Why Do Insurance Companies Delay or Deny Valid Claims?

Why Do Insurance Companies Delay or Deny Valid Claims?Navigating the aftermath of an accident can be a complex and overwhelming process, especially when dealing with insurance claims. Filing a claim requires a great deal of time, effort, and evidence, and you have the burden of proving your right to compensation.

Unfortunately, some insurance companies can delay or deny valid claims for various reasons, from insufficient evidence to unclear liability. It is important to be aware of why this happens. An experienced insurance bad faith lawyer in Kansas City can help you strengthen your claim and avoid common pitfalls.

#1: You Did Not Provide Enough Evidence

Insurance claims in Kansas City require comprehensive evidence to support the extent of your injuries and the sequence of events leading up to the accident. This evidence can include medical records, accident reports, witness statements, and photographs of the accident scene. However, insufficient documentation may lead the insurance company to question the claim’s validity, resulting in delays or outright denials.

#2: There Are Discrepancies in Your Statements

When filing an insurance claim, it is important to be as consistent as possible. Insurance companies meticulously review all statements and reports associated with the claim. Any discrepancies, no matter how minor they may seem, can cast doubt on the claim’s legitimacy.

These discrepancies could stem from variations in the narrative provided to different parties, such as law enforcement, medical providers, and the insurance company itself. To avoid contradicting yourself, never give a recorded statement to the insurance company or speak to anyone about the accident without your attorney present.

#3: The Insurance Policy Doesn’t Provide Enough Coverage

At times, the issue lies not with the claim itself but with the limitations of the insurance policy. The policy’s coverage limits may not be sufficient to cover the full extent of the damages or medical expenses that you incurred. In these situations, the insurance company might deny parts of the claim that exceed the policy’s scope. However, you could escalate your claim to a lawsuit to address the remaining amount.

#4: Liability Cannot Be Determined

To secure a settlement, you must clearly establish the other party’s liability in an insurance claim. If there is ambiguity about who is at fault for the accident, insurance companies may delay claim processing until liability can be definitively proven. If there is evidence that your actions contributed to the accident, the insurer could use this information to justify denying your claim.

#5: You Don’t Have a Personal Injury Attorney in Your Corner

Having legal representation can significantly influence how your claim is handled. In fact, insurance companies may take claims more seriously and act more promptly when an attorney is involved. Legal professionals understand the tactics used by insurance companies to minimize or deny claims and can effectively counter these strategies.

Filing an insurance claim can feel like navigating a maze without a map. In these situations, a Kansas City personal injury attorney can advocate on your behalf. Your lawyer will fight to ensure that your rights are protected and that you receive the compensation you deserve. As soon as possible after your accident, contact a lawyer to learn more about your options and take your first steps toward recovery.