How Can Insurance Companies Deny Your Accident Claim?
The terms and conditions of an insurance policy can be confusing, that some policyholders overlook them until it is too late, resulting in an otherwise covered insurance claim being denied due to a technicality or minor condition violation. While insurance companies can deny claims based on legitimate reasons, they often rely on the following shady technicalities to reject claims.
Failure to Notify Your Insurer About a Change of Address
If you changed addresses when you moved into a new house and failed to notify your insurance provider, your insurer could deny a future claim. While this is unfair, this condition is actually stated in your contract with the insurer, so always make sure to read and fully understand your policy’s terms and conditions.
Failing to Notify Your Insurer About a Vehicle Purchase
If you bought a new vehicle, whether you bought an extra vehicle or swapped your old one, and failed to tell your insurance provider about the purchase, your insurer can also deny a future auto insurance claim.
Not Knowing that You have a Suspended Driver’s License
Of course, you should never drive if you have a suspended driver’s license. But there may be instances where drivers are not aware that their licenses have been suspended. For example, traffic ticket notifications can be lost in the mail or sent to the wrong address, so the driver may not know or forgot about the citation, resulting in license suspension. Still, your insurance claim, for, say, a serious auto accident, may technically be denied if you were driving on a suspended driver’s license at the time of the accident. Yes – even if the accident wasn’t your fault.
Failure to Report an Accident on Time
If, for instance, you didn’t report an accident because you didn’t want your premiums to rise, and your insurer finds out about it, it can reject your claim because you failed to report the accident within a predetermined time, as stated in your contract.
Missing an Insurance Payment
Your insurer can still technically deny a claim even if you only missed one payment and continue making payments on time. For example, let’s say you missed your January payment and then continue paying for the succeeding months. Your insurer can technically deny claims after January because you missed the payment that month. Also, your insurer isn’t required to notify you and allow you to make up for missed payments.
How to Avoid Technicalities
It’s no secret that insurance providers are sneaky and shady and are not above using technicalities to reject claims because their business, after all, is about making money. To help prevent getting an insurance claim denied, remember to always notify your insurer when you:
- Have a new address
- Buy new vehicles
- Get into an accident
Also, remember to keep on top of your driving record and insurance payments.
Call a Tampa Insurance Disputes Attorney for Legal Advice
On the other hand, if you feel that you have a valid claim and your insurance provider is telling you otherwise, you can also dispute the denial with help from an experienced Tampa insurance disputes attorney to learn more about your legal options. You may be able to file a claim against your insurer or sue your insurer for bad faith insurance practices. To arrange a free case review with our Tampa insurance disputes lawyer here at Tragos, Sartes, & Tragos, contact us online or call us at 813-223-6405.