Deny Your ClaimIn a time when having a car is more of a necessity than a luxury, motor insurance has in recent times more than topped the list of crucial insurance policies that almost everyone needs. And as you might already know, it is a legal requirement to have at least the minimum automotive coverage before getting your car on the road and how not to deny your claim. 

This, in most cases, is enough to cover the various damages you might suffer in case you’re involved in a car wreck or collision, from treatment costs to vehicular damages, and property damage in some cases. If another driver was responsible for the accident, their motor insurance provider is likely to cover the damages.

Your own auto insurance policy may also cover the costs of vehicle repair, treatment for injured parties, and other damages in case the accident/damages occurred due to poor weather, poor road conditions, faulty road signs, bad street lights, and so forth.

In either case, you almost always need to make a formal claim to the respective insurance providers. However, there are certain instances when policy providers may decline or fail to approve a car insurance claim. “Which instances?” you may ask!

Below are the top five reasons why car insurance companies will deny your claim, starting with what to do if your claim is denied.

What to Do Once Your Motor Insurance Claim Gets Denied 

The benefits of insuring your car are obviously numerous. As we shall establish below, however, a car insurance provider can deny an accident or incident claim for various reasons. Sometimes the reasons provided are actually legitimate. However, sometimes the reason for rejection may not make any sense. When this happens, it is advisable to seek an accident attorney’s counsel for advice on the next steps to take.

Your lawyer may advise you to make an appeal letter, providing additional evidence that might have been missed when filing the original claim. They might also help you initiate a lawsuit against the insurance company or the person you consider responsible for the accident/damages.

Auto Accident Loans 

But we can’t afford to overlook the fact that such lawsuits can be outrightly expensive. This is not to mention that you may have deadlines to beat and a ton load of other bills to pay relating to the accident. If you were badly injured in the accident, your previous income is not always guaranteed. This is why, as seen in a piece explaining what a motor vehicle accident is, the folks over at Tribeca would recommend seeking a lawsuit loan.

The best thing about auto accident loans is that in case you lose the case and no settlement or compensation is rewarded, you will not be expected to pay back the borrowed money. These loans typically help you get through financially from the time of the accident to the time you are compensated.

5 Common Reasons Car Insurance Companies Deny Claims 

Needless to reiterate, auto-insurance companies have protocols in place to determine which claims are valid and which ones are not. Surprisingly, a good number of denied claims end up being paid when the claimant provides the necessary information through an appeal, further evidence, or pursues compensation in court.

However, all this may depend on your knowledge of why these companies decline car accident insurance claims in the first place. As if you’ve not suffered enough from the accident already, understanding these reasons could actually spare you from further suffering the emotional, financial, and mental agonies associated with denied vehicle insurance claims.

1. You Delayed Filing the Claim 

One of the first and most important things to do when you get involved in an accident or your vehicle suffers damage due to vandalism is to get into contact with your insurance company. Some insurance companies state categorically on the policy that vehicle damages should be reported within a specific time frame. Oftentimes, this is usually between 48 hours and seven days after the time of the incident.  

2. Your Policy Is Expired 

If your car insurance coverage wasn’t active at the time of the accident, your claim will also highly likely be denied by your policy provider. This is all the more reason to stay up to date with your car insurance premiums and avoid things that would get your motor insurance policy terminated at all costs.

3. You Clearly Violated Driving Laws 

Many insurance companies will usually deny claims in which the claimant was in violation of driving laws when the accident happened. And of course, traffic law violations could stem in many different ways. Perhaps you were driving while intoxicated when the accident happened, and there’s plenty of evidence to indicate so. Maybe the car was stolen or driven by an unlicensed driver. 

These are just some of the grounds on which the provider could deny your claim as far as violating driving rules are concerned.

4. Insufficient Proof of Claim 

Auto accidents and other kinds of car insurance claims often require you to provide various supporting documents at the point of filing. For instance, some insurance companies will ask you to fill out a “proof of claim” form, which should often be accompanied by a copy of the police report. 

Having witnesses and photos of the accident scene can also help your claim if you believe that the accident was caused by another driver or factors out of your immediate control.

5. You Have Already Filed Too Many Claims with Your Insurer 

If probability math is anything to go by, the odds might not be in your favor after filing so many auto insurance claims with your current provider. After a few claims, they might start considering you a high-risk client if not a potentially fraudulent one. This is not to mention that repeated insurance claims may affect what is known as the no-claim bonus, as well as your premiums over time. 

If your most-recent claim is legit, however, a seasoned attorney can help you pursue justice in case it’s denied.

Insurance providers are businesses like any other. They want a decent profit at the end of the day. They employ staff that, some of whom may care more about their employer’s interests rather than your own. 

Hopefully, the above few pointers inspired you on what to do if your claim ever gets denied by car insurance – and how to avoid it in the first place.

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