Many insurance laws exist for the protection of victims who are injured in accidents caused by negligent motorists. There is a source of funds for them to recoup their losses. However, there is another law to note that is for your own protection in a traffic crash. There is a type of insurance coverage called Personal Injury Protection (PIP). You might recall documentation about this policy when you purchased auto insurance. Under rules established by the Maryland Insurance Administration, notice must be given about PIP and your right to opt out.
If you decide to go with PIP as an add-on to your insurance policy, you may file a claim with your own insurer to recover losses as an injured victim. You do not need to prove that the other driver was at fault to obtain amounts for your damages. Still, some insurance companies will deny first-party claims, at times under circumstances suggesting bad faith. It is critical to speak to a Baltimore County car accident attorney about your options, but there are some steps to take if your PIP claim is denied.
Review Communications from the Insurer
When you are injured and seek compensation under your PIP policy, you are in the position of a victim and an insured. You have a first-party contractual relationship with your insurer. So the company is obligated to perform its duties to pay valid claims – as long as you pay your premiums.
If the insurance company denies your claim, there could be bad faith involved. The insurer must provide exact reasons for the denial. This is the key to uncovering possible misconduct in a bad-faith insurance situation. Carefully review the notice from your insurance company.
Note Relevant Dates and Deadlines
As you analyze the insurer’s allegations on why your claim is denied, pay close attention to any deadlines that are listed in the notice. You can rely on your legal counsel to address the denial. But you do need to act within the time limitations noted by the insurance company.
Know Your Rights Under PIP Claims
If your PIP claim is approved, the insurance company will pay up to the policy limit that you arranged in your contract. You do not need to prove fault to obtain these amounts for medical costs and lost wages. But you cannot recover for pain and suffering.
Still, if the other driver was at fault in the car accident, you can file a claim through that driver’s insurer. You will need evidence proving the other motorist’s negligence under the circumstances because you are filing a third-party claim instead of PIP.
Consult with a Baltimore County Car Accident Lawyer for Assistance
Though you may generally understand your rights under PIP claims, it is still crucial to get help from an experienced lawyer. To learn more about first-party insurance claims and bad faith insurance practices, please contact Attorney Michael A. Freedman at 410.363.6848 or visit our website. We can set up a free consultation at our offices in Owings Mills or Glen Burnie, MD.
