Can You Sue Your Own Car Insurance Company?
Does the idea of suing your own car insurance company sound unreal? Can this even happen? If you consider the validity of certain cases, then the answer to these questions is a definite yes. Many car insurance companies are responsible for unfair practices by sales representatives, delayed payments, and other issues. Before you consider taking action against your own car insurance company, it is important to know what types of insurance claims can be sued for.
If your car insurance company does not honor the contract and fails to pay for any covered losses, then you have a valid reason to consider filing a lawsuit in court. If you have suffered any additional cases of harm due to the findings of the insurance company like a damaged vehicle, then the insurance company can be held liable in a court of law. You can also sue if the insurance recognizes the damage but refuses to pay the amount in full.
In the event that your car insurance company acts in bad faith, then you can sue them. This term refers to when an insurance company does not accept or pay legitimate claims or denies an initial claim without any reasonable explanation. If you experience any of the above scenarios and can prove it, then you have a valid case against the insurance company.
You also have the option of filing a class action lawsuit against your car insurance company. A class action lawsuit requires multiple people to sue a company, such as a group of policyholders suing the same car insurance company together.
The Lawsuit Filing Process
Suing your car insurance company is an expensive and lengthy process that might take years to complete. First, you need to contact an experienced attorney who specializes in personal injury law and can legally represent you in a court of law. The lawyer may then guide you on how to file a lawsuit against your car insurance company.
Your lawyer will need to have proof and evidence of all the circumstances occurring before your case goes to court. This includes not only existing documents such as insurance policy information and statements from the car insurance company, but also any other relevant evidence. After preparing the necessary documents, your attorney can file the lawsuit with a court, and the insurance company will have a chance to respond.
During the court proceedings, your legal team will need to demonstrate that your car insurance company acted in bad faith or in a negligent manner. If the court rules in your favor, then the car insurance company may have to pay damages and legal fees or even be ordered to provide coverage in the future.
Alternatives To Suing Your Car Insurance Company
Filing a lawsuit against your own car insurance company should always be a last resort option since it is an expensive process. Before you decide to proceed to court, there are alternatives such as filing a complaint with your state’s insurance commissioner or registering a complaint with the National Association of Insurance Commissioners (NAIC).
Both state insurance commissioners and the NAIC can investigate the complaint and intervene if they find that the insurance company has acted unfairly. However, in certain cases, these organizations may not be able to solve the problem, and you may end up needing to file a lawsuit.
Conclusion
As mentioned, suing your own car insurance company is possible, but it is an expensive and lengthy process. Therefore, it is important to understand the situations in which you can sue the insurance company and what alternatives are available for resolving a dispute.
