What are the elements of a bad faith insurance claim?

A bad faith insurance claim is an allegation by an insured person (or their attorney) that their insurance company has acted wrongfully in some way. In Washington State, a bad faith claim requires that all of the following elements be present: 1) The insurance company must have acted unreasonably; 2) The insurance company must have known of the unreasonableness; 3) The insurance company must have acted with a wrongful motive in order to benefit itself or to harm the insured; 4) The insurance company must have caused the insured to suffer damages as a result of its conduct; 5) The insurance company must have acted with knowledge or recklessness as to its possible non-compliance with the terms of the insurance policy; 6) The insurance company must have acted without regard for the interests of the insured; 7) The insurance company must have acted without an honest and reasonable belief in the validity of its position; and 8) The insurance company must have breached an implied covenant of good faith and fair dealing. If all of these elements are present, the insured may be able to pursue a legal claim for bad faith against their insurer. Depending on the circumstances, the insured may be able to recover money and other forms of relief, including punitive damages.

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What are the elements of a bad faith insurance claim?

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