QuestionQUESTION: "Policy Effective: 11/30/2008
Policy Canceled (Insured Request): 2/11/2009
Date of Loss: 1/19/2009 (all coverage was active at this time)
Claim filed: 01/19/2009.
I was insured by the dealer when I bought my car from them.
I rented a car from AVIS 2/1/2009 since my car was taken for an oil change at the dealership. The rental was through the car dealer. I did not sign the CDW coverage with AVIS assuming that my insurance company will cover.
It suddenly snowed that day. I got into an accident when my car slid on small bridge and hit the guard rails.
I filed a claim with Country Wide Insurance NY. My insurer.
I was asked to send in all paperwork 4/15/2009. I sent them all the paperwork they asked EOD 4/15/2009. Yes, it took them this long to respond.
Even after multiple follow-ups with the adjuster/examiner by AVIS adjuster and me, the company has not taken any steps until today 7/11/2009. I have now received suit papers from AVIS attorney to pay the claim and other related late fees, attorney fees and interest etc.
The car was deemed a total loss and $10,500 was charged as the claim amount.
We faxed the suit papers and called the ADJUSTER & LITIGATION DEPARTMENT at Countrywide but they are so irresponsible about their response back to us. They keep telling that they're looking at the claim still. They will handle the suit etc but no definitive answer.
My date served is 6/30/2009 which leaves me until 8/4/2009 to act (35 days).
1. What should I do in such case where insurance company has not taken action on a claim for 7 months now.
2. Will they handle the suit.
3. What if they don't pay. What are my options then.
4. What precautions should I take?
5. They have not sent a letter of denial. Can I approach department of Insurance. This is NY state.
ANSWER: I would call the state dept of insurance and file a claim immediately. I believe their unresponsiveness is an unfair claim practice. I would also demand to speak to the supervisor at the insurer and demand immediate action. If you do not receive it, i would call this person or his/her boss every day until you do.
Do not be rude or demanding. Be persistent and polite. Explain your point of view. Do not raise your voice, as this will make the situation antagonistic and will get you nowhere. You want to be a persistent thorn in their side so they will want you to stop calling.
Hopefully the situation will resolve. If you end losing a lawsuit or owing money because they did not act, you should see a lwayer about filing a bad faith lawsuit against the insurer. Hopefully this will not be necessary.
---------- FOLLOW-UP ----------
QUESTION: Thank you very much!
The suit document has the claim amount incorrect i.e. did not consider the deductible that my credit card paid AVIS. Moreover there are no other specific amount mentioned other than Attorney fees, Interest, late Payment Penalty etc. No due date has also being mentioned.
Then document is such casual but being naive I don't know much about this. Can such incorrect document held valid ion court of law?
What response is necessary from my personal attorney if I have my own attorney? Will that help me buy time?
What will happen after complaining to NY department of Insurance?
AnswerDon't worry about the lawsuit compaint. The insurer should hire a lawyer to defend you in the lawsuit. You need to make sure this happens imemdiately and don't let up until they do this. You can explain the incorrect amount to the lawyer, who will file an answer to the suit and handle it.
Your personal attorney probably does not need to be involved unless the insurance company does not assign one to defend you.
The dept of insurance will investigate your complaint. If they believe the insurer acted improperly, they may be subject to penalties.
