If you own or operate a business, you probably have insurance to cover the various risks associated with its operation. In addition to insurance that covers property or casualty loss, you may have life insurance policies on key owners, or have a comprehensive general liability (CGL) policy in place. Your CGL often includes a duty to defend, which requires your insurer to provide legal representation in the event you are a defendant in a covered lawsuit, regardless of whether or not the claims asserted against you have any merit or any chance of success.
Having insurance in place is critical to the success of your enterprise, as it helps you maintain necessary cash flow and keep your business running when mishaps occur or legal challenges arise. Unfortunately, insurance companies don’t always keep their end of the agreement. In an effort to maximize their profits, insurance providers often employ strategies to delay, diminish or even deny coverage of legitimate claims. That’s when you need an experienced lawyer to protect your interests.
At Tobolsky Law, we have more than 30 years of experience protecting the rights of individuals, businesses and business owners in southern New Jersey and southeastern Pennsylvania. The hallmarks of our practice are prompt, personalized and effective service. Our goal with every client is to develop a long-term relationship built on trust and results.
What to Do When Your Insurer Fails to Provide Coverage
An insurance policy is essentially a contract with your insurance company. In exchange for the payment of premiums, your insurance provider agrees to compensate you for covered losses and defend you against lawsuits with claims within the scope of your coverage. You should immediately give written notice of a claim to your insurance company and your insurance agent as soon as you become aware of it. Insurance companies employ adjusters and attorneys, however, who may look for ways to minimize or avoid paying legitimate claims. Unfortunately, there is seldom any avenue of redress within the insurance company. Your first and best option is generally to retain a knowledgeable, experienced and aggressive attorney to be your liaison with the insurance company. In some instances, your lawyer may be able to negotiate a settlement that meets your needs. However, in most situations, you will likely need to take your insurer to court, alleging breach of contract and bad faith denial of a legitimate claim.