What to Do When a Car Insurance Company Refuses to Pay
If you’re in a car accident in New Jersey, you expect your insurance company to cover your damages. That’s why you pay your monthly premium, after all. So it can be confusing when the insurance company refuses to pay.
Common Reasons Why Insurance Companies Refuse to Pay
It can be helpful to know why insurance companies refuse to pay car accident claims in the first place. One of the most common reasons why insurance companies won’t pay a claim is if there’s a dispute as to who’s at fault. Most companies will only agree to pay if there’s clear evidence that the injured driver was at fault.
Some insurance companies may also deny your claim because they don’t want to pay. They may ignore clear evidence or not follow the legalities of your policy. Some may approve your claim and then take a long time to pay it. Either way, it can be incredibly frustrating when you need the money to pay for medical bills or repairs.
Things You Can Do When the Insurance Company Refuses to Pay
If the insurance company refuses to pay, there are a few things that you may be able to do, including:
Ask Them Why
Before considering your options, it’s important to know their reasoning for not paying. If they deny your claim, they have to give you a reason.
Review Your Policy
It may be helpful to go back over your policy and double-check any information they provide you regarding why they’re refusing your claim. Your policy should outline what it covers and doesn’t cover.
Go to Small Claims Court
If the amount owed is minor, you may be able to pursue it through small claims court. You may decide to work with a lawyer or represent yourself, depending on the value of the claim.
File a Lawsuit
If your policy dictates that the insurance company should have paid your claim and they refuse to review evidence, you may be able to file a lawsuit. Because lawsuits can be timely and expensive, it may be a good idea to discuss your case with a lawyer first. A car accident lawyer can help you review the evidence, determine fault, and help you explore your options.
Review Your Policy Before an Accident
It’s always a good idea to know what your policy includes. Never rely on an insurance representative’s word. They may say one thing to close the sale, and then write up a different policy. Before agreeing to any policy, make sure you review what is covered and what isn’t included.
It’s also a good idea to check that you have enough coverage. New Jersey is a no-fault insurance state, which means your insurance company covers your costs regardless of who is at fault. However, this may only cover your medical bills. No-fault insurance doesn’t necessarily cover property damages. Despite its name, determining fault may still be important in a no-fault state. If your insurance company is refusing your claim, it may be beneficial to reach out to a car accident lawyer to explore your options.
Contact a Personal Injury Lawyer Near You to Discuss Your Car Accident Case in New Jersey
Were you or a loved one injured due to a car accident in New Jersey? Don’t let the medical bills pile up while you wait for the negligent party or their insurance company to do the right thing. Right now, you need an aggressive personal injury attorney on your side, fighting to get you the compensation you need, want, and deserve. The skilled attorneys at Drazin and Warshaw, P.C. represent clients injured because of car accidents in Middlesex, Edison, Perth Amboy, Westfield, New Brunswick, and throughout Ocean County, Monmouth County, Union County, and Middlesex County, New Jersey. Call (732) 576-8860 or fill out our online contact form to schedule a consultation about your case. We have an office conveniently located at 3315 Route 35, Hazlet, NJ 07730 as well as offices in Red Bank, Brick, and Westfield.
The articles on this blog are for informative purposes only and are no substitute for legal advice or an attorney-client relationship. If you are seeking legal advice, please contact our law firm directly.
