Bad Faith, Market Conduct & Extra-Contractual Liability

Protecting Insurers from High-Stakes Bad Faith and Extra-Contractual Claims

Bad faith and extra-contractual claims present the potential for substantial damages, reputational harm, and long-term operational impact. At Hinshaw, we have decades of experience representing insurers in high-profile and high-stakes bad faith litigation, market conduct examinations, and related disputes nationwide. Our attorneys bring a deep knowledge of insurance law coupled with a pragmatic understanding of the business practices employed by insurers as well as the realities confronting insurers in defending against extra-contractual claims.

Defending Insurers Against Every Angle of Bad Faith Risk

Hinshaw lawyers regularly evaluate, advise, and represent insurers in myriad bad faith, extra-contractual, and market conduct investigations, lawsuits, and class actions. We represent insurers in trial and appeals in courts across the country in both first and third-party bad faith actions.  We counsel and represent insurers before state departments of insurance and state and federal regulatory bodies.  We work proactively to advise clients and provide training in claims handling practices and best practices and in compliance with statutory, regulatory, and common law requirements to minimize the risk of extra-contractual liability and to navigate evolving regulatory expectations.

Our experience extends to the full panoply of extracontractual claims, including:

• allegations of inadequate investigation,  
• unreasonable delay, failure to defend or indemnify,
• unfair or improper claims handling,
• premium pricing,
• property valuation,
• unfair settlement practices,
• failure to settle,
• institutional bad faith, and
• various other theories and allegations. 

We represent insurers with respect to other extra-contractual claims, including:

• claims involving loss control and risk management services,
• alleged conspiracy,
• alleged improper hiring or supervision of employees or contractors,
• alleged breaches of fiduciary duties,
• alleged fraud and misrepresentation,
• alleged violations of insurance and claim handling regulations, and
• consumer fraud and protection statutes. 

We advise insurers in responding to time-limited demands and with respect to stipulated judgments and assignments.  Simply stated, Hinshaw lawyers are well-versed in evaluating and defeating extracontractual claims and in limiting recovery of damages, including punitive damages and attorney fee awards.