What type of practices is considered unfair in the field of insurance?

Delaying claim payments without justification is regarded as an unfair practice in the field of insurance because it undermines the trust between the insurer and the policyholder. Insurers are obligated to process claims in a timely manner and provide transparent communication regarding the status of claims. When an insurance company inappropriately delays payments, it can cause financial strain and emotional distress for the policyholder, directly contradicting the purpose of insurance, which is to provide security and support during times of need.

This practice can lead to further legal repercussions for the insurance company and violate regulations designed to protect consumers. Timeliness and fairness in processing claims are essential to maintaining the integrity of the insurance industry and ensuring consumer confidence.

Promotional discounts, offering policy reviews, and conducting customer satisfaction surveys are generally considered legitimate business practices aimed at attracting and retaining customers, and they do not violate insurance regulatory standards.