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Insurance Claims

Top Reasons Why Insurance Companies Don’t Pay Car Accident Claims

By March 22, 2021May 23rd, 2024No Comments

Filing an insurance claim and getting it paid should be easy, but unfortunately many individuals who are involved in an auto accident learn quickly after filing their claim that the promises insurance companies make aren’t fulfilled. 

Some insurers won’t provide claimants with vital information they need to recover the maximum amount of compensation they are entitled to, while others receive a denial notice in the mail. 

If you are currently facing either of these circumstances or you are dealing with another issue, you can always contact Alexandria, Louisiana car accident lawyer Davey Jones.

Our team at The Jones Law Firm can provide you with legal advice to help you better understand what your options are in terms of getting your issue resolved.

What are some of the most common reasons why insurers deny claims or neglect to pay them?

As much as we would like to trust that our insurance company — or even the insurance company of the other party involved in the collision — will come to the rescue when we need to get our vehicle repaired or our medical bills paid, very rarely will they provide the help we need. 

In fact, insurers deny claims left and right, often leaving the victims of a crash struggling financially and unable to pay for the unexpected expenses that have accrued after the accident. 

While there are times when an insurer has a valid reason for denying a claim or even prolonging a payment to the claimant, there are plenty of other instances where the insurer is looking out for their best interest, not yours.

Below are some common reasons why insurance companies deny car accident claims are refuse to pay:

  1. The claimant (the person filing the accident claim) failed to provide their insurer the information they requested.
  2. The driver seeking benefits doesn’t have adequate coverage for the type of claim that is being filed.
  3. The police report doesn’t accurately depict what transpired in the collision, resulting in the at-fault driver’s insurer refusing to pay your claim.
  4. The at-fault driver does not have adequate coverage to pay for the damage they caused (also known as “underinsured” drivers).
  5. The insurer acts in bad faith. In normal circumstances, an insurance company owes a duty of good faith and fair dealing to the insured, and “should make a reasonable effort to settle claims with the insured or the claimant.” When an insurance agent fails to do so and breaches these duties, the company can be held accountable for their actions. (It is always a good idea to hire a LA car accident lawyer when dealing with an insurer who is acting in bad faith.)

What else could happen in my claims case?

Aside from having to worry about insurers denying a claim or leaving it unpaid, you might also have to wonder whether your insurance company will provide you with settlements that are far lower than what your actual damages are worth. 

Many victims in need of funds who are unaware of what their damages are worth will often accept these lower amounts when the insurer assures they can provide them with a check in a timely manner.

Because it can be difficult to determine when an insurer is acting in bad faith or if they are providing you with the money you are actually entitled to, we encourage you to seek legal assistance.

Our team at The Jones Law Firm will gladly review the details of your accident along with the information the insurance company has provided you to help determine if your claim is being handled fairly and if you are actually being provided with the maximum amount of compensation you are due.

Contact The Jones Law Firm today

To schedule an initial consultation with our firm, simply contact us and we will set up a time for you to come in and discuss your matter in depth.

We look forward to helping you through this complicated process. 

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