Steps to Protect Your Client When an Insurer Says It Never Received a Letter of Representation

Short answer: Act quickly, rebuild and document delivery of the representation notice, demand that the insurer stop communicating directly with your client, preserve deadlines, and escalate to the Connecticut Insurance Department if the insurer refuses to honor the representation. Keep precise records of every contact.

Detailed answer

When an insurer claims it never received a letter of representation, the key goals are to (1) prove you sent the notice, (2) ensure the insurer stops communicating with the insured client, (3) preserve the client’s claims and rights, and (4) create a clear record that supports later disputes or a regulatory complaint. Below is a step-by-step approach tailored for Connecticut situations.

1. Confirm the basics

• Double-check the claim number, named insured, and adjuster contact information on the insurer’s website or on any prior correspondence.
• Make sure you sent the letter to an address or an email address the insurer officially accepts for claim communications (the claims or legal department address, or the adjuster’s company email).

2. Recreate and resend the representation

Send a fresh, clear Notice/Letter of Representation that includes:

• Client’s full name and claim number.
• Date of the underlying incident and brief description of the claim.
• Statement that you represent the insured (or claimant) and instructing the insurer to direct all communications to you.
• A request that the insurer confirm in writing that it will direct future communications to counsel.

Use delivery methods that produce reliable proof of receipt:

• Certified mail with return receipt (USPS Certified Mail, return receipt requested).
• Courier service with tracking and signature confirmation (e.g., FedEx, UPS).
• Fax with the sending confirmation page showing a successful transmission (include timestamp and recipient fax number).
• Business e-mail to an address used by the insurer (adjuster or claims inbox) and request a read receipt. Keep the sent message and server headers. If possible, send via a law firm domain and request acknowledgement.

3. Create and preserve a communication log

Maintain a running log that records:

• Dates and times of phone calls, who you spoke with, and summaries of the conversations.
• Copies of letters, emails, faxes, and tracking information.
• Any returned mail or “undeliverable” notifications.

4. Demand the insurer stop direct contact with your client

If the insurer had previously been contacting your client, resend a clear request that the insurer immediately cease direct communications with the client and direct all future communications to counsel. Cite any firm or client authority for this request. If the insurer continues to communicate directly with the client after proper notice, that is a strong factual basis for a regulatory complaint and potential court action.

5. Protect deadlines and preserve rights

Don’t assume the insurer’s denial of receipt relieves you of statute-of-limitations or policy notice deadlines. If the claim has time-sensitive filing deadlines (lawsuit filing dates, administrative deadlines, or policy notice timeframes), take conservative steps to preserve those rights—this can include filing suit or requesting tolling agreements if necessary. Act early to avoid losing rights through missed deadlines.

6. Escalate inside the insurer and document the refusal

If the adjuster claims nonreceipt after you have proof, escalate within the company:

• Send the notice to the adjuster’s supervisor and the insurer’s legal or claim office.
• Request written acknowledgment of the representation and an explanation for the communication breakdown.
• Ask that any communications already sent to the client be provided to you in writing (copies of the communications).

7. File a complaint with the Connecticut Insurance Department if necessary

If the insurer continues to refuse to recognize the representation, or if it appears the insurer is engaging in unfair claim handling, you can file a complaint with the Connecticut Insurance Department (CID). The CID handles consumer complaints about insurer practices and can investigate potential violations of Connecticut insurance laws and regulations. For complaint guidance and forms, see the CID’s consumer pages: How to File a Complaint (Connecticut Insurance Department).

8. Consider further legal remedies

If the insurer’s refusal to accept representation causes prejudice to your client (for example, by interfering with settlement negotiations or causing a missed deadline), you may have legal recourse. Possible approaches include seeking a court order enforcing the representation, pursuing sanctions, or including the insurer’s conduct in litigation or a bad-faith claim. Before pursuing these options, evaluate the facts carefully and consult additional legal guidance as needed.

Connecticut law and insurer duties

Connecticut law regulates unfair insurance practices and requires insurers to handle claims in good faith. Unfair claim settlement practices are actionable under Connecticut law. See Conn. Gen. Stat. §38a-816 on standards for unfair claim settlement practices and related provisions enforced by the Connecticut Insurance Department: Conn. Gen. Stat. §38a-816 (Unfair claim settlement practices). For practical consumer and complaint procedures, use the Connecticut Insurance Department resources linked above.

Helpful hints

• Always send the initial letter of representation using at least one method that produces a delivery receipt.
• Label the envelope and subject lines clearly with the claim number, insured’s name, and the words “Letter of Representation.”
• If you send by email, attach a PDF of the signed paper letter as well as your retainer agreement and a signed authorization to release information.
• Keep a client-signed authorization that permits the insurer to speak with you about the claim; many insurers will not accept representation without such authorization.
• If the insurer professes nonreceipt but later produces communications sent to the client, preserve those documents and add them to your file; they can demonstrate prejudice or improper contact.
• When in doubt about deadlines, take protective measures (e.g., filing suit or asking for extensions) rather than waiting for the insurer to resolve the receipt issue.
• Consider using certified mail or overnight courier as your standard for important claim notices—this avoids later credibility disputes about delivery.
• Document every escalation step inside the insurer (supervisor name, dates, and responses) so you can show you tried to resolve the problem before filing a complaint.

Disclaimer: This article explains general principles under Connecticut law and is for informational purposes only. It does not constitute legal advice and does not create an attorney-client relationship. For advice about a specific situation, consult a licensed Connecticut attorney.