Car insurance is meant to cover the costs of an accident and provide compensation for people who have been injured in an accident. What happens when the insurance company denies your claim for your accident?
Can Car Insurance Deny a Claim in Georgia?
Since car insurance provides coverage for damage and injury caused by accidents, it may seem that insurers cannot deny claims. However, car insurance companies can deny claims in Georgia; they are not required to approve every accident claim that is filed.
Insurers must follow strict rules and regulations when considering and handling such claims, so ensuring the company complies with these requirements is an important consideration after a denial.
Georgia’s Unfair Trade Practices Law
According to Georgia law, any car insurance company that does the following could be committing unfair claims settlement practices:
- Purposefully misrepresenting policy coverage
- Failing to acknowledge claims communications promptly
- Failing to investigate claims promptly
- Not making a good-faith effort to offer a fair and equitable settlement
- Delaying the claims investigation unreasonably
This list is not exhaustive; there are many other practices that Georgia considers unfair under this law. If you suspect that your claim has been wrongly denied, you may have a few options. Contacting a Georgia accident attorney is recommended. Having legal representation generally improves the chances of reaching a favorable outcome in an accident claim.
Insurance Companies and Bad Faith Cases
Insurers are required to use good faith in their settlement efforts, as well as other interactions and dealings they have with injured parties making a claim for damages. Not every denial is a sign of bad faith, but you may have a case to prove the insurance company acted with bad faith if you can establish the following:
- The policy covered your claim
- You made your demand for the claim 60 or more days before filing a lawsuit
- The insurance company denied the claim based on bad faith
Options After an Insurance Claim is Denied
You may be able to appeal the denial, which is an internal process within the insurance company. The denial letter sent by the insurer is required to provide information on why your claim was denied. Sometimes, a claim is denied simply because more information or documentation is needed. Review your letter carefully to determine how to approach your appeal, or provide the letter to your attorney for their review.
Another option after a Georgia accident claim denial is to file a lawsuit. It is a tremendous benefit to hire a lawyer for this process, as the complexities of personal injury lawsuits are not conducive to physical and psychological recovery after an accident.
Experienced Legal Counsel After a Denied Insurance Claim
Receiving a denial notice can be disheartening and frightening, but don’t give up hope. Flanagan Law can help you move forward after a denial and prepare your claim for appeal or litigation.
Contact us today to schedule your free consultation with one of our Atlanta car accident lawyers.
