What Happens If Someone Files A Claim But You Dont Response Insurance Claim?

What Happens If Someone Files A Claim But You Dont Response Insurance Claim?

Most of us have Insurance right because it is always helpful to us during any emergency. But still, there are some circumstances in which you want to avoid making any responses to the third-party claim. But you need accurate information about what to do in such cases.

Thus, this article is specially meant for those people who don’t want to respond to the third party’s claim; not only that, but here we will also mention the basic information about the insurance claim, along with its merits and demerits, etc.

So, let’s start the discussion of our article by knowing the actual meaning of insurance claims.

What is Insurance Claim?

A very straightforward meaning of an Insurance claim is a kind of formal request procedure that you make to your insurance company at the time when you need financial support in case of any damages or loss that happens to any of your property, vehicle, or even for any injuries that occur to you.

We already know that there are various Insurance claims, and it depends upon the policy you have taken. For instance, some have a home insurance policy, auto insurance policy, Health insurance policy, life insurance, and much more. Hence, based on the policy you buy, you get the claim according to the procedure.

Advantages and Disadvantages of Insurance Claim:

Advantages:

  • The insurance claim is always there when someone needs financial support.
  • It also imparts protection against your liabilities.
  • Insurance Claim will also be helpful to you in case of any replacement damages or costs.

Disadvantages:

An insurance claim is also having some of its drawbacks too, such as;

  • The major drawback of an insurance claim is some situations when your insurance firm rejects your entire Insurance claim.
  • The monthly insurance claim premium rate is high, specifically if someone has taken an insurance policy for business purposes.

What Happens if you do not Response to Insurance Claim?

Firstly, when someone is making an insurance claim against you, you must revert them as soon as possible because it is an entirely legal process that both parties must follow.

But there are still a few people who still need to give a response to the other party. So, in that case, firstly, your insurance company will try to connect with you a few times, and if you are still avoiding or ignoring their calls, they might take some legal action against you.

So it is crucial to respond to the claims made against you, whether in fault or not, because if you ever avoid such cases, it will only trouble you.

Let’s see what next steps the insurance company will take against you if you constantly avoid or ignore their calls.

Steps Taken by Insurance Company Against You:

Following are the steps that your insurance firm takes against you if you need to respond correctly to the claim made against you.

  • Firstly, they will send you the bill for all the expenses that happen to third-party vehicles or property because of you; and gives you a specific time limit to pay for it. And, if the damages are significant, you may have to pay the total expenses depending on the loss and damages that the third party is suffering.
  • Now, if you are not paying any expenses, then the next step of the insurance company is to hire one of the collection agents, who can collect the claimed amount from the side of the third party or insurance company. 
  • The last step the company can take against you is they may file a suit against you in court; after waiting for a response, you must give a reply; if you still ignore it, then the law may put some penalty charges on you.

Now, what if you want to give responses to the claim? Where do you go, and what other things do you need to do? The next topic will help you if you are stuck in such a situation.

What to do, If you Finally decide to Give a Response to a Claim?

Now, whenever you decide to make a response against the claim that was made against you, then at that time, it is not a good idea to contact the other insurance company because it will creates your case more complicated. It is ultimately your fault that you have not responded to the Insurance firm.

In this case, you might get help from an experienced attorney firm, who can help you make your side clear by adding the reason why you are not able to respond to the claim made against you and also teach some of the legal procedures to you too, so that can be helpful at the time of the final appealing case.

Final Words:

Avoiding an Insurance claim made against you is one of the most significant mistakes anyone can make, so this article is specifically written for those who are making such a mistake. So here we have shared ways by which you can respond again to the insurance claim and can also take the help of some experienced lawyers.

Hopefully, you guys are getting all the essential information from this article. And stay connected with us to learn more about insurance claims and finance-related issues from our website. 

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