Nothing can ruin your day like getting into a car accident. Not only can you be injured in the accident, but your vehicle has sustained damage and needs to be repaired or replaced.
Car insurance is a requirement in every state, and is an essential part of owning a vehicle. However, there are a few reasons why car insurance could deny your claim and tactics they may employ to devalue your claim. Let's look at the reasons why this could happen.
1. Policyholder Negligence
Depending on what state you live in, if you are negligent, the car insurance company may deny your claim. Some reasons include driving too fast, running lights, or violating traffic laws. In no-fault car insurance states like New Jersey and New York, your own insurance coverage pays for injuries as a result of a car accident, regardless of fault.
The insurance company may deny your claim if your driver's license is expired or revoked or if an uninsured driver was allowed to drive the vehicle. All of these things usually violate the policy.
2. Driving Under the Influence
Driving under the influence is another form of negligence. The insurance company will likely deny your claim if you're driving under the influence of alcohol or drugs.
Your claim will be rejected, and you'll run a risk of having your insurance policy canceled and your rates increased.
3. No Medical Treatment after the Accident
If injured in an accident, seek medical attention as soon as possible. If you put it off a day or so, the insurance company may deny or devalue your medical claim, questioning any injuries related to the accident.
Keep all medical documents received from the hospital as proof for the insurance company. Even if you delay medical care because symptoms appeared after the accident, you may still be eligible for compensation for your injuries.
4. The Other Driver Caused the Accident
If the other driver was at fault, most insurers will pay your bills and collect from the other driver's insurance company. Unfortunately, some insurance companies will deny your claim if the other driver who caused the accident doesn't have insurance or if you were involved in a hit-and-run.
Your insurer may deny your claim in a hit-and-run if there is little to no evidence that another driver was involved. The insurance company may deny the claim initially until they investigate further.
To avoid this, make sure you call the police right after you're involved in an accident, especially a hit-and-run. Try to take photos of the other driver while leaving or before they leave the scene. Finally, if there are any witnesses, ask if they will provide statements to the police and the insurance company.
5. No Proof of an Accident
The insurance company may deny your claim if there's no evidence of an accident. Provide proof with pictures, witness statements, and police reports.
6. Claim Not Filed on Time
This situation may happen because you or a loved one suffered an injury in a car accident, and of course, at the time, you're more concerned with your or their health. It may be hard to focus on anything else when you're injured or when a loved one is injured, but make sure you file a claim within hours of the accident.
If unable to contact the insurer due to your injuries, be sure to have medical documentation and police reports to give to the insurance company when you're able.
7. Claim Filed in Bad Faith
Bad faith means the insurance company believed you didn't provide proper evidence or the evidence provided didn't meet their requirements. Bad faith can also be if you didn't follow up on something, backed out of a deal, didn't follow policy rules, or failed to meet certain obligations of the policy or the insurance company.
You can appeal these decisions if you feel the decision was wrong, or you can take the insurance company to court.
8. Lack of Damages
If your insurance company does not believe any damage was sustained to your vehicle, they may deny your claim. Same with injuries. If you do not have sufficient evidence that your injuries were caused by the accident, your insurance may deny your claim.
9. Condition of Vehicle at the Time of the Accident
If the insurance company feels the condition of your vehicle played a part in causing the accident, they may deny your claim. For example, if the insurer discovers your brakes were not in good condition and could have caused or contributed to the accident, the insurance company may deny or devalue your claim.
10. Making False Statements When Filing Your Claim
If the insurance company discovers you made false information on your claim or policy, that may be a reason for them to deny your claim. When filing a claim, all information should be correct to the best of your knowledge. Falsifying information is illegal and can lead to more trouble.
What To Do if Your Claim Is Denied
Depending on why car insurance could deny your claim, you should gather all relevant documentation to give to the insurance company. You may be able to appeal the decision, so make copies and keep the originals.
If the insurance company still denies your claim, contact an attorney. Unless the insurer claims gross negligence on your part, most reputable insurance companies will work with you.
Contact Us for Help If Your Claim is Denied or Devalued
At Brandon J. Broderick, Attorney at Law, we believe in exceptional client care, empathy, and results. Our car accident attorneys have decades of experience representing victims in car accidents to get maximum compensation after an accident. With our long track record of success, you can count on us to take the best strategy and work tirelessly for your quality of life. We’ve helped people just like you move forward after sustaining an injury that was caused by another’s negligence. Contact us today for a free consultation.
Don’t fall prey to car insurance claim denial tactics. Make sure you understand your rights to compensation for your losses after an accident.