There are several types of disability insurance that are governed by different laws.  Long term and short term disability insurance policies may have been purchased individually or through employers.  These types of policies include occupation-specific, credit card, mortgage, business overhead and key-man disability insurance (see the “FAQs” section of our website for more information on disability policies and the law applicable to them).  Individual disability policies are governed by state laws, which typically provide a broader array of damages for policyholders.  Most of the policies issued through employers are governed by the Employee Retirement Income Security Act (“ERISA”) (see the “FAQs” section of our website for more information on ERISA  law).

California law implies in every insurance contract the covenant of good faith and fair dealing, also more commonly known as insurance “bad faith.”  If an insurer denies an insurance claim and does so by engaging in bad faith conduct (see the “FAQs” section of our website for more information on insurance bad faith), a policyholder may sue for policy benefits due under the policy, “consequential damages” that are caused by the bad faith conduct, emotional distress, punitive damages, attorneys’ fees and interest on past-due benefits (typically at the legal rate of 10%).  As to the policies governed by ERISA, a policyholder can sue for policy benefits, attorneys’ fees and interest due on the benefits not paid.

We have extensive experience litigating ERISA and insurance bad faith cases involving disability claims.  We are nationally recognized experts in insurance bad faith law and litigation involving disability claims.  No attorneys in California are better suited than we are to litigate your insurance claims.  We can and will aggressively litigate your case to achieve maximum success.

Call or email us to schedule a free consultation.