FastCounsel

If an insurer says it never received your letter of representation, act quickly. Confirm how the letter was sent, create or obtain verified proof of delivery, resend the notice using tracked methods, document every step, and preserve the client’s rights (including filing suit if a statute of limitations is approaching). If the insurer still denies receipt or refuses to cooperate, file a complaint with the Alabama Department of Insurance and consider court action to preserve the client’s claim.

Detailed answer — what to do, why it matters, and how Alabama law fits in

Start from the assumption that insurers may treat a denial of receipt as a substantive problem: they can refuse to discuss the claim, fail to mark their file correctly, or later argue prejudice if deadlines were missed. Your goal is twofold: (1) create reliable proof that you notified the insurer and (2) protect the client’s legal rights while you sort out the communication gap.

1) Immediately verify the transmission and collect proof

• Check how the letter was sent originally (first-class mail, certified mail, courier, fax, email, portal upload) and gather any contemporaneous receipts or delivery records (USPS tracking, Certified Mail receipt, FedEx/UPS tracking, fax transmission report, email server sent items).
• If you used your office email, save the sent message, delivery/read receipts, and any server logs. If you used a third-party claims portal, save confirmation screenshots and portal timestamps.
• If you have a signed retainer or signed client authorization to discuss the file (HIPAA release/medical authorization if needed), have those ready to re-send as proof of authority to represent the claimant.

2) Re-send the letter using multiple verifiable channels

Resend the representation letter and retainer/authorization immediately by at least two different reliable methods. Typical practice:

1. Certified mail with return receipt requested (USPS Certified Mail) or equivalent that gives a tracking number and evidence of delivery/signature.
2. Commercial carrier with signature confirmation (FedEx/UPS).
3. Send by email to the insurer’s designated claim adjuster and the employer claims inbox. Ask for and request an explicit written acknowledgment of receipt. Save the sent emails and any auto-replies.
4. If the insurer accepts faxes, send via fax and preserve the fax transmission report showing date, time and number of pages transmitted.

On each re-sent communication, include a clear subject line and body that identifies the claim number, insured name, date of loss, and request for written acknowledgment of receipt within a short deadline (for example, five business days).

3) Provide all supporting documentation and a signed authorization

Include a copy of the signed retainer, a signed authorization to speak with the insurer about the claim, and any necessary HIPAA authorizations (if medical records are required). That reduces the insurer’s excuse that it could not discuss the claim due to lack of authorization.

4) Document everything and create a contemporaneous log

Keep a centralized claim file (electronic and/or paper) that logs each communication attempt with dates, times, method, recipient name, and outcome. Attach copies/screenshots of tracking receipts, sent emails, fax confirmation pages, and the returned receipt once it arrives.

5) If coverage, deadlines, or litigation timing are at risk, protect the client’s rights—don’t wait

If any deadline is looming (statute of limitations, notice requirement, short-window subrogation or re-opening periods), consider filing a protective complaint in court before the deadline expires. Filing suit preserves the client’s claim even if coverage arguments continue. In court cases already pending, ensure you file a notice of appearance or substitution of counsel with the court and serve all parties and the insurer per the Alabama Rules of Civil Procedure.

6) If the insurer continues to deny receipt or otherwise mishandles the claim

• Send a demand for confirmation of receipt and an explanation for why they have no record. Attach proof of your attempts.
• Ask for escalation to a supervisor or to the insurer’s legal department.
• File a consumer complaint with the Alabama Department of Insurance. The Department handles bad-faith or unfair claim-handling complaints and can investigate carrier practices. See the Alabama Department of Insurance at https://www.aldoi.gov/.

7) Consider remedies available under Alabama law

Alabama regulates insurance companies and has enforcement authority to address unfair claim practices through the Alabama Department of Insurance and related statutes governing insurance conduct. If the insurer’s refusal to accept or act on a valid representation letter results in a denial of coverage or prejudice to the claimant, you may have administrative or civil remedies. For state law and the insurance code, consult the Alabama Code and the Alabama Department of Insurance: https://www.legislature.state.al.us/aliswww/ACODE/ and https://www.aldoi.gov/.

8) When to consider counsel action in court

If the insurer’s conduct threatens the client’s ability to pursue the claim (for example, loss of evidence, missed filing deadlines, or refusal to honor coverage decisions), you may need to:

• File suit to protect the client’s rights before limitations run;
• Move the court for relief (e.g., order compelling insurer cooperation, sanctions if procedural rules were violated); and
• Pursue bad-faith or breach-of-contract claims if the carrier’s conduct meets the legal standards for those causes of action and you have proof of prejudice.

Practical example (hypothetical)

Imagine a client injured in an auto crash. You sent a standard letter of representation by regular mail only. The insurer later says it never received the letter and conducted settlement talks without involving you. To fix this, you gather your office’s mail logs and the copy of the original letter, re-send certified mail with return receipt, email the adjuster and claim file address (with read receipt), file a brief notice of appearance in any pending litigation, and, because the statute of limitations is six months away, file a protective complaint to preserve the client’s claim while the communication dispute is resolved. If the insurer’s actions caused a missed settlement opportunity, you document those facts and consider administrative or civil remedies.

Helpful hints

• Always use a method that provides proof of delivery for important notices (certified mail, courier, or tracked electronic transmission).
• When sending letters of representation, include a completed client authorization so the carrier cannot refuse discussion on grounds of lack of authorization.
• Send representation letters to both the adjuster and the insurer’s general claims/coverage email or fax line to ensure they appear in the insurer’s claim file.
• Ask the insurer for written acknowledgment of receipt and save that correspondence in the claim file.
• If the insurer’s denial of receipt impacts the claim timeline, act immediately to preserve deadlines — filing a protective complaint can be inexpensive insurance against lost rights.
• If you suspect intentional obstruction or repeated failures to accept representation letters, contact the Alabama Department of Insurance to report the conduct: https://www.aldoi.gov/.
• Keep the client informed and get written instructions if you plan to file suit to preserve the claim.
• Maintain a single chronological communications log; judges and regulators rely heavily on contemporaneous documentation.