What Damages Can You Recover In A Wisconsin Bad Faith Lawsuit?
When your insurance company refuses to pay what you are owed, the financial and emotional toll can be devastating. Understanding the damages in a Wisconsin bad faith lawsuit empowers you to hold your insurer accountable and recover everything the law allows. Our attorneys at MGW Law are here to help.
Contractual Policy Benefits And Delayed Claim Proceeds
The foundation of any bad faith recovery is the money your insurer should have paid originally. These benefits include:
- Full replacement cost value (RCV) of damaged property
- Withheld depreciation amounts
- Costs for structural repairs
- Contents restoration coverage
- Code upgrade expenses required by local ordinance
Recovering these amounts restores what you paid for under the contract.
Consequential Economic Damages Beyond Policy Limits
Bad faith insurance damages in Wisconsin extend well beyond the policy itself. When an insurer wrongfully withholds funds, the financial consequences multiply quickly. You may recover:
- Lost business profits
- Commercial downtime losses
- Accrued loan interest during delays
- Property value reduction
- Contractor price increases caused by the delay
- Temporary relocation and storage costs
These damages reflect the real economic harm that flows directly from your insurer’s misconduct.
Wisconsin’s 7.5% Statutory Prompt Payment Interest
Wisconsin law imposes a 7.5% annual simple interest rate on overdue insurance claims, beginning 30 days after the insurer receives written notice and proof of the loss. Wisconsin bad faith lawsuit compensation includes this statutory interest as a meaningful financial penalty for carriers that delay without cause. It makes stalling costly.
Emotional Distress, Tort Damages And Punitive Damages
Because bad faith is a common law tort in Wisconsin, your recovery extends beyond economic losses. You may also pursue:
- Noneconomic damages for emotional anguish and anxiety
- Compensation for frustration caused by insurer misconduct
- Punitive damages for bad faith insurance in Wisconsin when a carrier acts with intentional disregard of your rights
These damages hold insurers to a higher standard and reflect the full human cost of their wrongdoing.
Speak With An Insurance Law Attorney Today
If your insurance company has failed you, we want to hear your story. Our firm serves policyholders in Green Bay and across Wisconsin, and we are ready to evaluate your claim in full. Contact MGW Law at 920-383-3911 today to set an appointment and take the first step toward the recovery you are owed.