Dealing with Insurance Companies Flashcards
6 cards from real Accident Lawyer Tips practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 6 Dealing with Insurance Companies flashcards as text
What should you do if an insurance company denies your accident claim?
Answer: Request a written explanation and consult an accident lawyer to appeal or sue
A written denial explanation reveals the grounds for denial, and an attorney can help you challenge it or pursue litigation.
What is a 'coverage gap' in auto insurance that can affect an accident claim?
Answer: A period or situation where the policy does not provide protection
Coverage gaps arise when an accident falls outside the scope of the policy, such as using a personal car for commercial purposes.
Why is it risky to settle an accident claim before completing medical treatment?
Answer: Future medical costs and complications will not be covered after settlement
Once you settle, you typically sign a release waiving all future claims, even if additional treatment becomes necessary.
What does an insurance 'release' document do when you accept a settlement?
Answer: Waives your right to make any further claims related to the accident
Signing a release permanently surrenders your right to seek additional compensation from the insurer for the same accident.
What is the role of the state insurance commissioner in accident disputes?
Answer: To regulate insurer conduct and investigate bad faith complaints
The state insurance commissioner oversees insurer compliance with state laws and investigates complaints about unfair claims practices.
What is 'stacking' of insurance policies in a multi-vehicle accident claim?
Answer: Combining coverage limits from multiple policies to increase total available compensation
Policy stacking allows victims to combine uninsured or underinsured motorist limits from multiple vehicles or policies they own.