What To Do When the At-Fault Driver’s Insurance Won’t Pay

Dealing with the aftermath of a car accident is challenging, especially when the at-fault driver’s insurance won’t pay. Understanding your rights and the best course of action in these situations is of the utmost importance.

If you’re encountering resistance from an insurance company in Orlando, the car accident lawyers at Colling Gilbert Wright are prepared to help you fight for the compensation you deserve. Don’t face this alone—let our experience guide you toward a fair resolution.

Call (407) 712-7300 today to schedule a FREE consultation. We are devoted to the folks we serve in Orlando and throughout Florida. We will do everything we can to secure the just compensation you deserve for your losses.

What Is It Called When an Insurance Company Refuses To Pay a Claim?

When an insurance company unjustly refuses to pay or process a claim, it is termed bad faith. Insurance carriers have a legal and contractual obligation to act in good faith and fair dealing with those they insure, which includes paying out valid claims promptly (Florida Statutes § 624.155).

In Florida, if an insurer unjustly denies a claim, the policyholder or claimant may have the right to pursue a bad faith insurance claim against them, potentially opening the door for compensation beyond the original policy limits.

Why Would the At-Fault Driver’s Insurance Company Refuse to Pay After a Crash?

There are several reasons why an at-fault driver’s insurance won’t pay after a crash, including:

Disputing Liability

Insurers often conduct their own investigations and may conclude that their policyholder was not responsible for the accident. They might argue that the fault lies entirely or partially with another party—including you—to reduce or deny your claim.

Policy Exclusions

Insurance policies come with specific exclusions detailing scenarios where coverage does not apply. For instance, if the accident occurred while the policyholder was committing a crime or using the vehicle for commercial purposes without appropriate coverage, the insurer might refuse the claim based on these exclusions.

Lapsed Policies

At times, an at-fault driver’s insurance might have lapsed due to unpaid premiums, or the policy might have been canceled before the accident occurred. In such cases, the insurer is not obligated to cover damages, leaving claimants to seek compensation through other means.

Insufficient Evidence

Insurers require substantial evidence to process claims. If they deem the provided evidence—such as photographs of the accident scene, medical records, or police reports—inadequate to establish their policyholder’s fault, they may deny the claim.

Underestimation of Injuries

Insurance companies frequently challenge the severity of the claimant’s injuries to minimize payout amounts. They might claim the injuries are not as severe as stated or that the treatment received was excessive and not medically necessary.

Pre-existing Conditions

Another common ground for refusal is attributing injuries to pre-existing conditions rather than the accident. Insurers may sift through medical records to find previous injuries or health issues similar to the claimant’s current injuries and argue these were not caused by the crash.

Addressing each of these points requires a tailored approach, often involving gathering additional evidence, negotiating with insurers, or even taking legal action to ensure fair compensation. An experienced attorney can help address these challenges effectively.

What Do You Do If an Insurance Company Refuses to Pay?

If you find yourself up against an insurance company that refuses to pay, take these steps to protect your rights:

Review the Denial Letter

Carefully read the insurer’s denial letter to understand their reasons for refusal. This document often provides crucial information on the appeal process and deadlines. Understanding the specifics is essential, as this will guide your next steps.

Gather More Evidence

Strengthen your claim by collecting additional evidence. This could include more detailed medical records, expert opinions on your injuries, further documentation of the accident scene, or witness statements that corroborate your account of the events.

File an Appeal

Most insurance companies have an internal appeals process. Submit a formal appeal against the denial, including all additional evidence you’ve gathered. Be thorough and precise in your appeal, directly addressing the reasons for the initial denial.

Consult with an Attorney

Seek legal advice immediately, especially if the insurance company resists or you believe they are not treating you fairly. An experienced Orlando car accident lawyer can review your case, advise you on the best course of action, and represent you in negotiations or further legal actions.

Consider Mediation or Arbitration

Before resorting to a lawsuit, consider alternative dispute resolution methods like mediation or arbitration. These can be quicker and less costly ways to reach a settlement. Your lawyer can advise on whether this is a suitable option for your case.

File a Complaint

If you believe the insurance company is acting in bad faith—refusing to pay a claim without a reasonable basis or failing to investigate promptly—you can file a complaint with the Florida Department of Financial Services. They can investigate the insurer’s practices and may provide assistance.

Prepare for Litigation

If other avenues don’t lead to a satisfactory resolution, your lawyer may recommend filing a lawsuit against the insurance company. Litigation can be a longer process, but it might be necessary to receive fair compensation for your damages.

Each step is crucial in contesting an insurance company’s refusal to pay. If you’ve been in a motor vehicle accident and the at-fault driver’s insurance won’t pay, having legal representation can significantly increase your chances of a favorable outcome. An attorney can ensure that your rights are protected and help you understand the process.

Contact the Experienced Orlando Car Accident Attorneys at Colling Gilbert Wright

Facing an uncooperative insurance company can feel overwhelming, but you don’t have to brave this challenging time alone. The distinguished and understanding car accident attorneys at Colling Gilbert Wright are committed to advocating for your rights and securing the compensation you deserve.

If the at-fault driver’s insurance won’t pay, let us put our knowledge and resources to work for you. Contact us today for a FREE consultation, and let’s take the first step towards justice together!