Why Was My Car Insurance Claim Denied

Why Was My Car Insurance Claim Denied

Car accidents are a part of life and even when you take the right measures, you might still find yourself in an accident. Ideally, following a car accident you should be able to file a claim, send it to the insurance company, and receive a settlement in a timely manner. However, sometimes your insurance claim will be denied.

Reason One: You Broke the Law

Maybe the accident occurred while you were speeding or worse, the accident occurred while you were under the influence of drugs or alcohol. Even if the accident were to happen regardless of you breaking the law, the fact that you did will often automatically result in your claim being denied. 

Reason Two: You Didn’t File the Claim in Time 

States have different time requirements for filing your claim. Although your first priorities following a car accident should be to seek medical attention, call the police, obtain contact information from the other party, etc., your next objective should be to file a claim. Ideally, the sooner the better. 

Reason Three: Your Car’s Condition Played a Role

Even if your vehicle doesn’t have a serious problem like faulty brakes, you’ll want to ensure you rectify any issue the moment it occurs. Taking the time to bring your car to the repair shop the moment the check engine light comes on can help you avoid taking unnecessary fault following a car accident. 

Reason Four: You Provided Incorrect Information When Filing Your Claim

Providing incorrect when filing your claim can both cause your claim to be denied and can even cause you to be guilty of misrepresentation. While it’s illegal to lie on your insurance claim, sometimes people unknowingly make mistakes. Something as simple as writing the wrong year of your birthday or mixing up the addresses of where the accident took place can cause a claim to be denied. Typically, these small mistakes are easily fixable with the only repercussion possibly being a delay. 

Reason Five: The Question of Who’s at Fault/Who’s Liable 

Some states are at-fault states meaning the driver who caused the accident is required to pay for the damages. Other states, however, are partial-fault states. This means a driver might only be partially at-fault and therefore might only need to pay a partial amount. Additionally, the insurance company might question who’s at fault, to begin with–whether on good grounds or not. 

Lastly, there can be the question of liability. Did the other driver cause the accident or was it due to weather conditions? Then no one’s at fault. Did the accident happen on a crumbling road? Then maybe it’s a government entity’s fault. Whether the insurance company is operating in good faith or not, having an attorney by your side can help you overcome these arguments. 

Unfortunately, an insurance claim can be denied for both small and larger reasons. To avoid these issues and to negotiate with the insurance company if your claim is denied, a car accident lawyer can help. Our friends at Therman Law Offices, LTD has a team of attorneys ready to assist! 

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