Car Insurance claim denials can get even more complicated when you are making a claim on the policy of the driver who is at fault. Although that driver might claim to be insured at the scene of the accident, that won’t stop his insurance company from denying the claim if they find a reason to.
When the other party insurance denied claim
Some of the most common reasons another driver’s insurance company will deny a claim include:
If the policy excluded coverage for certain events (like “acts of God”) that the insurance company believes caused the accident, the claim will be denied. This can also occur when the at fault motorist is an excluded driver on that policy.
The policy lapsed
If the other driver failed to pay their premiums, maintain a valid drivers license, or notify the insurance company of important updates, the policy may have lapsed meaning there will be no coverage for the accident.
You failed to notify the insurance company in time
In addition to state statute of limitations rules, the policy itself will often require claimants to notify the insurance company of any accidents within a certain amount of time. If you wait too long to report an accident, your claim may be denied.
Although there are valid reasons for insurance providers to deny claims, profit-minded insurers often deny or undervalue claims without justification. This is why it is essential for you to understand whether your denial is proper under the policy.
What’s Next: making an uninsured motorist claim
If you learn that the driver who caused your accident did not have insurance, you can make a claim against your UM coverage if you have purchased it. A UM claim will require you to prove that:
- The driver who caused your injuries does not have insurance;
- Your damages exceed the coverage limits of the at-fault driver; or
- You were injured in a hit-and-run accident.
You also may be able to recover compensation from your personal injury protection (PIP) or medical payments (med pay) coverage if you purchased these optional policies. These policies cover the driver and passengers in the vehicle. Sometimes it is also possible to recover compensation from a family member’s insurance policy. This is often the case when the driver and vehicle owner have separate insurance policies. An insurance claim lawyer can help you navigate this process.
Taking action: how to fight an auto insurance claim denial
You’ve reviewed the denial letter and checked your policy and you still believe that the insurance company’s decision is wrong– what’s next? Car insurance companies have a duty to act in good faith to investigate and resolve every claim that is reported to them.
You can start by writing a letter to your describing why you think the reason for car insurance claim denial is wrong, but to effectively fight a claim denial, your first step is to check the policy. Some insurance companies require you to dispute claims within a certain amount of time and provide specific proof to support your position. You will have to follow these policy requirements to preserve your claim, which is one of the reasons working with an car insurance claim attorney can help with this process.
If you aren’t able to resolve the dispute informally, you may have to file suit against the insurance company. Although this can be a long and complicated process, if the court eventually finds that the company wrongfully denied your claim you may be entitled to additional damages.
Fact check: Can my car insurance cancelled after accident? Yes, but they must provide 30 day notice in writing by certified mail.
Has the insurance company denied your accident claim?
If you’ve been injured in an accident but your claim has been denied, contact us for a free case evaluation. We work on a contingency-fee basis. You may be eligible to file a claim for medical costs, emotional distress and further damages. Fill out our free case evaluation form to see if you are eligible for a claim. An experienced auto accident attorney at Morris Bart will assist you in the evaluation process. Initial consultations are free. We have office locations throughout Louisiana, Mississippi, Alabama, and Arkansas. Call us at 1-800-537-8185 today!