Insurance companies should be legally required to process and pay valid claims within a specific and reasonable timeframe, such as 30 days. Legislation should mandate that insurers prioritize fulfilling their contractual obligations to policyholders, ensuring claims are reviewed fairly and paid promptly. This would prevent undue delays and minimize the financial and emotional strain on individuals awaiting resolution.
To safeguard consumer rights, insurers should be prohibited from engaging in practices that unreasonably deny or delay legitimate claims. Clear standards of accountability should be established, requiring insurance companies to operate transparently and in good faith.
Furthermore, regulations should ensure that insurers operate at reasonable profit margins. It is unconscionable for insurance companies to generate billions of dollars in annual profits while policyholders face unnecessary obstacles to accessing the benefits they have paid for. Establishing these guidelines would create a more equitable balance between consumer protection and the financial sustainability of the insurance industry.