Why Do Insurance Companies Deny Car Accident Claims?
After being involved in a car accident, you will want to file a claim to the insurance company of the party at fault to get compensation. You need to know that insurance companies deny claims because of various reasons. At the end of the day, they are looking for the slightest reason not to pay you. Working with a car insurance dispute lawyer is crucial to determine if the company has a viable reason to refuse the claim. The following are reasons insurance companies deny car accident claims.
- Liability Dispute
If the driver involved in the accident was engaging in reckless behavior, they might have voided the coverage. That means there is a high chance the company will not cover them. Driving while intoxicated and distracted driving can ruin the coverage since the driver violated the policy. In another situation, where there is a question of who is at fault, the company may not pay the claim. Every insurance company in the involved parties believes it is not responsible for the damages. This back-and-forth dispute jeopardizes the chances of getting compensated. Therefore, if the other driver was at fault and you have failed to prove that beyond a reasonable doubt, your claim may be rejected.
- Not Notifying the Company about the Accident on Time
Immediately after the accident, you should call your insurance company and the driver at fault and inform them about the accident. Ensure you inform them within ten days of the accident, especially if there were severe injuries or death. If you fail to notify the insurer early, they may consider it inappropriate and deny the claim. They will reject the claim because they did not get enough time to investigate when the incident was still fresh.
- Lack of Viable Medical Evaluation
Even if you don’t have visible injuries, it is vital to seek medical attention immediately after the accident. Some accidents can appear days or weeks later. Therefore, a medical evaluation will prove the injuries are related to the accident. Without a medical assessment, you don’t have a viable way of demonstrating the extent of your injuries. If you take too long to seek medical care after the accident, the insurance company may dispute that the injuries did not happen. Therefore, for various reasons, you need a medical evaluation immediately after the accident. One, you need to prove the accident cause the injuries. Second, you need to be evaluated to know the extent of the damages. Third, the evaluation will determine the cost of the care you receive. Therefore avoid the denial of your claim by seeking medical help immediately.
- The Claim Amount is More Than the Coverage Amount
Your claim must be less than your insurance policy or the other driver’s. If the claim amount exceeds the available coverage, the company will deny it unless the driver has additional coverage. Therefore, if the amount in your claim is higher, the company will pay up to the policy limit or refuse to pay out.
After the accident, dealing with the back-and-forth of getting your compensation is the last thing you want. If the insurance company has rejected your claim, call your lawyer. They will explain the legal options and help you pursue justice.