Bad Faith Argument Insurance. Bad faith insurance by definition is an attempt to back out of a deal, policy rules, or obligations that the insurer provided to the policyholder. Hospitalized for over a week, she received intensive care and multiple blood transfusions.
Claim rejection is an easily spotted example of negligence on the provider’s part, but they can also use stalling tactics and partial coverage offers to avoid paying. On one side of the fence, you have the right of an insurer to reject an invalid claim. 3) the scope of disclosure required by an insurer accused of bad faith;