FastCounsel

Disclaimer: This article provides general information only and does not constitute legal advice.

Detailed Answer

After a collision, insurers sometimes stall or deny valid claims. Connecticut law prohibits unfair claim practices. Here is how to challenge those tactics:

1. Review Your Policy and Gather Evidence

Check your declarations page and coverage details. Document all communications with your insureremails, letters, recorded calls. Take photos of damage and obtain repair estimates or medical records if you suffered injuries.

2. Identify Unfair Practices Under Connecticut Law

Under Conn. Gen. Stat. 38a-321, insurers cannot:

• Fail to acknowledge communications within 15 days
• Unreasonably delay investigation or payment
• Misrepresent policy provisions
• Fail to disclose all benefits due under the policy

Read the full statute here: Conn. Gen. Stat. 38a-321.

3. Use the Prompt Payment of Claims Act

Conn. Gen. Stat. 38a-816 requires payment or denial of first-party claims within 60 days of proof of loss. After 60 days, the insurer must pay interest on overdue amounts. See: Conn. Gen. Stat. 38a-816.

4. Send a Demand Letter

Draft a clear demand letter outlining your claim, attaching evidence and referencing the statutes above. Request a response within a set deadline (e.g., 14 days). Sending the letter via certified mail creates a record.

5. File a Complaint with the Insurance Department

If the insurer still stalls, file a complaint with the Connecticut Insurance Department (CID). Provide all documentation and explain how the insurer violated state law. The CID can investigate and mediate disputes.

6. Consider Appraisal or Arbitration

Your policy may include an appraisal clause for property damage. An appraiser can assess the loss and force the insurer to accept the appraisal award. Arbitration can resolve coverage disputes faster than court.

7. Pursue a Lawsuit

If administrative steps fail, you can file a civil action in Connecticut Superior Court. You may recover the claim amount, interest, attorneys fees, and possibly punitive damages for bad faith. Consult an attorney promptly to meet filing deadlines.

Helpful Hints

• Keep a detailed log of dates, names and summaries of phone calls.
• Send all written communications via certified mail, return receipt requested.
• Familiarize yourself with your policys notice requirements to avoid technical denials.
• Use sample demand letter templates from reputable legal websites.
• Contact the CID before hiring an attorney to explore informal resolutions.
• Track the 60-day deadline under Conn. Gen. Stat. 38a-816 to claim interest.