Missoula, MontanaMissoula Insurance Bad Faith
Missoula Insurance Bad Faith Lawyers: Denied Claims, Lowball Offers and Unfair Claim Practices in Missoula County
Boland Aarab PLLP.
If your insurer denied, delayed or underpaid a claim you were owed, Montana law may let you sue it for the harm its conduct caused, in addition to the benefits themselves. That is true whether the claim was under your own policy or against someone else’s insurer after a crash. In Missoula, we have taken an insurer to court over wrongfully denied benefits and won a $257,000 court order. The deadlines are short, so act quickly.
Key Takeaways
Was your insurance claim denied or delayed in Missoula? Contact Boland Aarab PLLP for a free consultation at (406) 315-3737.
What have we done for a Missoula policyholder?
An insurer refused benefits its policyholder had paid for. We took the dispute to court, and the court ordered $257,000 (our results). It shows what this work involves: reading the policy closely, building the claim file, and being willing to put the insurer’s decision in front of a judge.
What kinds of bad faith claims come up in Missoula?
Insurance disputes follow the risks people face, and western Montana has some distinctive ones:
- Wildfire and smoke claims. Homes in the wooded hills and valleys around Missoula face wildfire risk each summer, and wildfire smoke can settle in the valley for long stretches (Missoula Public Health). Disputes arise over fire loss, smoke and soot damage, additional living expenses, and whether a policy was cancelled or not renewed properly.
- Winter losses. Missoula’s cold snaps bring frozen and burst pipes, ice dams and roof collapses. Insurers sometimes deny these claims as “wear and tear,” “maintenance” or “gradual” damage when the policy language does not support the denial.
- Underinsured motorist claims. Crashes on Reserve Street, I-90 and U.S. 93 frequently involve drivers carrying only Montana’s minimum limits. When your own insurer then undervalues your underinsured motorist claim, it owes you the same fair treatment it owes any claimant.
- Medical payments and Ridley payments. When fault for a crash is reasonably clear, the at-fault driver’s insurer may have to pay medical bills from Providence St. Patrick Hospital, Community Medical Center or your other providers before the case settles, instead of making you wait.
- Health and disability denials. Denials of treatment, prior authorizations or disability benefits can have serious consequences. Some employer plans are governed by federal law (ERISA), which changes the rules, so the first step is identifying what kind of plan you have.
- Business and commercial claims. Missoula’s small businesses, contractors and landlords rely on property, liability and business-interruption coverage.
What happens after an insurance claim denial in Missoula?
- Get the full policy. Ask for a complete, certified copy, including all endorsements.
- Keep everything in writing. Save every letter, email and claim note, and write down the date and name of every adjuster you talk to.
- Request the reasons. Montana requires insurers to promptly explain the basis for a denial or a compromise offer. A vague answer is itself a warning sign.
- Consider a complaint. You can file a complaint with the Montana Commissioner of Securities and Insurance, though a complaint does not replace a lawsuit.
- The lawsuit. A bad faith case can be filed in the Fourth Judicial District Court at the Missoula County Courthouse, 200 West Broadway (Missoula County District Court). Most insurers are incorporated outside Montana, so many cases are removed to the Missoula Division of the federal court, at the Russell Smith Federal Courthouse, 201 East Broadway (U.S. District Court, Missoula). Montana’s bad faith law still applies there.
- Third-party claims wait. If you were hurt by someone else and their insurer acted in bad faith, the statutory bad faith claim generally cannot be filed until the underlying injury claim is settled or reduced to judgment, and then you have 1 year.
Montana law that applies
- Prohibited practices include refusing to pay without a reasonable investigation and failing to settle promptly when liability is reasonably clear (§ 33-18-201, MCA).
- The reasonable-basis defense: an insurer is not liable if it had a reasonable basis in law or fact for contesting the claim (§ 33-18-242(6), MCA). The claim file usually decides that.
For more, see our Montana insurance bad faith lawyer page.
Why hire a Great Falls firm for a Missoula case?
We are based in Great Falls and handle insurance bad faith cases across Montana, including in Missoula. Bad faith cases are fought over the policy, the claim file and the law, and they are frequently litigated in federal court. Our attorneys travel to Missoula for depositions, hearings and trial, and much of the document work happens without you needing to come to us.
The Boland Aarab Way
- We have done it in Missoula. An insurer refused its policyholder’s benefits; the court ordered $257,000.
- We know federal court. Our attorneys have handled more than 40 cases in the U.S. District Court for the District of Montana over nine years, and Samir Aarab has argued twice before the Ninth Circuit.
- We try cases. Our firm has tried more than a dozen jury trials, and our attorneys have spent more than 4,000 hours in the courtroom.
- We protect verdicts. The Montana Supreme Court reinstated a $168,500 verdict we won in Voegel v. Salsbery, 2023 MT 137.
We also handle Missoula car accident and Missoula appeals cases, and other Missoula personal injury claims.
Frequently Asked Questions
My insurer denied my wildfire smoke damage claim in Missoula. What can I do? Get the full policy and the written reason for the denial. Whether smoke and soot damage is covered depends on the policy language, and a denial without a reasonable investigation can be bad faith.
Has Boland Aarab handled a bad faith case in Missoula? Yes. An insurer refused benefits its policyholder had paid for, and after we took it to court, the court ordered $257,000.
The other driver’s insurer won’t pay my Missoula hospital bills until I settle. Is that allowed? Not always. When liability is reasonably clear, Montana law may require the insurer to pay medical expenses in advance under Ridley.
How long do I have to sue my insurer for bad faith in Montana? Generally 2 years from the violation for a policyholder, and 1 year after the underlying claim is resolved for an injured third party.
Will my Missoula bad faith case be in state or federal court? It can be filed in the Fourth Judicial District in Missoula, but insurers incorporated elsewhere often remove cases to the federal courthouse in Missoula.
Talk to a Missoula Insurance Bad Faith Lawyer
Contact Boland Aarab PLLP for a free consultation at (406) 315-3737.
Our attorneys: Caitlin Boland Aarab · Samir F. Aarab
Disclaimer: This article is for informational purposes only and does not constitute legal advice. Reading it does not create an attorney-client relationship.
