Practice Area
Insurance Bad Faith Claims in Mississippi
Mississippi law imposes a duty of good faith on insurers. When an insurer unreasonably denies, delays, or undervalues a valid claim, additional legal remedies may be available.
What Is Insurance Bad Faith?
Under Mississippi law, an insurer owes its policyholder a duty of good faith and fair dealing. When an insurer breaches that duty — by denying a valid claim without a reasonable basis, unreasonably delaying payment, or failing to conduct an adequate investigation — the insured may have a bad faith claim in addition to the underlying contract claim. Mississippi's bad faith statute, Miss. Code Ann. § 83-11-5, provides for the recovery of attorney's fees and, in cases of egregious conduct, punitive damages. These are not easy claims to prove, and not every disputed claim rises to the level of bad faith. We evaluate the facts carefully and pursue bad faith claims only when the insurer's conduct genuinely crosses the line.
What These Cases Involve
Unreasonable Claim Denial
When an insurer denies a valid claim without a reasonable basis — or without conducting an adequate investigation — that conduct may support a bad faith claim.
Unreasonable Delay
Insurers are required to act promptly on claims. Unreasonable delays in investigation, evaluation, or payment can constitute bad faith under Mississippi law.
Inadequate Settlement Offers
Offering a fraction of the claim's value without a reasonable basis, or refusing to negotiate in good faith, may support a bad faith claim in appropriate circumstances.
Attorney's Fees and Punitive Damages
Mississippi's bad faith statute permits recovery of attorney's fees when an insurer's denial is without a reasonable basis. In cases of egregious conduct, punitive damages may also be available.
Not Every Dispute Is Bad Faith
An insurer that disputes your claim, offers less than you believe you are owed, or takes time to investigate is not necessarily acting in bad faith. Bad faith requires conduct that is unreasonable — without a legitimate basis. We evaluate the facts honestly and will tell you whether your situation rises to that level.