A faulty or nonexistent investigation is just one way that insurance companies can act in bad faith. A failure to investigate your claim in a timely fashion after you have filed it or to use the investigation to neglect the insurance company's responsibilities outlined in your policy is also considered an act of bad faith or a breach of their obligations. Insurance companies are also not allowed to use an investigation only to determine ways they can deny your claim. Insurance companies are supposed to evaluate claims from both their viewpoint and the insured's viewpoint.