Detailed Answer

If your insurance company refuses to update you or threatens to close your claim, act promptly. Maryland law prohibits unfair claim settlement practices, and you have several practical and legal options to protect your rights. This article explains steps you can take, what the law provides, and when to seek outside help. This is not legal advice.

1. Understand your policy and the insurer’s obligations

Read your insurance policy carefully. The policy defines what the insurer must do, what you must provide, and the timelines for notice, investigation, and payment. In addition to the contract, Maryland law prohibits unfair claims practices. See Maryland Insurance Article §27-303 for the general prohibition on unfair settlement practices: https://mgaleg.maryland.gov/mgawebsite/Laws/StatuteText?article=ins&section=27-303. If the insurer is being evasive or threatening closure without a proper explanation, that conduct may violate state rules and can be reported.

2. Immediate practical steps (do these first)

• Document everything. Keep a log of all calls (date, time, person you spoke with, what was said). Save emails, letters, and photographs.
• Send a written status request. Send a short certified letter or email to your claims adjuster and the insurer’s claims department asking for a written status update and the reason for any threatened closure. Request a reasonable time to provide outstanding information, if any.
• Provide requested information promptly. If the insurer identifies missing documents or evidence, submit them quickly and keep proof of delivery.
• Ask for a written explanation. If the insurer threatens to close the claim, ask them to state in writing their basis for closure and what (if anything) you can do to keep the claim open.

3. If the insurer threatens to close your claim

• Ask the insurer to put the closure on hold while you gather information. Request a specific deadline extension in writing.
• If the insurer says the claim will be closed for lack of cooperation, confirm in writing what documents or actions they need and respond within the deadline.
• Do not assume ‘‘closed’’ means you lose all rights. In many cases you can reopen a claim if you act promptly and show a good reason for any delay.

4. File a complaint with the Maryland Insurance Administration (MIA)

If the insurer fails to respond, gives inconsistent reasons, or appears to be engaging in unfair practices, file a complaint with the Maryland Insurance Administration. The MIA reviews consumer complaints about claims handling and can help mediate disputes or investigate unlawful conduct. File a complaint online or by mail: https://insurance.maryland.gov/Consumer/Pages/Complaints.aspx.

5. Consider legal remedies

Under Maryland law, insureds may have remedies for breach of contract or unfair claims handling. If the insurer has acted in bad faith or unlawfully delayed or denied a claim, you may have grounds for a civil action. Discussing your situation with an attorney will help you understand whether you have a lawsuit, and whether a demand letter, mediation, or litigation is appropriate. You can also explore small claims court for limited monetary disputes—see Maryland Courts self-help resources: https://www.mdcourts.gov/selfhelp.

6. When to hire an attorney

• Hire an attorney if the insurer refuses to pay a valid claim, threatens to close without justification, or if the claim involves significant money, complex coverage issues, or suspected bad faith.
• An attorney can prepare a demand letter, represent you in settlement talks, file a lawsuit, and preserve time-sensitive rights.

7. Sample short written status request

Use a short, clear message. Example you can adapt and send by certified mail or email:

‘I am writing regarding claim number [your claim number]. Please provide a written update on the status of this claim and the specific basis for any threatened closure. If additional documents are required from me, please list them and provide a deadline. Please confirm receipt of this letter within five business days.’ Keep a copy and proof of delivery.

Helpful Hints

• Keep all communications professional and factual. Avoid emotional or accusatory language.
• Make notes during phone calls and follow up with a confirming email that summarizes what was said.
• Use certified mail or email with read receipts for important correspondence.
• Request the name, title, and contact information of every company representative you speak with.
• If the insurer cites a policy provision, ask them to point to the exact policy language and provide a copy if needed.
• File an MIA complaint early if the insurer becomes uncooperative. The MIA can sometimes secure faster answers than litigation.
• Do not miss policy deadlines. Many policies require prompt notice and cooperation; missing deadlines can jeopardize coverage.

Disclaimer: I am not a lawyer. This information is general and educational and does not constitute legal advice. For advice about your specific situation, contact a licensed Maryland attorney.