June 24, 2024

How Traditional Carriers Deny Your Uninsured Claim

This Blog was brought to you by the The Patel Firm, Principal Office in Houston

How Traditional Carriers Deny Your Uninsured Claim

Most affordable carriers are either based in another state, or they have operations in other states. But the larger and allegedly “better” insurers whose names you readily know can also try to take advantage of some of Texas’ rather ambiguous contract laws to deny your uninsured motorist damage claims. And though there can be variations on the basic strategy, here’s how one of them might work.

The Main Issue With UM/UIM Policies

The main issue in a UM/ UIM claim is that the insurance companies are not all that eager to sell additional coverage to their customers (regardless of the fact that it’s a state requirement) because they are equally eager to NOT payout on these policies. So they figure out a way to do that by creating an insurance contract in another state where they operate, in order to get around Texas Auto Liability Insurance laws because loopholes in the state’s fuzzy contract laws allow them to do that if it is executed in another state.

More about Houston auto accident attorney here

So once your own carrier starts trying to deny your claim, it now becomes a contract issue and not a tort issue based on our liability insurance laws. Most insurance carriers are not based in Texas, even if they have offices within walking distance from your home or place of employment. And one way to legally circumvent your claim is for the insurance company to assign you an adjuster who is based out-of-a state where it’s easier for insurance companies to avoid payouts on a UM/ UIM claim.

Trap Doors To UM Claims in Texas

And there are a few ‘trap doors” that a claimant must go through in order to counter this insurance company “shell game.” And if you’re not familiar with them, you’ll quickly learn why it was a terrible mistake to not retain a Texas uninsured car wreck attorney.

Why Accident Attorneys Are Crucial In UM Claims

In the case of an uninsured motorist claim, you have to provide reasonable evidence to show that the other party does not have any insurance. This is best done by having your attorney contact their last known insurance provider to provide an affidavit that attests to the fact that there is no coverage. Once it is established that no coverage exists, you then bring your injury claim against your own policy. But, since insurance companies don’t want to pay such claims, this means that your insurance company is now your opponent. And you have many of the same burdens of proof you would have in bringing a claim against the negligent driver’s insurance company – had they had insurance, to begin with.

Liability & Payouts

If you fail to establish that the other party was liable or if you are shown to be partially liable yourself, your insurance company can limit the amount they will pay. In other words, just because the other guy has no insurance and you have uninsured coverage, that doesn’t necessarily mean that your insurance company will automatically pay the full and fair amount of your damages. You still must show that the accident was not your fault. Otherwise, people who caused accidents would always represent to their own insurance company that the other guy has no coverage and the insurance company would payout to someone who doesn’t deserve it.

All of the normal burdens exist with regard to proving damages. And we’ll cover those in a minute. Also, most people hurt their claim against their uninsured motorist policy by thinking they can have candid conversations with their own insurance company. The second you file a claim against them they will use all that you discussed against them.

Contact a Houston Uninsured Motorist Attorney

An experienced local attorney with our Law Firm will analyze your case, and explain your options so that you will fully understand them. We want to make certain that you recover as much as reasonably possible for your injuries and make this sometimes complicated legal process as easy as for you to understand and navigate to a successful end. Then you can resume your life: free from financial harm, and with this experience in your rearview mirror.

Read More