Auto Insurance Claims: Auto Accident, american arbitration association, applicable provisions

Question
Hi,

I vehicle I owned was in an auto accident, I was out of the country for a year and was unaware of the accident until I returned. At that time I filed a claim with my insurance company. The insurance company denied the claim because I did not file  in a timely manner. I have proof I was outside the country and had no knowledge of the accident. The insurance company still will not pay out the claim. I'm now being sued by the second party and need some advice. Thank you.

Answer
Edward,

You'd have to read your insurance policy to see what the applicable provisions say.  Each policy is different.  However, there should be a mechanism for you to challenge a denial.

Typically it's an arbitration proceeding.  In NY it's a fairly easy process for you to fill out an application for arbitration and pay the fee to schedule an arbitration where the issue of coverage will be determined.  Most policies in NY specify the American Arbitration Association (AAA) and charge $250 fee.

You should also read the section regarding giving them notice of an accident.  It might state "within ___ hours from when you find out" or should have found out.

You could also check with your state insurance board on regulations regarding this situation.

Best of Luck.