Can my insurance company refuse to fix my car because I had an accident 2 week after adding full coverage to my vehicle?

Get Legal Help Today

 Secured with SHA-256 Encryption

Can my insurance company refuse to fix my car because I had an accident 2 week after adding full coverage to my vehicle?

Asked on April 23, 2012 under Accident Law, Maryland

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 9 years ago | Contributor

First, check the policy, binder, and other documents from the insurer--see if there was any time frame or other obvious limitation which you ran afoul of (for example, did the coverage actually start or come into effect yet? It may not have, if you only just added it--the effective date might have been in the future). If there is something on the face of the policy which allows the insurer to not pay, they most likely can do this.

Even if there is nothing on the face of the policy precluding coverage in this situation, if there was insurance fraud--e.g. you added coverage, then deliberately had an accident to collect money--the insurer will not pay. Insurers are always suspicious when someone puts in a claim right after buying coverage; it may be that this is the reason they are not paying--they think you are committing fraud. However, you could challenge this--you have the right to sue the insurer to enforce their obligations under the policy, if you believe that under the plain terms of the policy, you should be paid. You do not need to take their refusal as the final word, again, unless there is something explicit in the policy which allows them to not pay under these specific circumstances (such as the effective date not yet being reached).


IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.

Get Legal Help Today

Find the right lawyer for your legal issue.

 Secured with SHA-256 Encryption