You need to speak with an attorney. An attorney can help you determine the answers to your questions in light of the particular facts of your case. Good luck.
Here are some general principles regarding insurance bad faith copied from the case of COVENTRY v. AMERICAN STATES INS. CO., 136 Wn.2d 269 (1998).
In general, insurance companies have a duty to conduct their relations with their insureds in good faith. When insurance companies breach their duty, causing harm to the insureds, the insured may have a cause of action. Such cause of action may be characterized as violation of a consumer protection act, or a breach of contract.
Insurers have a duty to conduct a reasonable investigation.
[Please note: this communication does not constitute legal advice, nor does it form an attorney-client relationship. The author is licensed to practice law only in the State of Washington.]
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