Can I Sue My Insurance Company for Denying My Car Accident Claim in Indiana?

When you pay your car insurance premiums, you expect that your insurance company will be there to help you when you need them. Unfortunately, even valid car insurance claims may be denied, either in error or deliberately. In such cases, the claimant may need to bring their case to court to recover what they are rightfully owed.

If you suspect that your claim was wrongfully denied, you can recover compensatory damages through a lawsuit against the insurance provider for breach of contract. In cases where the insurance provider intentionally denied a claim, delayed payment, or exerted unfair pressure on the claimant, additional punitive damages may be available for the insurance company’s bad faith behavior.

Do not let your opportunity to recover the compensation you deserve expire. Take the time today to reach out to the experienced Indiana car accident attorneys at Wruck Paupore at (219) 322-1166. By doing so, you can earn yourself a free initial case assessment.

When Can You Sue an Insurance Company for Denying a Car Accident Claim in Indiana?

If an insurance company denies a policy holder’s claim in error, they have essentially breached their contract, and the wrongly denied claimant can bring their case to court. Unfortunately, many insurance companies will issue denials that they know are wrong or even frivolous, hoping that the claimant will accept the rejection and go away.

If the insurance company wrongly denies or otherwise fails to pay out the coverage that they owe to a claimant, a lawsuit can recover the amount that was properly owed in the first place. Further, suppose there is enough evidence to suggest that the insurance company acted in bad faith in denying the initial claim. In that case, the claimant could recover additional damages, and even potentially punitive damages on top of what they were originally owed.

In addition to issuing a frivolous denial of a claim, examples of bad faith practices on the part of a car insurance company in Indiana may include excessively delaying payment, misrepresenting policy language to the claimant, or using their advantageous position to put unfair pressure on a claimant into accepting a low settlement.

Reasons Why an Insurance Company May Deny a Car Accident Claim in Indiana

Auto insurance companies deny insurance claims more commonly than you might suspect. Some of these denials have valid reasoning, but many claims are denied in hopes that the claimant will simply give up. Below are some of the reasons that a car insurance company could use to explain a claim denial in Indiana.

Failure to Pay Premiums

If you file a claim with your own insurance provider but have not been keeping up with the payments you owe them, they could deny your claim because your policy has been canceled.

Failure to Report the Accident in Time

In recovering compensation after any car accident, acting quickly is crucial. You should always call 911 at the accident scene so that the police officers who respond to the scene can file an official car accident report, which is critical in any insurance claim. It is also critical that you report your accident to your own insurance company as soon as possible, or else risk a denial of insurance coverage.

Driver Not Covered Under Policy

If the person that was driving at the time of the accident was not named as an insured driver under the applicable policy, insurance claims stemming from the accident may be denied. Whether the non-named driver must be named on the policy often depends on a variety of factors, including whether the driver resides in the same household as the named insureds.

Suspected Fraud

Insurance companies claiming suspected fraud in their denial is one of the most common examples of an invalid denial. If your auto insurance claim was denied because the insurance company claims that you made a fraudulent claim or provided false statements, have your Indiana car accident attorney request more information on the insurance provider’s determination.

Insufficient Coverage

Insurance companies may approve a portion of a claim while rejecting another. This is common where the monetary damages sought in the claim exceed the coverage limits offered by the policy. If you have questions about what compensation is available under your policy, have your South Bend car accident attorney look through the fine print of your agreement.

Failure to Seek Medical Attention

Visiting an emergency room or urgent care facility as soon as you leave the scene of the accident is important for more than just your immediate health needs. If you delay in getting professional evaluation and treatment of your injuries, it may open the door for the insurance company to deny your claim on suspicion that your injuries resulted from some other incident. This is not a specific legal basis for an insurance company to deny your claim, but it is often used as an excuse by your insurer to refuse to pay coverage.

How Long Do You Have to Sue an Insurance Company for a Car Accident Claim Denial in Indiana?

Even if you have a valid case for breach of contract or bad faith against your car insurance company, your ability to file a lawsuit does not last forever. Under Indiana’s statute of limitations, plaintiffs have two years to file their lawsuit alleging bad faith in court before the clock on their claim runs out. Typically, the period starts when the claimant receives notice of the denial. Some cases may be more complicated, such as where the insurance company fails to respond to an insurance claim.

Your insurance policy may also include language that could affect the time you have to act on your claim. To prevent the risk of losing out on your case from waiting too long, we urge you to enlist the help of a seasoned Indianapolis car accident attorney as soon as possible, ideally even before you file your initial insurance claim.

Wruck Paupore Can Help You File Your Bad Faith Car Insurance Lawsuit in Indiana Today

To get a free initial case assessment about your options to recover the money you are owed from the insurance company, call the dedicated Hammond car accident attorneys at Wruck Paupore right now at (219) 322-1166.