6 Reasons Your Auto Insurance Claim Might Have Been Denied

Being involved in a car accident can be stressful—but it doesn’t have to be. The right auto insurance coverage can help ease the financial burden you’re facing and get your vehicle on the road again in no time.

Best-case scenario, your car insurance agent in Arlington approves your claim and covers the costs for all vehicle repairs and medical expenses (if applicable). Worst-case scenario, your car insurance provider denies your claim and you are left with a hefty bill to pay out of pocket.

Why might your auto insurance claim be denied? Usually it boils down to the type of coverage you have and whether you were driving within the conditions of your policy.

Here are six common reasons why your car insurance claim might have been denied, and how you can avoid being in this situation again.

1. You Didn’t Pay Your Premium

With car insurance, you get what you pay for. Failing to pay your car insurance premiums on time—even if you’ve only missed one payment—could put your coverage in jeopardy. If you get into an accident and you haven’t kept up to date with your payments, your car insurance agent in Arlington has every right to deny your claim.

Regardless of whether the missed payment was an oversight on your part or on your car insurance provider’s part, it’s your responsibility to ensure that a payment was made and received.

To reduce the risk of missing a payment, make sure your address and banking information on file with your auto insurance agent are up to date. And keep track of your monthly car insurance bills, so that you have a record of your payments.

2. You Failed to Disclose Information

Your Farmers Insurance agent in Arlington is here to help you. Misleading them or providing inaccurate information will only negatively affect your auto insurance coverage should you need to file a claim.

For instance, if you have made modifications to your vehicle that could impact your coverage, lied about your driving history, or used a friend’s address on file to lower your premium, your car insurance agent in Arlington could deny your claim on the grounds that you failed to disclose pertinent information.

When purchasing auto insurance coverage make sure that all information you disclose is accurate, including your name, age, address, annual mileage, and any modifications you’ve made to your vehicle.

3. You Didn’t Submit All the Documentation for Your Claim

When filing an auto insurance claim, the devil is in the details. In order to process your claim accurately and in a timely manner, car insurance agents in Arlington need to have all the information surrounding your accident, such as invoices or bills, photo evidence of the accident, and insurance information for the other parties involved.

In the stress of the situation, you may forget to submit certain documents, which might result in your claim being denied. The good news is that this can easily be resolved. Simply re-submit your claim with the proper documentation required.

4. You Waited Too Long to File Your Claim

On that note, make sure you don’t wait too long to file your auto insurance claim. There is usually a timeframe within which you can submit a car insurance claim.

Talk to your Farmers Insurance agent in Arlington to see what conditions are in your policy, so that you can rest assured that your claim will be approved if you ever get into an accident.

5. You Used Your Car for Commercial Purposes

The nature of how you use your vehicle can impact your auto insurance coverage. If you’ve registered your vehicle for personal use, but have been using it for commercial/business purposes, there’s a high chance that your claim will be denied if you get into an accident.

Why? Because, in the eyes of a car insurance agent in Arlington, commercial vehicles are used more frequently, thus they are more at risk of being in a collision. Usually, the premiums for commercial vehicles are also higher than those for personal vehicles.

The same applies to ride-share programs like Uber. You might need to get a “business use” policy if you are using your vehicle for ride-sharing purposes.

Make sure to notify your Farmers Insurance agent in Arlington of any changes you have made to your vehicle usage.

6. Your Vehicle Was Used for Illegal Activities

If your vehicle was used for illegal activities, it’s almost guaranteed that your claim will be denied.

If you are found to have been driving under the influence of drugs or alcohol when the accident occurred, not only will your car insurance claim be denied, but you will also be arrested for putting others on the road at risk.

The same applies for driving with a suspended license. If you get into an accident without a valid driver’s license, your insurance provider will likely deny your claim or, worse, cancel your car insurance policy altogether. Don’t take that risk.

Keep in mind that if you have a prior DWI charge or other convictions, it could also affect your auto insurance coverage. Any prior convictions you have will stay on your driving record for three years. You are required by law to notify your car insurance agent in Arlington about these prior convictions.

Get the Best Auto Insurance Coverage in Arlington, Texas

If you’re looking for a qualified Farmers Insurance agent in Arlington, Texas, Farmers Insurance – Crystal Schuder Agency can help you. We will take the time to help you find the right car insurance for the right price and explain your options. Book a consultation today to find the auto insurance coverage that fits your specific needs and works within your budget.

 

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