A policy’s terms should state when the policyholder would be expected to file any legitimate claim.

Specific timeline in some no-fault states

Some states with a no-fault insurance system have established a deadline for filing an insurance claim. Most of the deadlines have details that the holder of a state driver’s license is supposed to file a claim within 30 days of an accident’s occurrence. Such no-fault states usually do grant exceptions, in cases where a potential claimant has presented good cause for a delay in imitation of the filing process.

No delay should prejudice the investigation that must be conducted by the insurance company.

An investigation would be prejudiced, if it reduced or impeded the insurance company’s ability to seek evidence, regarding what had taken place at the time of the collision. If an insurance company could prove that a delayed filing had introduced such an effect, then the insurer would have the right to deny the submitted claim.

Who could declare that a delay had prejudiced an investigation by an insurance company?

Personal injury lawyer in Fort Erie knows that any insurance company could make such a declaration, but any policyholder could dispute it, if the company lacked any supporting evidence. The act of disputing an insurance company takes the form of a lawsuit.

Insurance companies do not like to become the target of a lawsuit. That is why a policyholder with a decent case should not hesitate to sue an insurance company. Indeed, the mere filing of a lawsuit might convince the company to allow submission of the policyholder’s claim.

Suppose that the company did not allow submission of the claim. What actions could be taken in that situation? Ideally, the policyholder/plaintiff would have already taken certain actions. For instance, the plaintiff should have already taken pictures of the damaged vehicle, and of any possible injuries. In addition, facts in the plaintiff’s medical report should substantiate any statements in the report that was made to the insurance adjuster.

An insurer would find it difficult to refute the veracity of such evidence. In other words, the insurance company would probably lose in court. That would be the very outcome that most insurers fear. It could dissuade possible customers from purchasing a policy from the same company.

That is why most insurance companies do not like to face their policyholders or their claimants in a courtroom. The customer’s obvious displeasure with the level of the promised services could become public knowledge, and could affect the number of car owners that might choose to join the company’s list of policyholders.