All too often, insurance companies and the defense attorneys they hire on your behalf try to save the insurer money by failing to accept and pay a reasonable settlement offered by the injured party, putting the policyholder at risk. By refusing to accept a reasonable settlement and taking a case to trial, insurance companies are gambling with your potential liability above and beyond your policy limits. If the jury decides against the defendant, however, the insurance company may claim it is only liable for paying up to the limits of the policy, leaving the policyholder on the hook for the rest.
When an insurance company refuses to reasonably settle a lawsuit within its own policy limits, and the lawsuit results in a verdict in excess of the policy limits, the insurance company can be sued for insurance bad faith and may be liable for the entire amount of the judgment.
To discuss your insurance-related concern, please contact Pillsbury & Levinson, LLP in San Francisco today. Our lawyers represent clients throughout the state in cases involving excess verdicts.
