How To Respond To Unreasonable Stance By Insurance Company

In each state, the state’s Insurance Agency has a complaint division. Unhappy policyholders have the right to threaten action, as a response to an unreasonable action on the part of an insurance company.

Reasons why a policyholder might elect to move forward with such a threat

• The insurance adjuster has not made any offer; as a result, negotiations cannot begin.
• The insurance agency has provided a policyholder or claimant with false information.

In response to instructions from the insurer, the adjuster has applied pressure on a claimant or policyholder, in hopes that the same person will agree to the company’s proposed terms. After the start of negotiations, the insurance company has delayed making an offer, and has failed to provide a reason for that same delay.

The threat should be presented to the adjuster, and it should take the form of a comment. The adjuster should know about the policyholder’s/claimant’s inclination to file a complaint with the appropriate state agency.

Approach to use if threat does not push insurance company to alter its stance

Go online and learn what form your complaint should take. Some states issue a specific form, which must be completed. Others accept a formal letter. Learn where to send the completed form, or the letter.

If your state does not use a form, include the following information in your letter:

• The date of the accident
• The names of all those involved in the accident
• A description of your claim, along with the claim number
• Offer details on the attempts already made by you, in an attempt to solve the dispute, regarding the claim.
• Include copies of all the correspondence that you have sent to the insurance company. Be sure to include a copy of the demand letter.

Do not hesitate to challenge an action by the insurance company.

Any complaint or threat should be more forceful, if it gets made with the help of a lawyer. Do not feel reluctant to speak with an Injury Lawyer in Sault Ste. Marie about challenging an action that has been taken by a given insurance company.

Few years ago, one policyholder sought reimbursement for damages, following a rear end collision. The insured driver submitted a 1st party claim. The insurance company insisted that the same driver was partly to blame, because his vehicle had hit the car in front of it.

The insurance company’s allegation was not disputed. Thus, the size of the driver’s payment was reduced. Today, the actions taken by that particular insurance company are viewed as out-of-line. The insurer might not have chosen to reduce the size of the driver’s /policyholder’s payment, if he had hired a lawyer, and had filed a complaint against the insurance company.