Battling The Big Guys: Strategies For Appealing Auto Insurance Claims

If your auto insurance claim has been denied, you may feel frustrated and stressed, especially if you are dealing with medical bills and other costs related to the accident. Fortunately, you can fight back and appeal the decision. The first step is to understand why your claim was denied. Review the denial letter from your insurance company and your insurance policy to determine your coverage. Then, gather evidence such as police reports, eyewitness statements, photographs, and medical records to support your appeal. Next, draft an appeal letter explaining why you believe your claim should be accepted and referencing the evidence you have gathered. You may also want to consider hiring an attorney, especially if you are uncomfortable taking these steps on your own. They can review your case and help you draft a demand letter to the insurance company. While it may cost money upfront, it could be worthwhile to have an expert on your side if you believe your insurer made the wrong decision.

Understand your rights and the insurance company's stance on your claim

Understanding your rights and the insurance company's stance on your claim is crucial when appealing an auto insurance decision. Here are some detailed paragraphs to help you navigate this process:

Understanding Your Rights

As a policyholder, you possess certain rights protected by state laws. Your auto insurance policy is a legal contract that outlines the rights and obligations of both you and your insurer. It's important to thoroughly review this contract to understand your entitlements. You can also contact your insurance agent, company representative, or state insurance department for clarification on your rights under the policy.

Knowing the Insurance Company's Stance

When appealing an auto insurance claim, it's essential to understand why your claim was denied or settled below your expectations. Insurance companies typically provide a claim denial or settlement offer letter that explains their decision. This letter is a crucial starting point as it highlights their stance and provides insights into the specific issues that led to their decision. Reviewing this letter carefully will help you identify the areas you need to address in your appeal.

Common Reasons for Claim Denials

Understanding the common reasons for claim denials can help you navigate the appeal process more effectively. Some of the frequent reasons for claim denials include:

• The claim exceeding policy limits
• The claimant not being named on the insurance policy
• Missed payments or filing deadlines
• The claimant being at fault in the accident
• Lapsed coverage or unpaid premiums
• Usage of the vehicle for business purposes, which may not be covered

Gathering Evidence

To strengthen your appeal, it's important to gather relevant evidence that supports your claim. This can include physical and digital copies of documents, photos of property damage and injuries, medical records, police reports, witness statements, and invoices from repair shops and medical providers. The more comprehensive your evidence is, the smoother the claims process is likely to be.

Consulting a Lawyer

Navigating the appeal process can be complex, and it's advisable to consider consulting a lawyer, especially if you feel overwhelmed or unsure about your rights. An experienced attorney can guide you through the process, help you gather evidence, and improve your chances of a successful appeal. They can also assist in interpreting the insurance company's denial letter and identifying any violations of your rights or bad faith on their part.

Research the statute of limitations for your state

The statute of limitations for auto insurance claims varies by state, as well as by claim type. These time limits, which fall within a 1-year to 10-year range, are important to know because they determine how much time you have to file and settle a claim. If you do not file a lawsuit before the statute of limitations ends, your claim will be time-barred, meaning the court will not allow your case to move forward.

• Alabama: 2 years personal injury, 2 years property damage
• Alaska: 2 years personal injury, 6 years property damage
• Arizona: 2 years personal injury, 3 years property damage
• Arkansas: 3 years personal injury, 5 years property damage
• California: 2 years personal injury, 3 years property damage
• Colorado: 3 years personal injury, 2 years property damage
• Connecticut: 2 years personal injury, 6 years property damage
• Delaware: 2 years personal injury, 6 years property damage
• Florida: 4 years personal injury, 5 years property damage
• Georgia: 2 years personal injury, 6 years property damage
• Hawaii: 2 years personal injury, 5 years property damage
• Idaho: 2 years personal injury, 3 years property damage
• Illinois: 2 years personal injury, 5 years property damage
• Indiana: 2 years personal injury, 6 years property damage
• Iowa: 2 years personal injury, 2 years property damage
• Kansas: 1 year personal injury, 3 years property damage
• Kentucky: 1 year personal injury, 2 years property damage
• Louisiana: 1 year personal injury, 3 years property damage
• Maine: 6 years personal injury, 4 years property damage
• Maryland: 3 years personal injury, 2 years property damage
• Massachusetts: 3 years personal injury, 3 years property damage
• Michigan: 3 years personal injury, 3 years property damage
• Minnesota: 2 years personal injury, 5 years property damage
• Mississippi: 3 years personal injury, 4 years property damage
• Missouri: 5 years personal injury, 5 years property damage
• Montana: 3 years personal injury, 2 years property damage
• Nebraska: 4 years personal injury, 3 years property damage
• Nevada: 2 years personal injury, 3 years property damage
• New Hampshire: 3 years personal injury, 2 years property damage
• New Jersey: 2 years personal injury, 5 years property damage
• New Mexico: 3 years personal injury, 3 years property damage
• New York: 3 years personal injury, 3 years property damage
• North Carolina: 3 years personal injury, 2 years property damage
• North Dakota: 6 years personal injury, 2 years property damage
• Ohio: 2 years personal injury, 5 years property damage
• Oklahoma: 2 years personal injury, 5 years property damage
• Oregon: 2 years personal injury, 2 years property damage
• Pennsylvania: 2 years personal injury, 4 years property damage
• Rhode Island: 3 years personal injury, 2 years property damage
• South Carolina: 3 years personal injury, 2 years property damage
• South Dakota: 3 years personal injury, 4 years property damage
• Tennessee: 1 year personal injury, 3 years property damage
• Texas: 2 years personal injury, 2 years property damage
• Utah: 4 years personal injury, 3 years property damage
• Vermont: 3 years personal injury, 2 years property damage
• Virginia: 2 years personal injury, 5 years property damage
• Washington: 3 years personal injury, 2 years property damage
• West Virginia: 2 years personal injury, 5 years property damage
• Wisconsin: 3 years personal injury, 6 years property damage
• Wyoming: 4 years personal injury, 3 years property damage

Gather evidence, including photos, invoices, and eyewitness reports

Gathering evidence is a crucial step in appealing an auto insurance company's decision. Here are some detailed instructions on how to gather evidence, including photos, invoices, and eyewitness reports:

Photos:

Take photos of the accident scene, including any property damage to vehicles, objects, or infrastructure, and any visible injuries sustained by those involved. Ensure the photos are clear and capture relevant details that support your claim.

Invoices and Receipts:

Collect all invoices and receipts related to the accident and your claim. This includes invoices from medical providers, hospitals, and auto repair shops. Keep a record of all expenses incurred due to the accident, including transportation costs, rental car fees, and any other out-of-pocket expenses related to the incident.

Eyewitness Reports:

Identify any individuals who witnessed the accident and are willing to provide statements. Obtain their contact information and, if possible, written or recorded accounts of what they saw. Eyewitness reports can be crucial in supporting your version of events and assigning liability.

Other Documents:

Gather all relevant documents related to your claim, such as accident reports, police reports, medical records, and correspondence with the insurance company. If there are any discrepancies or errors in the insurance company's understanding of the incident, collect evidence that clarifies or corrects their information.

Remember to keep all your evidence organised and securely stored. Make digital copies of physical documents and photographs, and consider creating a file or folder specifically for your appeal-related documents. Having a comprehensive collection of evidence will strengthen your case and help you build a compelling argument during the appeal process.

Write a clear and detailed appeal letter

To appeal to your auto insurance company, you will need to write a clear and detailed appeal letter. Here is a step-by-step guide on how to do this:

Step 1: Gather Relevant Information

Collect all the information related to your claim, including the original claim form, supporting documentation, and the letter of rejection from the insurance company. Review the reason for the rejection and identify any errors or missing information. Contact your insurer to ask for more information about the denial and understand the correct process and deadlines for filing your appeal.

Step 2: Organize Your Information

Once you have gathered all the necessary information, organize it in a logical and easy-to-understand manner. This will make it easier for the insurance company to review your appeal and understand your case. Organize your information by including the insurer's reason for the error, your proposal for amending the error, and any supporting evidence or documentation.

Step 3: Write a Polite and Professional Letter

Remember that your appeal letter is a formal document, so it should be written in a polite and professional manner. Address the insurance company and the person who denied your claim. State the reason for your letter and provide a clear and concise overview of your case. Maintain a calm and respectful tone throughout the letter. Ask someone to review your letter before sending it to ensure that your tone is polite and professional.

Step 4: Include Supporting Documentation

Include copies of any supporting documentation, such as medical records, diagnoses, bills, and test results. Reference these documents in your letter and explain how they support your claim. Make sure to retain copies of these documents for your records.

Step 5: Explain the Error or Omission

If your claim was denied due to an error or omission, explain this in the letter and take responsibility for it. Provide additional information or clarification to address the situation.

Step 6: Request a Review

Formally request that the insurance company review your case and provide an explanation of their decision. Indicate that you are willing to provide any additional information or documentation if needed.

Step 7: Conclude the Letter

End the letter by thanking the insurance company for their time and consideration. Provide your contact information, including your telephone number and email address, so that they can easily reach you if needed.

Remember to follow up with the insurance company after sending your appeal letter. You can follow up by telephone or email to inquire about the status of your case. Keep detailed notes of any correspondence or conversations you have with the insurance company.

Consult an attorney if needed

If you're unhappy with your auto insurance company's decision, you may want to consult an attorney, especially if your claim is expensive or complicated. An attorney can also help if you're dealing with a claim where fault is difficult to establish, or if you're facing a lowball settlement offer that's vastly different from what you expected.

Most lawyers will provide free advice before you hire them to work on your insurance claim. They can review your insurance policy and explain the legal jargon and technicalities that may affect your claim. It's recommended to hire a lawyer who specialises in insurance law. You can find one through referrals from friends and family, or through the American Bar Association's list of state bar associations.

It's important to note that attorneys typically work on a contingency fee basis, meaning they receive a percentage of your insurance payout if they win your case. Therefore, it's essential to consider the financial implications of hiring an attorney and determine if it makes financial sense for your situation.

Before hiring an attorney, you can try to resolve the issue by contacting your insurer's claims department or filing a complaint with your state's department of insurance. You may also want to consider hiring a public adjuster, who works independently or for a third party and can help you negotiate a higher settlement.

Frequently asked questions