Can an Insurance Claim Be Reopened?
Several factors determine whether or not an insurance claim can be reopened. In some circumstances, you may not be eligible to reopen an insurance claim once it has been settled by your insurance company. On the other hand, most states have policyholder-friendly laws that usually allow you to reopen an insurance claim after settlement or if you were not fully compensated. There are certain situations where an insurance company may be more likely to reopen a claim.
For example, if the original claim was closed due to a lack of evidence and new evidence has now surfaced, the insurance company may be more willing to reopen the claim. Additionally, if a policyholder has solid reasons to believe that the original claim was closed due to fraud or misrepresentation, he or she may be able to request that the claim be reopened.
It is common for insurance companies to misjudge the magnitude of losses in an insurance claim, leading to a claim evaluation that is less valuable than what should be paid to policyholders. If such is ever the case, know that there's help available. At The Voss Law Firm, our experienced attorneys will give you all the support you need till you get every settlement you deserve. Reach out to us today at 1-888-614-7730 for a free consultation.
Why Might You Need To Reopen An Insurance Claim That Has Been Closed?
1. Undervalued Settlement
Reopening your claim could help you collect the money you deserve if you were not fully compensated at the initial filing. If you believe that the initial settlement offer was insufficient to cover the damages or losses, the claim may need to be reopened in order to request a higher settlement. Policyholders frequently discover the true extent of the damage or injuries to their home or vehicle weeks, months, or years after receiving their initial payment. Because of the disparity between the payment and the actual amount of accident damages covered, many policyholders may be forced to pay out of pocket for something their insurance company should have covered.
The best way to prevent having to use your own money to make up for losses that you didn't see or notice right away is to reopen the exact claim.
2. Additional Damages
If new damages or losses have occurred after the original claim was closed, the policyholder may need to reopen the claim to include these additional damages in the settlement.
3. New Evidence
If new evidence or information becomes available that was not previously considered during the original claim process, the policyholder may need to reopen the claim to include this new evidence in the investigation.
4. The Losses You've Suffered
A significant part of your injury claim is confirming that your full range of damages is well represented, including those that have long-term implications. If this is not the case, it makes sense to quickly reopen the claim and have it resolved before it's too late.
How To Get Your Claim Reopened As Quickly As Possible
To reopen an insurance claim, you should first contact your insurance company directly. The best way to do this is to call the customer service number provided on your insurance policy or the company's website.
Before you call, it's a good idea to gather any new information or documentation related to the claim that you want to present to the insurance company. This can include any medical bills, receipts, or other relevant documents that weren't included in the original claim. When you call, explain to the customer service representative that you would like to reopen the claim and provide the reason why. It's also important to be as specific as possible about what has changed or what new information you have that would justify reopening the claim.
For example, if you were involved in a car accident and filed a car insurance claim, if there was a technical problem in the settlement agreement, you could mention it.
Additionally, if you suffered a personal injury and filed a personal injury claim and the settlement wasn't enough, include it when filing for a reopening. The insurance company will then review your request to reopen the claim. If the claim can be reopened, they will typically ask for any additional documentation or information that is necessary to process the claim. If the request is denied, the insurance company will explain why.
It's crucial to note that the ability to reopen a claim can vary depending on the type of insurance policy you have and the circumstances of the original claim. For example, some types of policies may have a time limit for reopening a claim, while others may not.
As already mentioned, there are certain situations when an insurance company can allow claims to be reopened, such as, if new information comes to light that was not available at the time the original claim was filed. However, in cases where all agreements have been signed and you still never got your payment even after weeks of following up, that means your insurer is acting in bad faith.
What Constitutes A Bad Faith Claim?
A bad faith claim is a claim made against an insurance company for failing to act in good faith when handling a policyholder's claim. This can include a variety of actions or inactions on the part of the insurance company, such as:
• Failing to investigate or properly evaluate a claim
• Delaying payment of a claim without good reason
• Denying a claim without a valid reason.
• Offering an unreasonably low settlement.
• Failing to communicate with the policyholder in a timely or clear manner.
• Attempting to settle a claim for less than the policy limits.
• Misrepresenting the policy's coverage or the policyholder's rights under the policy.
It's important to note that bad faith claims can vary depending on the jurisdiction and the type of insurance policy in question. Each state has its own laws and regulations that govern bad faith claims, and these laws can vary widely. Furthermore, some types of insurance policies, such as liability insurance, may have specific requirements for handling claims that differ from other types of policies. It's also worth mentioning that bad faith claims can only be brought by policyholders and not by third parties who may have been affected by the insurance company's actions. In order to prove bad faith, the policyholder must demonstrate that the insurance company had knowledge of its obligations and intentionally failed to fulfill them.
When To Contact Our Texas-Based Attorneys
Note that many insurance companies are not happy when policyholders try to reopen a claim that has already been closed. They'll try to frustrate you so you don't get the extra benefit you deserve. But don't let that happen. If you feel your insurance company is unfairly delaying the reopening of your claim, quickly reach out to our experienced insurance claim attorneys at the Voss Law Firm and we'll stick up for you till you get all the compensation you deserve. Call 1-888-614-7730 today for a free consultation.