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When an auto insurance company denies your claim it doesn’t mean to be the end for you. There still being hope when your car insurance denies your claims. Once you get your own car insurance coverage, you think that you will never need it, but in the end, you have many chances to use it in the future. In this article, I am going to explain the best I can about this topic. I will explain why car insurance might deny your claim, which options you have to repair your car with a certain amount of coverage from your insurance coverage, and many more.

Most of the time, your car insurer often has thousands of reasons why they reject any of your thousands of dollars claim of your car repairing bill, your policy covers collisions, so your car insurer denies your claim

Which are the reasons why a car insurance company may deny a claim?

Most of the time, your car insurer often has thousands of reasons why they reject any of your thousands of dollars claim of your car repairing bill, your policy covers collisions, so your car insurer denies your claim when they believe they have a legal right to deny it, so they think the total or part of your policy is invalid.

There are many common reasons why your car insurance may deny your claim, which may be e following reasons:

  • The claim you issued is not covered by your policy

  • The vehicle which you got that collision is not listed in your car insurance policy

  • Your policy expired at the time you got that accident (probably you didn’t renew your policy, you didn’t pay your premiums)

  • The claim you issued exceeds the policy limits you bought, basically, your claim is worth more than the coverage you bought.

  • The person who issued the claim was driving didn’t bring his/her driver's license, or he/she was driving under the influence

  • The damages you described in your claim existed previously, or the claimed vehicle was unrelated to the accident issued in the claim you did.

  • You didn’t report your car accident claim properly to your car insurance company.

  • You lied to your car insurance company, so your car insurer properly denied your claim, but any of these denials could be also a mistake or just premature.

What can I do when my claim has been denied?

If your insurer denies your claim, or your insurer gave you less money in a check that you might receive an official letter coming from your car insurer following with a document it says you must sign. I recommend you do sign nothing, nor cash that checks, just in case you want to appeal that car insurance denial to the court, because, if you do, if you sign that document and you cash that check, the court may rule that you accepted the decision of your car insurer, and you won’t be able to challenge it. So you might ask yourself “why did my car insurer deny my claim?”, I will give you some hints that will make reverse your car insurance denial.

You must read carefully that letter, but also compare the reasons why are they denying to pay the coverage of your vehicle. You really have to check if you can identify more information that you provide to your auto insurance company, this way they may consider changing their decision.

Each car insurance company policy has a way or a website where you can follow all the procedures for filing a written notice where you can contest that car insurance claim denial.

Talk to your car accident lawyer as soon as possible, you must know your rights and options that might help you, but also expert help is always the best choice for you. That Expert may be able to advocate for your insurance company and help you get additional compensation for your accident.

How can a Denial be a sign of “Bad Faith”?

Your car insurance company might believe your claim has been made in a sign of bad faith, you will need legal alternatives, due to your car insurance claim rejection. However, you must spot that bad faith sign in your car insurance company. If you let me explain this sign of bad faith is just when your car insurer hesitance or just directly rejects to pay you out. 3 main signs can be spotted as bad faith from a car insurance company:

  • When your insurance company communicates so less or nothing with you

When you have properly issued a claim to your auto insurance company, they have to communicate with you. The normal way they often do is they send a policy adjuster who will phone you directly, who will be ready to answer your questions, but also will explain the situation to solve your concerns. If your car insurance company didn’t communicate with you, that is considered a sign of bad faith.

  • When your insurer's investigation is not the appropriate one

Once you fill a claim, your car insurance company must do an investigation about your claim. You must legitimate your car insurance company really did a bad faith investigation when that investigation has been partial, or insufficient, or your insurer directly didn’t investigate your claim at all.

  • When your car insurance gives you a no legitimate reason for their denial

If your insurer doesn’t give you a valid reason why they did reject your claim, it is a clear sign of bad faith. Car insurance companies often give you many reasons why they reject your claim.

If you feel that your car insurance company acted in a bad faith sign to your claim denial, you must reach out to a lawyer who can help you investigate your insurer's denial was completely wrong.

Why would you need to hire a lawyer for a car insurance claim denial?

Many car insurance company uses many technical vocabularies that make you feel you’re reading another language but English. A renowned lawyer will be happy to help you reach a reverse to your car insurance company claim denial.

You are the policyholder, so you have the right to dispute any insurance claim decision that you believe is unfair or just insufficient. That’s the main reason why a lawyer will help you take legal action against your car insurance company. For example, when your car insurance does not

You are the policyholder, so you have the right to dispute any insurance claim decision that you believe is unfair or just insufficient.


No matter if you’re currently considering suing your car insurer or not. It’s always good to be prepared all your documentation but also keep detailed records of everything that happened in your insurer claim denial, here are some hints you should consider:

  • Keep all your documentation but also your mails between your car insurance company representatives and you. Keep copies of all the emails and take notes of all the phone conversations you got with them, such as conversation dates, or the names of your insurer representatives, assume they are recording your call.

  • Maintain records of your insured car or bike, including the receipts, pictures, or videos of what is insured. Remember to take pictures or record videos immediately after the car accident.

  • Track all the expenses you incur, such as medical bills just in case you get injured in your accident, your lawyer fees, and lost wages. Be honest while you are talking to them about your assessments and your record-keeping.

  • Choose an experienced lawyer in insurance litigation, insurance law can be really complex depending on the estate you live in,  and the time your lawyer consumes for their research is expensive.

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