What Are my Options if the Insurance Fails to Investigate my Claim?

Posted on behalf of Lynch Law Firm on Aug 23, 2021  in Car Accidents News

Insurance claim formAfter an accident in New Jersey, injury victims typically file a claim through their own insurance to obtain compensation for their medical bills and other damages. Before paying out a claim, however, the insurance companies generally investigate the accident and validate the case and the value of the damages you are claiming.

Unfortunately, insurance companies sometimes fail to properly investigate claims before denying them. Even if the denial of your claim is legitimate, the insurance company needs to investigate it before making this decision.  

If you were injured after an accident and your insurer denied your claim without a proper investigation, you may have legal options. Call our New Jersey auto accident lawyers today to discuss the facts of your case and see how we may be able to help you.

The consultation is free and there are no upfront fees.

You Have the Right to a Thorough Investigation of Your Claim

As an auto insurance policyholder in New Jersey, you have certain rights, including the right to a proper investigation of all claims. If you were injured in an accident due to the negligent actions of another person, the liable driver’s insurance company is also obligated to investigate your claim.

While your claim for injuries must be filed through your own Personal Injury Protection (PIP) insurance first, the liable party still must pay for property damages. However, before any payment is made, the insurer needs to investigate.  

Can I File a Lawsuit Against the Insurance Company?

You can only sue your own insurance company in New Jersey. If they refuse to investigate your PIP claim, or do not conduct a proper investigation, you may have room to file a lawsuit.

Unfortunately, most PIP insurance policies have a clause that bars policyholders from filing a lawsuit against them. It is important to review the terms of your insurance policy with a knowledgeable attorney who may be able to see what your legal options may be.

What Are My Legal Options?

If your PIP insurance policy does not have a clause barring you from filing a lawsuit, you may be able to file a bad-faith lawsuit against your own insurer for failure to properly investigate your injury claim before denying or delaying payment.

However, if your PIP insurance policy does have a clause that prohibits the filing of a lawsuit, you may still be able to take legal action to resolve your dispute.

For example, you may be able to resolve the dispute through binding arbitration. This is generally the most common dispute resolution included in insurance policies and other contractual agreements between two parties when disagreements may arise.

Depending on the wording of your insurance policy agreement, you may also be able to resolve the manner through mediation or another form of alternative dispute resolution.

Generally, insurance policyholders have options, albeit limited ones, to resolve any conflicts between them and their insurance company. It would be in your best interest to speak to an attorney to see what other legal options may be available to you.

Call Us Today for Help

If you were injured in an accident that was caused by someone else’s negligence, yet your insurance company is refusing to investigate your claim or did not conduct a thorough investigation, you should strongly consider speaking to one of our experienced attorneys to learn more about your legal options.

Our attorneys have decades of experience dealing with insurance companies and helping injury victims recover the maximum compensation they need. There are no fees while we work on your case, so there is no risk to you.

Call us today to schedule a free consultation: (800) 518-0508 .

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