A car accident claim is a request you can make to your insurance company or the liable party’s insurance company after an accident for financial compensation. Auto insurance is legally required in New Jersey for all drivers and provides individuals with financial security in case an accident happens. However, sometimes claims are rejected. If an insurance company denies your car accident claim it is important that you understand your legal rights and options. Speak with a New Jersey auto accident lawyer for representation during your settlement negotiations.
What Types of Claims Exist?
New Jersey is a no-fault accident state, meaning that individuals involved in a crash must first file a claim through their own insurance provider for medical expenses, loss of income, etc. A claim made to your insurer is known as a first-party claim.
However, you can also file a third-party claim with the liable driver’s insurance provider under certain circumstances. Individuals can file a third-party claim if they are seeking compensation for damage to their vehicle or other property, or if their own insurance policy does not cover the entirety of their associated expenses.
Any type of claim can be denied for a number of reasons including a lack of evidence, insufficient coverage, policy lapses, exclusions, filing past the deadline, and more. While it may feel unfair, insurance companies are often more concerned with turning a profit than settling claims.
What Can I Do if the Insurance Company Denies My Car Accident Claim?
The action you should take after an at-fault driver’s insurance company denies your claim depends on the reason for the denial. Suppose the insurer is stating that the claim is not covered under their policyholder’s policy even though they are at fault. In that case, you can file an uninsured motorist claim with your own company in an attempt to receive compensation that is otherwise not covered. You can file the same uninsured motorist claim if the liable party’s policy does not cover the entirety of your damages.
If the insurance company denies your claim or an agreement cannot be reached, you can also file an appeal with the company’s internal appeals panel. This process can be easier with the help of an experienced injury lawyer. The letter of denial may state the reason your claim was rejected. You can use this information to gather additional evidence or reevaluate the way your claim was written.
If you believe that the insurance company’s practices are unlawful you can file a written complaint with the NJ Department of Banking and Insurance. Whatever decision you make, it is recommended that you speak with an experienced attorney who has experience in the field and can help you navigate the process. Contact a lawyer today.
