Content

What To Do When An Insurance Company Denies a Claim

When you buy an insurance premium and begin to pay the premiums, your expectations are that the policy will protect you against financial losses in case of theft or an accident. That’s the main aim of insurance. However, since insurance companies are up to make as much profit as possible and minimize they claims they pay out, getting paid by the concerned insurance company is not that simple and most times they are so aggressive in finding reasons to deny the claim and sometimes the denials are wrongful.

The following are the common types of insurance denials many of which can be overcome by getting the right evidence and documentation but it certainly helps to hire an attorney to help you get the compensation you deserve.

  • Life insurance claims

Insurance companies may refuse to pay the death benefits to a beneficiary of life insurance policy on the grounds that the manner of death of the policyholder was not covered or the person making the claim is not the right beneficiary. The company can also claim that the policyholder is a misrepresentation of herself or himself which invalidates the policy.

  • Auto theft claim

This is a common scenarios in most areas where the insurance company denies to pay the claims for a stolen vehicle claiming that there is no evidence off forceful entry or any tampering with the ignition even when the rest of the car parts have been stripped off and rendered unusable.

  • Bodily injury claims

Most insurance companies will fail to pay claims after an accident that causes harm to the body by claiming that you were not really hurt or the injuries are not as a result of the accident. Geklaw points out that unfortunately many plaintiff’s give up with their claims at this stage without knowing that denials may  be contested

  • Property insurance claims

If your personal property is damaged or stolen, the insurance company can dispute any claim by disputing the value of the property or denying that you even own the property. If you do not have the right documentation, you may not recover the loss.

  • Disability insurance claims

When injured in the line of duty, you can get a claim against the short term or a long term disability insurance but insurance company will look for any information that can allow them to dispute the claim. They will question if you the disability is serious enough to prevent you from working, if you have all the documentation or if the disability is covered in the claim.

However, the wrongful denial of personal injury claims by insurance carriers is not the last word, it can be contested and the insurance company held accountable for the wrongful denial.