Some of the most common reasons your insurance claim may be denied include lack of coverage, no fault policy limitations, an expired insurance policy or excluded driver, or simply when the adjuster denies liability for their insured. No matter what reason you’re given for a denial you should always demand a written explanation from the claim’s adjuster. Even if the reason for the denial seems obvious, you should always have a denial sent to you in writing from the insurance company. If you later learn the adjuster’s denial was wrongful, the letter is strong evidence for a potentially lucrative bad faith lawsuit against the insurance company. In this blog post, we are going to talk about common reasons why your car accident claim may be denied.
No Fault Coverage: You need to be aware of third-party immunity in no fault states like Florida. In no fault insurance states, third party drivers enjoy immunity from minor personal injury claims. Instead, you must file a claim with your own insurance company. Your insurers obligated under the terms of your no-fault policy to reimburse your medical bills, out of pocket expenses and lost wages regardless of who caused the accident. Once you’ve met the serious injury threshold of $10,000, you may be able to pursue a claim for additional compensation if you’ve been seriously injured. However, you’ll want to hire a personal injury attorney. Serious injury cases are complicated and there’s too much at stake for you to handle the claim yourself.
Excluded Drivers: A claim can also be denied if the at fault driver was not covered by the policy. The insurance company may say that although the policy covers most family members or those explicitly allowed to drive the car, the at fault driver wasn’t covered because he or she was excluded from the policy.
Expired Insurance Policy: A legitimate claim can be denied if the at fault driver’s insurance policy is expired. Unfortunately, there are a lot of people out there driving without insurance. These may be drivers who had legitimate insurance coverage at one time, but their policies expired when they didn’t pay their premiums. While it’s technically illegal to drive without insurance, in most cases the only penalty is a stiff fine and or a suspended license. You may not find out the driver’s policy was expired until after you file your claim with their insurance company. Several days after filing your claim you may receive a telephone call or letter stating there’s no insurance in effect. Even though an at fault driver may produce a seemingly valid insurance card, it’s possible that their coverage was recently cancelled or there may have been an overlap between the time the driver failed to pay his policy premiums, the cancellation for nonpayment, and what their insurance card shows as the expiration date of coverage.
Insufficient Coverage: Another issue to be aware of are wrongful denials based on insufficient coverage. Another tactic of unscrupulous adjusters is to try and deny your claim completely if the damages exceed the policy limits carried by the at fault driver. The adjuster may deny the claim due to insufficient coverage. Insufficient coverage means the at fault driver doesn’t have enough insurance to cover all the damages. However, it does not mean that they don’t have enough to pay for most or at least part of them. If your damages exceed the limits of the at fault party’s insurance coverage, the adjuster should do what is referred to as tendering policy limits which means you get all the money available in the policy. You can then sue the individual at fault driver personally to obtain the remaining compensation.
Speak to Our Personal Injury Attorneys Today!
At Suarez & Montero, our personal injury attorneys can work with you every step of the way, offering the expert legal guidance you need to win your personal injury case. We will take care of all legal matters that relate to your claim and develop the best legal strategy for your individual case to ensure successful recovery. We will not rest until we have developed and presented the most persuasive argument possible, and ensure you receive fair and just compensation for your damages. If you are thinking about filing a personal injury claim after an accident, the injury lawyers at Suarez & Montero can help. Let us review your case and discuss your legal options. Our attorneys are ready to provide proven legal representation and stand ready to protect your rights. We are available 24/7 to give you a free, no risk case consultation! We serve clients throughout Florida including those in the following areas:
Miami-Dade: Aventura, Coral Gables, Doral, Fontainebleau, Hialeah, Homestead, Kendall, Miami, Miami Beach, Miami Lakes, North Miami, Tamiami, and Westchester.
Broward: Fort Lauderdale, Hallandale Beach, Hollywood, Pembroke Pines, and Weston; and Palm Beach County including Boca Raton, Lake Worth, and West Palm Beach.