our clients in legal proceedings, such as trials. Contact Johnstone Trial Law, LLC today for your free consultation.