Why Texas Loser Pay Law is Really a Family Pay Law
An insurance defense lawyer backed by special interest lobbyists from the insurance industry have submitted a bill known as the loser pay law. The name in itself is misleading and fraudulent in that the loser does not pay attorneys fees -only Texas families will pay attorneys fees under the bill.
In truth, it is not a loser pay law- it is a only one party pays-Texas families. Specifically what the bill is designed to do is to make Texas families who are forced to file a lawsuit defended by an insurance company to pay the insurance company's lawyers if they don't cover enough money.
When an insurance company fraudulently denies a legitimate claim and a family wins the lawsuit-the insurance company who lost the case and have mounted a frivolous defense does not have to pay the legal fees of the Texas family.
It is NOT A LOSER PAY LAW! INSURANCE COMPANIES DONT HAVE TO PAY-ONLY FAMILIES ARE ASKED TO PAY THE INSURERS LAWYERS!!
However, when a Texas family brings a claim if they win the case but don't recover enough money under this bill they will be required to pay the legal fees of the insurance company. This unfair pro-insurance -anti-family law is a travesty and should cause outrage by Texas families.
Texas is faced with a frivolous lawsuit problem right now and that is that insurance companies are forcing litigation on Texas families by denying legitimate claims and then using in-house or employee lawyers to fight the case.
In other words insurance companies are making it so expensive for a family to process a claim because they have to go to court for any type of fairness. Given the family pay law that is proposed by the insurance lobby- insurance companies abusive claims practices in Texas will be multiplied by 10.
Texas does not regulate its insurance industry claim practices and that has led to numerous abuses by insurance carriers at the expense of Texas families.
This new bill will make that situation much worse and anytime you put an insurance company's interest above a Texas family-something stinks.
Call your representative and tell them to vote no on the Texas family pay law!
Similar posts: Texas family pay law
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