What Happens if an Insurance Company Denies My Car Crash Claim?
Facing a denied car crash claim can be frustrating and overwhelming, especially if you’re relying on the settlement to cover medical expenses, vehicle repairs, and other losses. Unfortunately, insurance companies often deny claims for various reasons, some legitimate and others questionable. Understanding your options after a denial is crucial to ensuring you receive the compensation you deserve. In this article, we’ll explore why claims get denied, the steps you should take, and how the Law Office of Raul A. Guajardo can help.
Common Reasons Insurance Companies Deny Car Crash Claims
Insurance companies are businesses focused on minimizing payouts. Here are some common reasons your claim may have been denied:
1. Disputed Liability
The insurer may argue that their policyholder was not at fault or that you were partially or fully responsible for the accident. Texas follows a modified comparative fault rule, meaning your compensation may be reduced if you’re found partially at fault.
2. Policy Exclusions
Some insurance policies exclude certain types of accidents, vehicles, or circumstances. For example, using a personal vehicle for business purposes might not be covered.
3. Insufficient Evidence
Claims lacking sufficient documentation—such as police reports, medical records, or witness statements—are more likely to be denied.
4. Missed Deadlines
Insurance companies have strict deadlines for reporting accidents and filing claims. Missing these deadlines could result in a denial.
5. Preexisting Conditions
Insurers may claim that your injuries existed before the accident or are unrelated to the crash. Proper medical documentation is critical to counter this argument.
6. Claim Exceeds Policy Limits
If the damages exceed the at-fault driver’s policy limits, the insurer may only offer partial compensation or deny the claim outright.
For more information on insurance claim practices, visit the National Association of Insurance Commissioners (NAIC).
Steps to Take After an Insurance Claim Denial
If your car crash claim is denied, there are several steps you can take to protect your rights and potentially overturn the decision.
1. Review the Denial Letter
The denial letter will explain why your claim was rejected. Understanding the insurer’s reasoning is the first step toward addressing the issue.
2. Gather Additional Evidence
Strengthen your case by collecting evidence such as:
- Photos of the accident scene
- Witness statements
- Medical records linking your injuries to the accident
- Repair estimates for your vehicle
3. Request a Reconsideration
Contact the insurance company to appeal the denial. Be prepared to provide additional documentation and counter the insurer’s arguments.
4. File a Complaint
If you believe the insurer acted in bad faith, you can file a complaint with the Texas Department of Insurance. They can investigate unfair practices and mediate disputes.
5. Consult a Car Crash Attorney
A lawyer can review your case, identify weaknesses in the insurer’s argument, and negotiate on your behalf. If necessary, they can file a lawsuit to pursue compensation.
How a Car Crash Lawyer Can Help After a Denial
An experienced attorney is your best ally when facing a denied insurance claim. Here’s how they can assist:
1. Evaluate Your Case
A lawyer will review the denial letter, your insurance policy, and all evidence to determine the validity of the insurer’s reasoning.
2. Prove Fault and Negligence
If liability is disputed, your attorney will gather evidence to prove the other party’s fault. This may include accident reconstruction reports, traffic camera footage, or expert testimony.
3. Challenge Bad Faith Practices
Insurance companies have a duty to handle claims fairly. If they act in bad faith—such as delaying investigations or denying valid claims—your lawyer can hold them accountable through legal action.
4. Negotiate a Fair Settlement
Attorneys are skilled negotiators who can counter lowball offers and push for a settlement that reflects the true value of your damages.
5. File a Lawsuit if Necessary
If negotiations fail, your lawyer can file a lawsuit and represent you in court to secure the compensation you deserve.
Frequently Asked Questions About Insurance Claim Denials
Can I Still Recover Compensation If My Claim Is Denied?
Yes, a denial is not the end of the road. You can appeal the decision, provide additional evidence, or pursue legal action.
How Long Do I Have to Appeal a Denial?
The timeline for appealing varies by insurer. Review your denial letter and policy for deadlines or consult an attorney for guidance.
What If the At-Fault Driver Has Insufficient Coverage?
If the at-fault driver’s insurance is insufficient, you may be able to file a claim under your uninsured/underinsured motorist coverage.
Protect Your Rights After a Denied Claim
If your car crash claim has been denied, don’t let the insurance company take advantage of you. The Law Office of Raul A. Guajardo specializes in helping clients overturn denied claims and secure the compensation they deserve. With decades of experience and a proven track record, we’re here to fight for your rights.
Contact us today at (956) 318-3200 or visit our website to schedule a free consultation. Let us handle the legal challenges while you focus on recovery.