Accusation? Or Intimidation?
It's called leverage. The policyholder reports a theft or some other loss. The insurance company questions the circumstances surrounding the theft and implies, or even directly suggests, that the insured may be guilty of "insurance fraud." Insurance fraud is a crime. It may make the policyholder decide not to file a claim — even though the loss is legitimate.
Contact Stephen C. Ryan, Insurance Bad Faith Lawyer · 480-661-3977
The Stephen C. Ryan law firm in Phoenix, Arizona, has handled many cases in which the insurance company used the threat of an accusation to get a policyholder to back down from a claim.
In one case, the policyholders lost $70,000 worth of jewelry in a hotel room. They were questioned by the insurance company. Without any investigation, the company brought up insurance fraud. After talking to an attorney, the policyholders stood their ground. The company did not file criminal charges. They almost never do. They simply use intimidation to keep from having to pay a legitimate claim.
Insurance fraud is a serious crime — and the insurance companies use that.
For most people, even the threat of an arrest is enough to make them think twice — even when they know the accusation is false. Insurance companies count on the fear of the embarrassment and expense an arrest might cause.
The bottom line for an insurance company is profits — and that means not paying claims. They are not above using intimidation to get a policyholder to back away from a legitimate claim.
If you have been accused of insurance fraud, contact a lawyer experienced with the tactics insurance companies use against their own policyholders. The consultation is free.
