Keosian Law Practice Areas

Unfair Business Practices

Challenging systematic insurance industry misconduct

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Overview

California's Unfair Competition Law (UCL) and Unfair Insurance Practices Act provide powerful tools for challenging systematic unfair practices by insurance companies. These laws prohibit insurers from engaging in deceptive, fraudulent, or unlawful business practices—and provide meaningful remedies for policyholders who are harmed.

At Keosian Law LLP, our Los Angeles unfair practices attorneys pursue claims under these statutes when insurers engage in patterns of misconduct that harm policyholders. Whether an insurance company is systematically denying valid claims, delaying payments, or misrepresenting policy terms to discourage claims, we have the legal tools and expertise to fight back.

From our Sherman Oaks office, we represent policyholders throughout Los Angeles County and across California. Our attorneys understand the intersection of regulatory law, consumer protection statutes, and insurance bad faith—allowing us to pursue every available remedy on behalf of our clients.

Prohibited Insurance Practices

  • Misrepresenting policy provisions to discourage claims
  • Failing to acknowledge claims within required timeframes
  • Not adopting reasonable standards for claim investigation
  • Refusing to pay claims without conducting a reasonable investigation
  • Compelling policyholders to litigate by offering substantially less than owed
  • Attempting to settle claims for less than a reasonable person would accept
  • Making claims payments without explanation of coverage
  • Advertising coverage or benefits that are not actually available
  • Using deceptive practices to avoid policy obligations
  • Implementing corporate policies that systematically undervalue claims

The Legal Framework

Unfair Competition Law (UCL) – Bus. & Prof. Code § 17200

The UCL is one of California's broadest consumer protection statutes. It prohibits any business practice that is unlawful, unfair, or fraudulent. For insurance claims, the UCL allows policyholders to challenge practices that violate the Insurance Code, common law, or other statutes—even if those violations wouldn't otherwise give rise to a private lawsuit.

Unfair Insurance Practices Act – Ins. Code § 790.03

This Act specifically enumerates prohibited insurance practices, including misrepresenting pertinent facts or policy provisions, failing to acknowledge claims promptly, and not attempting in good faith to effectuate prompt and equitable settlements. While the Act does not create a direct private right of action, violations constitute strong evidence of bad faith in civil lawsuits.

Fair Claims Settlement Practices Regulations

California Code of Regulations Title 10, Section 2695.1 et seq. provides detailed operational standards for insurers. Violations of these regulations are per se violations of the Insurance Code and provide powerful evidence in both regulatory proceedings and civil litigation.

Available Remedies

Our attorneys pursue maximum recovery through multiple legal theories:

  • Contract Damages: Full benefits owed under the policy.
  • UCL Restitution: Recovery of money or property unfairly obtained by the insurer.
  • Injunctive Relief: Court orders requiring the insurer to stop unfair practices.
  • Bad Faith Damages: Compensatory and consequential damages for the insurer's breach of the covenant of good faith.
  • Emotional Distress: Compensation for the psychological toll of fighting unfair practices.
  • Punitive Damages: When the insurer's conduct constitutes oppression, fraud, or malice under Civil Code Section 3294.
  • Attorney Fees: Available under certain statutory provisions and contractual terms.

How We Challenge Unfair Practices

  1. Practice Investigation: We investigate whether your experience is part of a broader pattern of unfair practices by the insurer.
  2. Regulatory Coordination: When appropriate, we file complaints with the California Department of Insurance and coordinate with regulatory investigations.
  3. Multi-Theory Litigation: We file suit asserting all applicable legal theories—breach of contract, bad faith, UCL violations, and regulatory violations.
  4. Class Action Potential: When unfair practices affect numerous policyholders, we evaluate whether class action or representative action may be appropriate.
  5. Trial: We present evidence of systematic misconduct to Los Angeles juries, who take corporate accountability seriously.

Why Choose Keosian Law

  • Multi-Theory Expertise: We understand the intersection of insurance law, consumer protection, and regulatory compliance—allowing us to pursue every available remedy.
  • Pattern Recognition: We investigate whether your case is part of a broader corporate practice, which strengthens individual claims and may support punitive damages.
  • No Fees or Costs Unless We Recover: No attorney fees or costs unless we recover for you.
  • Los Angeles Based: Our Sherman Oaks office serves all of Los Angeles County with deep knowledge of local courts and procedures.

Insurance companies should not profit from unfair practices. Contact Keosian Law today to hold them accountable.

Frequently Asked Questions

Find answers to common questions about our legal services and processes.

The UCL (Business & Professions Code Section 17200) prohibits unlawful, unfair, or fraudulent business practices. It allows individuals to seek restitution and injunctive relief against businesses, including insurance companies, engaged in unfair practices. The UCL is a powerful tool for challenging systematic insurer misconduct.

Violations include misrepresenting policy provisions, failing to promptly acknowledge claims, not adopting reasonable investigation standards, refusing to pay claims without reasonable basis, compelling litigation by offering substantially less than ultimately recovered, and failing to affirm or deny coverage within reasonable time after proof of loss.

Yes, while some regulations require a 'pattern' of conduct for regulatory action, individual policyholders can sue for specific violations affecting them. Evidence of patterns strengthens individual claims and may support punitive damages. Our attorneys investigate whether your experience is part of a broader corporate pattern.

Remedies may include restitution of amounts unfairly taken, injunctive relief stopping ongoing violations, attorney fees in some cases, and in individual bad faith cases, compensatory and punitive damages. The combination of regulatory and common law claims maximizes potential recovery.

UCL and regulatory claims focus on whether practices violate statutory standards, while bad faith claims focus on breach of the implied covenant of good faith. They often overlap and can be pursued together for maximum recovery. Our attorneys evaluate every case for all available legal theories.

The California Department of Insurance can investigate complaints and take action against insurers, but they don't recover damages for individuals. Filing a complaint can support your case, but you need an attorney to pursue personal recovery. Our Los Angeles team handles both regulatory and litigation strategies.
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Call Now: (866) 222-2020Schedule Consultation Client Story

"After our basement flooded, our insurance company offered only a fraction of what was needed. Keosian Law stepped in and negotiated a settlement that covered everything."

Michael J.

Sherman Oaks, CA

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