All states require their drivers to have auto insurance or a financial responsibility equivalent in order to become a fully licensed vehicle operator. There are several levels of auto insurance coverage that you can purchase to protect both you and your vehicle. However, following an auto accident, your insurance company may refuse to pay for these contracted services. This is called insurance bad faith.
First, when you sign with an insurance company, you choose the plan that you want then pay a premium to cover this protection. Thus, you enter into a contract with your insurance provider to pay your premium in return for their financial backing should damage occur. Insurance companies are very specific about the extent of damage that they cover, and this is why you can “layer” different levels of coverage. Some common types of auto insurance coverage options include:
- Uninsured / Underinsured
- Medical payments
However, sometimes the insurance provider can refuse to pay for your accident. This means that you must be extra careful about filing your claim correctly in order to get the help you deserve. After an accident, it is important that you contact your auto insurance provider as soon as possible in order to start the claims process. At the scene of the accident, you should call the police to determine fault, which can help you get the coverage that you need depending on your insurance plan. You should also collect all relevant evidence, keeping copies of any information you send to your insurance company.
If your insurance company refuses your initial claim, you can appeal this decision. However, sometimes the appeal process is very strict, which means that you should pay careful attention to your company’s policies so that you can get the coverage you need.
Sometimes, you may need legal help to stand up against your bad faith insurance company. If you are a victim of insurance bad faith following a car accident, you should contact a Stevens Point insurance claims attorney from Habush Habush & Rottier, S.C., today.