When you file an insurance claim, whether for an injury, property damage, disability, or another covered loss, you expect your insurer to honor the policy you’ve paid for. Unfortunately, some policyholders in Pittsburgh and throughout Western Pennsylvania discover that their insurance company is far more focused on preserving its bottom line than meeting its obligations. When an insurer delays, denies, or undervalues a valid claim without a reasonable basis, this behavior may amount to an insurance bad faith claim under Pennsylvania law.
At AlpernSchubert, P.C., in Carnegie, we represent policyholders across Western Pennsylvania who have been treated unfairly by insurance companies. When insurers fail to follow the law, ignore evidence, or violate the terms of a policy, we step in to help people enforce their rights and hold carriers accountable. If you believe your insurer is not acting in good faith, recognizing the warning signs can help you protect yourself early in the process.
What Counts as Good-Faith Conduct?
Not every disagreement or delay amounts to bad faith. Insurers acting in good faith typically:
- Communicate clearly about what information they need
- Conduct timely investigations
- Explain their decisions with reference to the policy
- Evaluate claims based on the evidence, not assumptions
- Make reasonable efforts to resolve claims promptly
Understanding this distinction helps you recognize when an insurer is acting within its rights versus when it may be violating Pennsylvania law.
1. Unreasonable Delays With No Clear Explanation
Insurance companies must conduct a prompt, thorough investigation of every claim and clearly communicate what they still need from you to move the claim forward. Yet many policyholders experience:
- Weeks or months without updates
- Repeated requests for information already provided
- Adjusters who stop responding
- Shifting excuses for why the claim is still “under review”
While not every delay is bad faith, chronic, unexplained delays designed to wear you down or push you toward giving up may violate Pennsylvania’s Unfair Insurance Practices Act. Keeping copies of all communications, medical records, and repair estimates can help reveal patterns of unreasonable delay or denial. If the insurer cannot provide a specific reason for the holdup or explain what is needed, it may be time to take action.
2. Lowball Settlement Offers That Ignore the Evidence
One of the most common signs of bad faith, and one frequently seen in Pittsburgh-area insurance disputes, is a settlement offer that bears little resemblance to your actual losses. This can occur in:
- Motor vehicle accident claims
- Long-term disability claims
- Homeowners and property damage claims
- Commercial insurance matters
Insurers may also refuse to negotiate, insist that your injuries are minor, or claim that treatment was unnecessary. When an insurer ignores medical reports, repair estimates, or clear documentation to justify an unreasonably low offer, it may be acting in bad faith.
3. Denying a Valid Claim Without a Reasonable Basis
Pennsylvania law requires insurers to explain the reason for any denial. Yet some carriers:
- Provide vague or generic explanations
- Misapply policy language
- Rely on incomplete or inaccurate investigations
- Ignore evidence that supports your claim
A denial based on misrepresentation of the policy, misinterpretation of the facts, or no real investigation at all is a major red flag. In many of these cases, a deeper review reveals that the insurer lacked any legitimate basis to deny coverage.
4. Misrepresenting Policy Terms or Exclusions
Bad-faith practices often involve misstating the policy itself, including:
- Claiming exclusions apply when they do not
- Misquoting coverage limits
- Misrepresenting what documentation is required
- Failing to disclose all available coverage
These tactics are designed to discourage you from challenging the insurer’s decision. When an insurance company selectively interprets or misrepresents its own contract, that conduct may violate both the policy and Pennsylvania law.
5. Pressuring You To Accept a Quick Settlement
Some insurers push claimants toward an early settlement before they understand the full value of their losses. Common tactics include:
- Calling repeatedly, urging you to “wrap things up”
- Suggesting you don’t need legal help
- Imposing arbitrary deadlines
- Warning that the offer will disappear
Quick settlements usually benefit the insurer, not the policyholder. If you are being encouraged to sign away your rights before the investigation is complete or before you understand the long-term impact of your injuries, this is a potential sign of bad faith.
If you want to understand what these warning signs look like in real disputes, you can review examples of bad-faith insurance cases handled by AlpernSchubert, P.C. These real-world outcomes illustrate how insurers attempt to deny, delay, or undervalue claims and how policyholders can successfully challenge that conduct with the right legal counsel.
What You Can Recover in a Bad Faith Insurance Case in Pennsylvania
Under Pennsylvania’s bad-faith statute (42 Pa. C.S. § 8371), policyholders who prove bad faith may be entitled to:
- Interest on the claim
- Punitive damages
- Attorney’s fees and court costs
These remedies exist to deter abusive insurance practices and safeguard policyholders who rely on fair claim handling during some of the most difficult moments of their lives.
Why Working With a Pennsylvania Bad Faith Insurance Lawyer Matters
Bad faith insurance cases are complex. Insurers have extensive legal teams, internal protocols, and resources aimed at defending their decisions. Challenging them requires a clear understanding of:
- The policy language
- Claim-handling standards
- Pennsylvania insurance regulations
- The evidence needed to prove bad faith
At AlpernSchubert, P.C., our Pittsburgh bad faith insurance lawyers investigate unfair insurance practices, gather critical documentation, and pursue remedies that force insurers to honor their obligations. We help policyholders across Western Pennsylvania push back against improper denials, low offers, and claim-handling misconduct.
When an insurance company is not treating you fairly, you deserve an advocate who understands how insurers operate and how to hold them accountable.
Think Your Insurer Is Acting in Bad Faith? Get the Guidance You Need.
If you believe your insurer has wrongfully denied your claim, delayed payment, or failed to act in good faith anywhere in Pittsburgh, Allegheny County, or the surrounding Western Pennsylvania communities, you do not have to face the insurance company alone.
Call AlpernSchubert, P.C. at 412-556-2326 or contact us online to schedule a confidential case evaluation. Our Pittsburgh bad faith insurance lawyers are here to protect your rights and ensure your insurer lives up to its obligations.
Disclaimer: The articles on this blog are for informative purposes only and are no substitute for legal advice or an attorney-client relationship. If you are seeking legal advice, please contact our law firm directly.