What are the common causes of action in an insurance claim?

In Arizona, there are several common causes of action in an insurance claim. These include breach of contract, negligence, bad faith, and violation of consumer protection laws. Breach of contract occurs when an insurance company does not follow the terms of the insurance policy. This may include the insurance company not paying the proper amount for a claim, denying a claim without reasonable explanation, or failing to act in a reasonable time frame. Negligence occurs when the insurance company fails to provide reasonable care when handling a claim. This may include failing to properly investigate the claim, not acting in a reasonable time frame, or not providing a response to a claim. Bad faith occurs when an insurance company deliberately fails to pay a claim, denies a claim without a reasonable explanation, or attempts to delay a response to a claim. It is important to note that bad faith is usually difficult to prove and must be established by clear and convincing evidence. Finally, a claim can be made based on a violation of consumer protection laws. Arizona has several consumer protection laws that require insurance companies to treat their customers fairly, such as the Arizona Insurance Code. These laws protect consumers from unfair or deceptive practices and may be used as the basis for an insurance claim.

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