Car Insurance and Your Claims: They MUST Pay!
To further complicate matters, even if a loss is covered, the policy most likely includes a deductible as well as coverage limits. Depending on the nature of the loss, multiple insurance companies may be involved. For example, if a storm strikes and you have both wind and flood damage, you may have to file a claim with your homeowners insurance for the wind damage and another with the national flood insurance program (if you have flood insurance) for the water damage.
Depending on where you live, your deductible may be higher under certain circumstances. For example, in Florida, your insurance deductible for hurricane damage is much higher than if your home was burglarized. So, will your local insurance company pay or won’t they? Look at it this way, insurance companies DON’T want to pay. They are in business to generate profits and will need to be convinced BY YOU that the claim should be paid. The burden of proof lies on you, the homeowner. This means that you will need to prove your case and do it well. The better prepared and more organized you are, the better.
Documentation for Making Insurance Claim
Start with documentation. You may need to take dozens of photos and provide your direct insurance agent with detailed estimates to counter against the insurance company’s original settlement offer. You may need to demand to see how the agent depreciated your property and negotiate a more reasonable method. While your homeowner’s insurance policy is a contract, the claims process does provide room for negotiations with auto insurance company (more information on best negotiation tactics in How to Contact with Auto Insurance Company? article).
Your best bet is to be prepared for a fight. Your tools in this battle include a detailed home inventory, digital photos and video documenting the damage, estimates from local contractors, and a willingness to demand a better offer. You don’t have to do this alone. In fact, many contractors are willing to be present during the insurance adjuster‘s visit to help point out damage that the adjuster might have otherwise ignored. In addition, public home or auto insurance adjusters act as advocates for the homeowner and work on your behalf to negotiate a higher settlement offer.
Arm yourself with knowledge, documentation, and real-world estimates while also considering professional representation and you’ll be better equipped to answer the question, “Will they pay for it?”
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Help answer the question about insurance
Is the auto-insurance claim information shared if I switch the insurance company?Hi!
I am with auto-insurance company X right now and due to few number of insurance claims that I had made, my insurance is going up. I am wondering if I try to switch to some company Y, will X share my claims information with Y?
Thanks!
August 9th, 2009 at 2:28 pm
I agree that you must be leaving some details out. I'm pretty sure the amfam adjuster must have given you a reason for the $1300 offer. Heck, the car could be a total loss and the $1300 could be the value of the car. If the car is total loss they would you the value of the car, not the total of the estimates. The 20 yrs of paying premiums means nothing for these claims.
There is no WI statute that states insurance companies must pay claims. These kind of disputes are handled by the Insurance Commissioners Office in Madison. http://oci.wi.gov/
You can file a complaint and they will investigate what amfam is doing. Howeverf, you should know that most complaints filed with insurance commissioners are the result of policyholders having the wrong idea about how an insurance claim works. FYI, if you file a complaint with the state do not mention the 20 yrs of premiums that will not do you any good and will likely hurt your credibility.
Good Luck
August 9th, 2009 at 3:38 pm
I'm not sure where George gets his information, but he's completely incorrect…..
Each state's DOI (Department of Insurance) regulates WHAT, WHEN, WHY, and HOW an insurance company does something. The DOI requires the insurance companies do an INDEPENDENT investigation of the accident….they are not allowed to rely on, as George says, police reports, for many reasons, but one factor could be because they are seldom accurate and to be quite honest, the officer isn't "investigating" the loss–he's writing statements & typing a report. A cop doesn't determine negligence, but what he can tell you is who violated what vehicle code. Depending on the cop, he may or may not provide additional info, such as skid marks, speed, etc……
As part of the investigation process, as well as contractual responsibilities with their insured, the insurance company has to speak with BOTH the driver and named insured (who can sometimes be 2 different people.) The have to 1) make the named insured aware of the claim and 2) verify the facts of loss with the driver. But this is just a small step, albeit a HUGE one, in getting closer to settling the claim.
The insurance company can't MAKE the guy cooperate, even though there is a cooperation clause in his policy. The other insurance can't pay the claim until he speaks with the driver/insured. All the insurance company can do is continue to make reasonable attempts to speak with the driver, and worse case scenario, they can deny coverage for lack of cooperation. But you don't know why the guy's not calling them anymore than they do…as far as they know, the guy's dead, in jail, or in a hospital somewhere.
As for how long do they have, you have to check with your DOI. Most states say upon receipt of proof of claim, i.e. estimate of damages, they have 10 days to pay or deny the claim. If the investigation is not complete, they must notify you in writing every 30 days of the status. This is just an example, so check with your DOI for exact procedures and timelines. They legally pay for your car when they have meet the requirements of BOTH the DOI and their policy with their insured.
As for you….you have a duty to mitigate your damages. What does this mean? You have to make reasonable attempts to prevent any additional damages/cost from incurring. If you don't have collision coverage, then you'll have to wait on your repairs I suppose, but that's not the other guys fault, that's your for not being properly covered. Your insurance will subrogate the at fault party if you do have collision.
August 9th, 2009 at 4:58 pm
yes there is something you can do is this shop that fix your car a license shop if so get a statement from them as to what was to have been done and wasn't then go to small clams and file for the cost of repair of your truck just take them to court
August 9th, 2009 at 5:31 pm
Being a former adjuster it depends on point of impact. Did your son hit the back part of the lady's vehicle? If so he may be on the hook for 20% of her damages and she may be liable for 80% of his damages. Even if this is the case, State Farm should have at least paid 80% of your son's damages already!
There must be something else preventing State Farm from paying. It's not in their interest to drag a claim this long since they risk litigation. Review the police report. Ask your Progressive adjuster to make a 3 way call to the supervisor of State Farm overseeing your son's claim with you on the line and all three of you check the status of the claim. I had to do this all the time even though my insured only carried liability only insurance. Then, tell the Progressive adjuster you will check back once a week for a status.
good luck! Ask the State Farm supervisor if the claim has been denied. He may say yes, but per privacy laws may not be able to tell you why. Claim denials can be for a lapse in coverage, excluded driver driving vehicle at time of loss, vehicle not on policy, etc.
There is UMPD which covers uninsured motorist property dmg and UMBI which covers uninsured motorist bodily injury claims. Both should be on your policy if you paid the premium for them.
August 10th, 2009 at 2:23 pm
Honestly, the only way you can "punish" them or recover – is to take them to small claims court. You would need to list the owner of the vehicle, the driver, and since the driver is a minor, her parent/guardian too. Most likely you will win, and the other party will get a judgement against them, which would ruin their credit if they don't pay – but it sounds like that's the least of their worries! good luck.
August 10th, 2009 at 2:24 pm
You can legally tell them to 'stick it' in a court of law but be warned: insurance companies do not play games. If you are stupid enough to actually go to court over $4K then be prepared to be eaten alive by the insurer's lawyer and the judge. You have every right to see the paperwork associated with the cost of the claim they are requesting but don't be too shocked at what you find. A trip to the ER, with NO injuries will cost in excess of $2,500 after exams, MRI and x-rays. Why don't you try being reasonable and contact the insurer and discuss a settlement before you find yourself before a judge. If you get a judgment against against you and don't make the payments you will be in contempt and your assets will be seized, sold and you will face heavy fines.
Dude, it just ain't worth it….. don't you have your own insurance for this???
August 11th, 2009 at 8:21 pm
Preemptive strike – Report them immediately to both the BBB and Utah Attorney General's office (and/or state consumer protection agency, if Utah has one). Then they'll have to answer to a legal entity, and not just an individual. But, be sure you can defend your position (sounds like you can).
August 11th, 2009 at 10:11 pm
If your mother has an attorney — then ask him.
Your mother will be paying him a very hefty chunk of any settlement that she gets. So you might as well ask him.
Also – if your mother is represented by an attorney – the insurance company can not speak to her with out the lawyers permission. That means you calling them…..your mother calling them…..your calls will not be returned. The insurance company can not speak to either of you unless your lawyer gave them permission (usually in writing).
The manager is not "playing dumb". You are represented by an attorney — LEGALLY HE CAN NOT DISCUSS THE CASE WITH YOU WITH OUT YOUR LAWYERS PERMISSION (USUALLY REQUIRED TO BE IN WRITING).
August 12th, 2009 at 11:48 am