What To Do When Car Insurance Coverage Is Denied
Denial of coverage can be due to several reasons. It can affect a person's ability to drive on the road again. When car insurance is denied, a letter is sent to the person through the mail. In the letter, a respectable but firm position is presented, making the message very clear that coverage is being denied. However, finding a specific answer as to the reasons for the denial may be more difficult.
Car insurance companies have their own way of investigating and reaching their own conclusions. Investigation is also required on the individual's part when a denial of coverage occurs. Techniques, such as a check-off list of required information that could have affected the denial of coverage, can help determine reasons and gather evidence. One of the reasons that car insurance is denied is because premiums were not paid on time. Another reason is significant pay-outs on a claim after an accident. If the denial of coverage is for one of these reasons, but the insurance company's information is inaccurate, then presenting the correct information to the right people may help to resolve the matter.
Writing a letter to the insurance company explaining why the denial of coverage should be overturned can be a valuable document if the insurance company is not being fair. Contact the state insurance commissioner if the insurance company fails to respond in a timely and appropriate manner. Providing ample and valid evidence to the insurance commissioner can help reverse the denial of coverage. If the evidence is accurate, the commissioner's office can be the gateway to finding a resolution and restoring your coverage.
For many people, an attorney is the answer when car insurance is denied. The attorney will look at the evidence, explain the individual's rights, and find out if the insurance company followed its own rules. Not every insurance company follows its own policies consistently. Some companies deny the rights of consumers. When this occurs, an attorney can assist in reversing the denial of coverage, as well as determining whether there are any other causes of action against the company. An attorney will help uncover the mistakes that the insurance company may not want to be uncovered.
If a person receives a coverage denial, an error may have been made, and many times, that error can be fixed with an investigation. There are three important people that can help solve the confusion over the denial of coverage: the individual, the state insurance commissioner and a private attorney. The individual should gather the necessary information to prove that the insurance company was wrong and then should contact the commissioner or an attorney if the company refuses to cooperate.