After a car accident, you may wonder whether your insurance company will pay for the damages and injuries you have suffered. There are some common reasons why an insurance company may deny your Brooklyn, New York, claim.
Not covered
The primary reason for an insurance denial after a car accident is that you are not covered by the insurance policy. This may happen if you are driving someone else’s car, or if you have let someone else drive your car without proper authorization from the insurer. It may also happen if the vehicle you are driving is not listed on your policy, if you have failed to renew your policy or don’t pay your premiums on time.
Policy violation
You may have voided your own policy too. Every car insurance policy has terms and conditions that, if violated, void the policy. For example, if you were driving under the influence of alcohol or drugs, or if you were breaking the law in any other way, such as speeding or running a red light, your insurer may refuse to cover your claim.
Similarly, if you have modified your vehicle without informing your insurer, your claim may be denied. If you have used your vehicle for purposes that are not covered by your policy, such as racing or transporting goods for hire, your Brooklyn, New York, claim may also be denied.
Policy limits
Another reason for claim denial is that your claim exceeds your policy limits. Every policy has a maximum amount that it will pay for each type of coverage, such as property damage liability, collision, comprehensive, medical payments, etc. The insurance company will not pay anything above that limit, regardless of the damages from the accident. This means that you may have to pay the remaining damages out of pocket.
Fault
A fourth reason for claim denial is that the other driver’s insurance company denies your claim. This may happen if the other driver is at fault for the Brooklyn, New York, car accident, but their insurer disputes their liability or questions the extent of your damages and injuries. It may also happen if the other driver does not have enough or the right coverage, or if they provide incorrect or fraudulent information to their insurer.