INSURANCE BAD FAITH DEMAND LETTER – NEW JERSEY

To: [Insurance Company Name, Claims Department Address]
From: [Insured/Claimant Name, via Counsel if applicable]
Date: [DATE]
Claim Number: [CLAIM NUMBER]
Policy Number: [POLICY NUMBER]
Insured: [INSURED NAME]
Date of Loss: [DATE OF LOSS]
Claim Type: [First-Party / UM-UIM / Property]

1. INTRODUCTION

This letter demands immediate payment. Insurer's conduct may violate New Jersey's Consumer Fraud Act.

2. FACTUAL BACKGROUND

• Date of Loss: [DATE] — [describe loss]
• Coverage: [$LIMITS]
• Status: [Unpaid / Underpaid / Denied]

3. LEGAL BASIS – NEW JERSEY REMEDIES

Unfair Claim Settlement Practices (N.J.S.A. 17:29B-4)

New Jersey prohibits unfair claims settlement practices.

Consumer Fraud Act (N.J.S.A. 56:8-1 et seq.)

Insurance claims handling may be actionable under the CFA, which provides:
- Treble damages;
- Attorney's fees and costs.

Note: New Jersey does not recognize an independent tort of first-party bad faith. Claims proceed under the CFA or breach of contract.

4. DAMAGES

• Policy benefits: [$AMOUNT]
• Treble damages under CFA
• Attorney's fees and costs

5. DEADLINE

Payment due by: [DATE – 30 days]

Signed:
[Name / Attorney]
[Contact Information]