Georgia § 33-6-34 - Unfair claims settlement practices.

§ 33-6-34. Unfair claims settlement practices.

Any of the following acts of an insurer when committed as provided in Code Section 33-6-33 shall constitute an unfair claims settlement practice: Knowingly misrepresenting to claimants and insureds relevant facts or policy provisions relating to coverages at issue; Failing to acknowledge with reasonable promptness pertinent communications with respect to claims arising under its policies; Failing to adopt and implement procedures for the prompt investigation and settlement of claims arising under its policies; Not attempting in good faith to effectuate prompt, fair, and equitable settlement of claims submitted in which liability has become reasonably clear; Compelling insureds or beneficiaries to institute suits to recover amounts due under its policies by offering substantially less than the amounts ultimately recovered in suits brought by them; Refusing to pay claims without conducting a reasonable investigation; When requested by the insured in writing, failing to affirm or deny coverage of claims within a reasonable time after having completed its investigation related to such claim or claims; When requested by the insured in writing, making claims payments to an insured or beneficiary without indicating the coverage under which each payment is being made; Unreasonably delaying the investigation or payment of claims by requiring both a formal proof of loss and subsequent verification that would result in duplication of information and verification appearing in the formal proof of loss form; provided, however, this paragraph shall not preclude an insurer from obtaining sworn statements if permitted under the policy; When requested by the insured in writing, failing in the case of claims denial or offers of compromise settlement to provide promptly a reasonable and accurate explanation of the basis for such actions. In the case of claims denials, such denials shall be in writing; Failing to provide forms necessary to file claims within 15 calendar days of a request with reasonable explanations regarding their use; Failing to adopt and implement reasonable standards to assure that the repairs of a repairer owned by the insurer are performed in a workmanlike manner; Indicating to a first-party claimant on a payment, draft check, or accompanying letter that said payment is final or a release of any claim unless the policy limit has been paid or there has been a compromise settlement agreed to by the first-party claimant and the insurer as to coverage and amount payable under the contract; Issuing checks or drafts in partial settlement of a loss or claim under a specific coverage which contain language which releases the insurer or its insured from its total liability; and Failure to comply with any insurer requirement in Chapter 20E of Title 33, the "Surprise Billing Consumer Protection Act," including the failure to pay a resolution organization as required under Code Section 33-20E-16 . (Code 1981, § 33-6-34 , enacted by Ga. L. 1992, p. 3048, § 9; Ga. L. 2020, p. 210, § 2/HB 888.) The 2020 amendment, effective January 1, 2021, deleted "and" at the end of paragraph (13), substituted "; and" for the period at the end of paragraph (14), and added paragraph (15). Code Commission notes. - Pursuant to Code Section 28-9-5, in 1992, "first-party" was substituted for "first party" in two places in paragraph (13).