Respond to a Denied UIM Insurance Claim

How Do I Respond to a Denied UIM Insurance Claim?

When an Underinsured Motorist (UIM) claim is denied, the financial and emotional toll on accident victims can be devastating. Unfortunately, many of these denials stem from the ambiguities in the insurance policies, leaving policyholders confused and vulnerable. In a recent decision, the Superior Court of New Jersey sided with a policyholder, highlighting the challenges and misunderstandings that often accompany UIM claims. This case underscores the critical need for clarity in insurance documents and the importance of judicial oversight to ensure fair treatment for insured New Jerseyans.

If you are facing a denied UIM claim, it’s crucial to understand that you have rights and options. The attorneys at Bathgate, Wegener & Wolf, P.C. are not just ready to review your case and clarify your coverage but also to provide the reassurance and support you need during this challenging time. Contact us today to ensure that your claim is handled fairly, and that you receive the compensation you deserve.

Reasons For UIM Insurance Claim Denials

A denied UIM insurance claim often leaves accident victims in a precarious financial position. One recent notable case illustrating the complexities of these denials is Motil v. Wausau Underwriters Insurance Company. In this instance, the insurance company initially denied the UIM claim because the plaintiff was not a named insured nor a defined family member under the policy. However, the Superior Court of New Jersey identified an ambiguity between the declaration page and the policy’s step-down provision. This discrepancy led the court to conclude that there was a reasonable expectation for the plaintiff, even as a non-named insured, to receive the same UIM coverage, thus ruling in favor of the policyholder.

Such denials typically arise from several critical issues within the policy language and claim circumstances:

  • Non-disclosure—failing to disclose pertinent information when obtaining the policy;
  • Eligibility—disputes over whether the claimant qualifies as an insured under the policy terms;
  • Coverage limits—misunderstandings about the limits of coverage, including what incidents and injuries are covered; 
  • Policy exclusions—specific exclusions that may apply to the circumstances of the accident; and
  • Procedural errors—errors in the filing or processing the claim, such as missed deadlines.

Understanding the reasons behind a UIM claim denial is crucial for effectively contesting the decision. If you are facing a denied UIM claim, seeking legal guidance is vital. The resolution of such disputes often hinges on the interpretation of policy language and the specifics of the insurance contract. 

Steps To Take When Your UIM Insurance Claim Is Denied

When your UIM insurance claim is denied, it is crucial to act promptly and assertively to challenge the decision. Understanding the steps to dispute a UIM insurance denial can significantly influence the outcome and ensure you receive the compensation you deserve. Below are some important points during the UIM insurance denial appeal process.

  • Review the denial notice. Start by carefully reading the denial notice. Insurers are required to state the reasons for denial clearly. Identify any areas of dispute or misunderstanding related to the policy coverage or the facts of your claim.
  • Gather documentation. Collect all relevant documents, including your insurance policy, the denial notice, and any supporting evidence from the accident, such as police reports, medical records, and witness statements. These documents will be vital in substantiating your appeal.
  • Consult with an attorney. A legal professional can provide crucial guidance and increase your chances of a successful appeal. An attorney can help interpret the policy language, identify legal strategies, and represent you in dealings with the insurance company.

An attorney can help you learn how to appeal a UIM insurance denial.

How To Appeal a Denied UIM Insurance Claim

Challenging a UIM insurance denial can be daunting. However, an experienced lawyer can help you determine what to do when a UIM insurance claim is rejected.

  • Formal appeal. Most insurance companies have a formal appeals process. Submit a detailed appeal letter outlining why the denial was incorrect, supported by documents and evidence. Be clear, concise, and factual.
  • External review. If the internal appeal is unsuccessful, consider requesting an external review by the state insurance board or taking legal action. Legal proceedings might be necessary to resolve the dispute, especially in cases involving significant ambiguities or policy misinterpretations.

It is important to keep detailed records of all communications and submissions. Additionally, you should follow up regularly and keep track of deadlines to ensure your appeal is processed in a timely manner. If you have received a denial for your UIM claim, remember you are not at the end of your options. Taking these steps can help protect your rights and pursue the coverage you are entitled to. 

Importance of Seeking Legal Advice from a UIM Insurance Denial Lawyer

Consulting a personal injury attorney is essential if a New Jersey insurer denies your UIM claim. A UIM insurance denial attorney can navigate the complexities of insurance policies and state laws to protect your rights. A lawyer can critically assess the reasons for your claim’s denial, clear up any ambiguities in the policy language, and pinpoint procedural errors made by the insurance company. Hiring a skilled UIM insurance denial lawyer not only boosts your chances of reversing the denial but also reduces the stress of handling insurance disputes, letting you concentrate on your recovery.

Are You Dealing with a Difficult Insurance Company?

If you recently had an insurance company deny your UIM claim, it’s possible that your claim was wrongfully denied. At the Lakewood personal injury law firm of Bathgate, Wegener, and Wolf P.C., we have been helping accident victims navigate the recovery process since 1970. Over the past five decades, we’ve connected countless clients with the compensation they need to get their lives back on track after a serious accident. We also offer free consultations, during which we will answer your questions, explain the law, and outline all your options, so you can make the best decision for you and your family. To learn more, and to schedule a free consultation today, call Bathgate, Wegener, and Wolf P.C. at 732-363-0666. You can also connect with us through our secure online contact form.