What Happens If an Insurance Company Refuses to Pay a Personal Injury Claim?

When you’ve been injured in an accident, the last thing you want to worry about is fighting with an insurance company over your claim. Unfortunately, it’s not uncommon for insurance companies to deny personal injury claims for a variety of reasons. Understanding what happens when an insurance company refuses to pay can help guide your next steps and ensure that you’re adequately compensated for your injuries.

The first thing that usually happens when an insurance company denies a claim is that they will send a letter detailing the reasons for denial. This could be due to several factors such as lack of coverage at the time of the accident, insufficient evidence proving liability or failure to meet certain contractual obligations like reporting the incident within a specified timeframe.

It’s important not to panic if this happens. Instead, carefully review their reasoning and gather any additional information or documentation that could support your case. If you believe there has been a mistake or misunderstanding, reach out directly to the insurer and present your evidence.

Sometimes, however, it may not be as simple as providing extra information; in some cases, insurers may act in bad faith. Bad faith refers to situations where insurers deliberately avoid paying valid claims either by denying without reasonable cause or delaying payments unnecessarily. In such instances, legal action might be necessary.

If negotiations with the insurer fail and you suspect bad faith behavior on their part, hiring a personal injury attorney should be considered seriously. An experienced lawyer can provide advice tailored specifically towards your situation and assist in negotiating with the insurer on your behalf.

Your attorney may recommend filing a lawsuit against both parties involved—the party responsible for causing harm (if applicable) and their respective insurer—for failing to uphold their contractual obligation of compensating covered losses.

During litigation proceedings, court-ordered discovery processes can uncover crucial evidence supporting your claim which was previously unavailable during initial investigations—strengthening chances of securing fair compensation significantly more than what was initially offered by insurers before denial took place.

While going through legal channels can be time-consuming and stressful, it’s often the best course of action when an insurance company refuses to pay a personal injury claim. It’s crucial to remember that you have rights as a policyholder and if you’ve been injured due to someone else’s negligence, you deserve fair compensation.

In conclusion, dealing with an uncooperative insurance company can be daunting, but knowing what steps to take can help alleviate some of the stress. Whether it involves gathering additional evidence or hiring a lawyer, there are several ways you can fight back against an unfair denial. Your health and financial well-being should always come first—don’t let an insurance company push you into accepting less than what your personal injury claim is worth.

Munley Law Personal Injury Attorneys
609 Hamilton St, Allentown, PA 18101
16108577424