California First-Party Insurance Bad Faith Litigation
KBK Lawyers represents California policyholders in first-party insurance bad faith litigation. Our founding partner is a past President of Consumer Attorneys of California, and our firm has recovered more than $250 million across California first-party insurance disputes. We handle substantial bad-faith matters statewide.
Holding Insurance Companies Accountable
$250+ million recovered across California first-party insurance bad-faith matters. $9+ million Station Fire smoke-damage class settlement. $1.8 million Woolsey Fire bad-faith recovery. $5.7 million commercial property bad-faith settlement. $1.7 million water-damage bad-faith jury verdict. (Attorney Advertising. Past results do not guarantee a similar outcome.)
When First-Party Insurance Bad Faith Is Warranted
Under California law, every insurance carrier owes its policyholders the implied covenant of good faith and fair dealing. A carrier may be exposed to bad-faith liability when it:
- Unreasonably denies a covered claim
- Unreasonably delays the investigation, adjustment, or payment of a claim
- Forces the insured into litigation to recover benefits owed under the policy
- Misrepresents policy terms, benefits, or available coverage
- Fails to conduct a reasonable and thorough investigation
- Pays substantially less than the policy benefits clearly required under the policy
When these actions occur, the carrier’s exposure may extend beyond the insurance contract itself. Depending on the facts, a policyholder may be entitled to pursue:
- Consequential damages resulting from the carrier’s conduct
- Brandt attorney’s fees as compensatory damages
- Statutory penalties available under the California Insurance Code
- Punitive damages in cases involving malicious, oppressive, or fraudulent conduct by the carrier
What We Represent
Why KBK Lawyers
- Brian Kabateck — Past President of the Consumer Attorneys of California and former President of the Consumer Attorneys Association of Los Angeles
- More than $250 million recovered in first-party insurance bad-faith matters throughout California
- Decades of California insurance litigation experience, from claims arising out of the 1994 Northridge earthquake to disputes stemming from recent wildfire losses
- A trial-ready approach to every case, with preparation focused on achieving the strongest position whether the matter settles or proceeds to verdict
- Focus on substantial-loss matters, typically involving $200,000 or more in disputed insurance benefits
- Among the lowest contingency fee rates charged by California plaintiffs’ firms for substantial insurance bad-faith litigation cases
What We Recover in Bad Faith Litigation
A successful California insurance bad-faith claim may allow a policyholder to pursue recovery of:
- Unpaid policy benefits that the insurance carrier owed under the contract
- Consequential damages resulting from the carrier’s bad-faith conduct, including qualifying out-of-pocket losses and, where permitted by law, emotional distress damages
- Brandt fees — attorney’s fees recoverable as compensatory damages when the carrier’s bad faith forced the insured to hire counsel to obtain policy benefits
- Statutory penalties available under the California Insurance Code, where applicable
- Punitive damages in cases involving malicious, oppressive, or fraudulent conduct by the insurance carrier
Speak With Our Experienced Team
Deadlines
California bad-faith tort claims generally run on the two-year personal injury limit. Contractual claims on the policy itself run on a different limit — often longer, sometimes constrained by the policy’s own suit-limitation provision. The interaction between these limits is technical, and most strong bad-faith cases require timely filing on both. We map every deadline at the first call.
Frequently Asked Questions
What is "first-party" bad faith, and how is it different from "third-party" bad faith?
First-party bad faith involves the insured’s own carrier — your homeowners insurer, your disability insurer, your auto carrier on a UM/UIM claim. Third-party bad faith involves another person’s carrier that owed defense or indemnity in a case against you. The legal frameworks are different. Our practice handles substantial first-party matters statewide.
What are Brandt fees, and when are they available?
Under Brandt v. Superior Court, the attorney’s fees you incur to recover the policy benefits the carrier should have paid are themselves recoverable as compensatory damages in a bad-faith case. They are not statutory fee-shifting; they are economic damages caused by the carrier’s bad faith. They are typically among the most substantial damages elements in a successful bad-faith case. I am an attorney with a client who has a possible bad-faith claim.
Do you handle referrals?
Yes. We accept referrals from California attorneys and out-of-state counsel with California-resident clients. Standard CRC 3.769-compliant fee-sharing arrangements available. Brian Kabateck and our senior litigators are available to speak with referring counsel directly.
Attorney Advertising. Past results do not guarantee a similar outcome.