Can I sue my insurer for emotional distress resulting from the bad faith handling of my claim?
In general, yes, in many instances, an insurance company’s unreasonable denial or delay of a valid claim can result in life-altering misfortunes, such as repossession of property, refusal of needed medical care, foreclosure of a business, etc. These events naturally can have substantial emotional and/or physical repercussions, and those who suffer them are often compensated when bad faith is substantial.