In the 1970’s I learned the insurance policy of denial, delay, discount of paying claims. It’s all about keeping your money earning a return for the insurance company as long as possible. Every day the money earns a return. There is a reason the first major investment of Buffett was an insurance company. The are a cash cow which feed Warren’s need for investment capital.
I was an expert witness on a court case relating to a business fire. It was about a $1 million fire and the insurance company refused to pay.
This was in the mid 1980’s and interest rates were high. I destroyed the insurance company expert witness, showing the jury that he was blatantly lying.
I then proceeded to teach the jury with charts how the insurance company internal rate of return on their investments over the period they denied the claim yielded enough income on the amount they denied, to pay the claim in full without digging into principle.
My client was awarded damages in addition to his claim for a total award of $3.8 million.
I’m a fiduciary on this current claim under a POA and considering filing suit as their delay cost me the sales agreement I had signed to sell the property and the property value dropped considerably since the date of claim denial.