A car insurance claim could be denied for various reasons. For example, insurance companies may reject claims if the policyholder violated the terms of their policy, such as driving without a valid license or failing to report the accident promptly.
Claims can also be denied if the insurance company disputes liability or determines that the damages fall outside the scope of the coverage. Understanding why a car insurance claim would be denied can help you address potential issues and strengthen your case for compensation.
A Lafayette car accident lawyer can help you file a claim or take legal action if the at-fault driver’s insurance provider denies you coverage.
Reasons a Car Insurance Claim Would Be Denied
A Lafayette personal injury lawyer can determine why your claim was denied. In Louisiana, car accident claims are handled through the at-fault driver’s insurance company. While this system allows victims to seek compensation directly from the responsible party, it also opens the door to claim denials for a variety of reasons.
Below are some common reasons why a car insurance claim might be denied in Louisiana:
- Policy exclusions: The at-fault driver’s insurance policy may not cover certain situations, such as accidents involving commercial vehicles if the policy excludes business use. The driver involved might not have been authorized or insured under the policy.
- Lapsed or canceled policy: The at-fault driver’s policy may have been inactive at the time of the accident, leaving you without coverage from their insurer.
- Failure to report the accident on time: If you delay reporting the accident to the at-fault driver’s insurance company, they may deny your claim due to missed deadlines.
- Disputes over liability: The at-fault driver’s insurer may claim you were partially or entirely responsible for the accident, leading to a denial or reduced compensation.
- Insufficient evidence of fault or damages: Without clear evidence, such as a police report, witness statements, or photos of the accident, the insurance company may deny your claim, arguing that fault or damages cannot be established.
- Fraud or misrepresentation: If the insurer suspects you exaggerated your injuries or damages—or provided false information—they may deny your claim on the grounds of fraud.
- Damages exceed policy limits: If the cost of your damages exceeds the at-fault driver’s policy limits, the insurer is not obligated to pay more than the coverage allows, and you may need to pursue additional compensation through other means.
- Uninsured or underinsured drivers: If the at-fault driver has no insurance or insufficient coverage, their insurer won’t pay your claim, leaving you to rely on your own uninsured/underinsured motorist coverage, if available.
Facing claim denials in a no-fault state can be challenging, especially when disputes about liability or coverage arise. If your claim is denied, consulting with an experienced attorney can help you understand your options and fight for the compensation you deserve.
Laborde Earles injury was great for me they took care of me very fast and professional. If for any reason I need legal help they will be who I use.
ClientWhat Are Your Options if Your Car Insurance Claim Is Denied?
Having your car insurance claim denied can be frustrating, but it doesn’t mean you’re out of options. In Louisiana, you have the right to challenge the denial and pursue compensation for your injuries and damages by taking the following actions:
- Review the denial letter: Insurance companies are required to provide a reason for denying your claim. Carefully review the denial letter to understand why your claim was rejected. The issue may be as simple as missing paperwork or insufficient evidence, which you can address.
- Gather additional evidence: Strengthen your case by collecting more evidence, including police reports, medical records, witness statements, photos of the accident scene, and repair estimates for property damage.
- Appeal the decision: Most insurance companies have an internal appeals process. To challenge the denial, you can submit a formal appeal with supporting documents.
- File a complaint with the Louisiana Department of Insurance: If you believe the insurance company is acting in bad faith or unfairly denying your claim, you can file a complaint with the Louisiana Department of Insurance to investigate the matter.
If the insurer refuses to settle your claim, you may need to file a lawsuit against the at-fault driver or their insurance company to seek the compensation you deserve.
I thank God for Digger & David. I don’t know what we would have done if it hadn’t have been for them.
Rick Smith | ClientHow a Lawyer Can Help After a Denied Car Insurance Claim
A lawyer can thoroughly investigate the accident, gather critical evidence, and build a strong case to prove the at-fault driver’s liability and the extent of your damages. They can then negotiate with the insurance company, counter lowball offers, and push back against unfair denial tactics from the following insurance companies:
If negotiations fail, an attorney can file a lawsuit on your behalf and represent you in court to fight for the compensation you deserve.
If the at-fault driver’s insurance coverage is insufficient, a lawyer can explore other avenues for compensation, such as your own uninsured/underinsured motorist policy or filing personal injury claims against other liable parties.
The reassurance from Digger and his staff gave me that renewed hope that it’s going to be okay down the road.
ClientDon’t Face a Denied Car Insurance Claim Alone—Call Laborde Earles
The lawyers at Laborde Earles can explain more about why a car insurance claim would be denied and explore your options for compensation after a collision. Our attorneys have recovered over $1 billion in verdicts and settlements and have over 350 years of combined personal injury experience.
Whether you have already filed a claim or received a denial letter, we are ready to review your case and fight for the damages you deserve. Call us today to schedule a free initial consultation.
