What Questions Should You Ask a Bad Faith Insurance Lawyer?

Policyholders in Colorado Springs frequently encounter unfair treatment from insurers, including claim denials, unreasonable delays, and inadequate settlement offers. Knowing what questions should you ask a bad faith insurance lawyer before hiring one helps ensure you choose a legal advocate who understands complex insurance practices and knows how to hold insurers accountable. At VandenBout Law, we have seen how strategic questioning at the start of your case can set the foundation for a strong and successful bad faith claim.

Understanding Bad Faith Insurance Claims

Bad faith insurance occurs when an insurance company fails to fulfill its obligations under a policy, such as ignoring valid claims, undervaluing losses, or dragging out investigations. Colorado law sets clear expectations for honest dealing in the insurance field. Under Colorado Revised Statute §10-3-1104, insurers cannot misrepresent policy terms or benefits when reviewing claims. These rules protect policyholders and help ensure fair treatment during the claims process.

A bad faith insurance claim often arises when an insurer’s conduct goes beyond a simple disagreement over value. The conduct must demonstrate an unreasonable or dishonest approach to a legitimate claim. Evidence such as ignored correspondence, conflicting explanations for denials, or inconsistent settlement amounts may signal deeper issues requiring immediate legal attention.

How to Know If Your Insurance Company Is Acting in Bad Faith

An insurer acts in bad faith when it unreasonably delays, denies, or undervalues a legitimate claim. For example, a company may request excessive documentation, offer a low settlement without justification, or fail to provide a clear explanation for a denial. Colorado law prohibits such actions under Colorado Revised Statutes §10-3-1115, which forbids insurers from unreasonably delaying or denying benefits owed to first-party claimants.

Other warning signs include constant adjuster changes to slow progress, refusing to provide written communication, or citing unclear exclusions. When these patterns appear, legal counsel can step in to evaluate records, address violations, and push for timely compliance.

Essential Questions to Ask Before Hiring a Bad Faith Insurance Lawyer

Selecting the right lawyer determines the strength of your claim. Ask focused, detailed questions to evaluate whether the attorney has the expertise and strategy to challenge a major insurer effectively. Consider these essential questions:

• What experience do you have handling bad faith claims in my state?
• What evidence do I need to prove my insurer acted unfairly?
• What outcomes have you achieved for similar cases?
• How are legal fees structured in bad faith cases?

Understanding what questions should you ask a bad faith insurance lawyer helps you measure their familiarity with Colorado statutes, courtroom experience, and negotiation approach. When dealing with potential bad faith insurance, policyholders should also request a detailed, written explanation for any claim denial or adjustment. Ask for a clear and specific breakdown of any settlement amount, and inquire about the reason for any delay in claim processing. Clarify vague communication and identify any policy exclusions the insurer relies upon to justify its decision.

Red Flags That Indicate an Insurer May Be Acting in Bad Faith

Bad faith behavior often appears subtle at first but escalates over time. Recognizing the warning signs early helps prevent financial loss. The most common red flags include:

• Unexplained claim delays beyond the insurer’s stated timeframe
• Conflicting information between adjusters and correspondence
• Settlement offers far below the documented value of the loss
• Pressure to accept a low offer before reviewing full documentation
• Refusal to explain policy exclusions or reasoning for denial

Under Colorado Revised Statute §10-3-1115, any unreasonable delay or denial may constitute bad faith. Policyholders can utilize this protection to seek compensation for financial harm resulting from the insurer’s misconduct. Gathering written communication, claim records, and expert assessments provides a factual foundation for legal action, increasing the chances of a favorable resolution.

How an Experienced Attorney Can Strengthen Your Bad Faith Claim

An attorney reviews claim records, identifies violations, and builds a firm evidentiary foundation for policyholders. Early in the process, the lawyer examines every insurer response, demands written documentation under Colorado’s fair claims laws, and uses legal tools to enforce compliance.

When insurers rely on vague policy exclusions, the attorney challenges that language, compares it with statutory definitions, and demonstrates inconsistencies with Colorado public policy. Many insurers choose settlement once presented with clear evidence of bad faith, supported by state law, and complete documentation.

Contact VandenBout Law to Protect Your Rights Against Insurance Misconduct

VandenBout Law defends Colorado Springs policyholders against unfair insurance practices. Our attorneys uncover unreasonable delays, wrongful denials, and low settlements to secure the compensation clients deserve. Call us at (720) 901-2984 for a confidential consultation and learn how our firm holds insurers accountable under Colorado law.

Lawrence VandenBout

Mr. VandenBout has successfully tried multiple cases, he understands that many times the most efficient and effective resolution to a legal dispute occurs outside the courtroom and through the process of mediation. He has been successful in negotiating many favorable settlements for his clients. Mr. VandenBout also utilizes his experience to counsel and assist clients in developing strategies for minimizing the risk of becoming involved in potential legal disputes in the future.

Years of experience: Over 11 years
Recognition: Rising Star 2021, 2022, 2023 & 2024.
Location: Denver, CO