Detailed Answer
After a collision, insurers may delay or deny your claim to reduce their payouts. Vermont law gives policyholders tools to challenge these practices.
Review Your Policy and Vermont Statutes
Start by reading your auto insurance policy carefully. Note coverage limits, deductibles, and claim deadlines. Under Vermont’s Unfair Insurance Practices Act, insurers cannot engage in unreasonable delays or misrepresent your policy. See 8 V.S.A. § 4724 for prohibited claims practices.
Document Every Interaction
Keep a detailed file of all communications. Save emails, letters, call logs, and claim numbers. Document dates, times, and names of representatives. Clear records strengthen your position when you challenge delays or denials.
Submit a Formal Appeal
If the insurer denies or delays your claim, follow your policy’s appeal procedures. Send a written dispute letter via certified mail. State the reasons you believe the denial is incorrect and cite relevant policy language.
File a Complaint with the Department of Financial Regulation
If your appeal fails, file a consumer complaint with the Vermont Department of Financial Regulation (DFR). The DFR can investigate unfair claim practices. Visit dfr.vermont.gov for complaint forms and instructions.
Pursue Legal Action
If the insurer still refuses to pay, you can sue in Vermont Superior Court. Vermont law sets time limits for claims. You generally have two years for personal injury claims and three years for property damage from the accident. See 12 V.S.A. § 512 for statutes of limitations. Consult an attorney to confirm deadlines.
Disclaimer: This article provides general legal information and does not constitute legal advice. Consult a qualified attorney for guidance on your specific situation.