How to dispute a false insurance claim – Insurance fraud happens to be a never-ending problem across the country, and people keep filing millions of auto insurance claims each day. However, not all are legitimate. When you entangle yourself in another person’s fraud attempt, you will face a very severe punishment.
False insurance claims are attempts at insurance fraud, a crime punishable by over a year in prison in the U.S. It’s best to check if the false claim placed on you was a deliberate act. If the person who filed the claim intended to illegally obtain money from the insurance company, then it’s insurance fraud.
How to dispute a false insurance claim
Here are the proactive steps to dispute any false insurance claim when you suspect that the other driver is trying to make a false claim against you. It can occur by making their injuries seem worse than they are and placing the accident blame on you. Also, when it was completely their fault, or involving you in an accident you have little or no knowledge of. These are the steps to take:
Where to report insurance fraud
When it comes to disputing a false insurance claim, the process varies based on whether you have car insurance.
If you have car insurance, your insurance adjuster will handle the matter and investigate all accidents to ensure the truth is revealed. When every detail of the accident is given to your insurer, you then need not worry about the fraudulent claim witnessed the next day. Because they’ll be trapped in the hole they dug for you.
For those without car insurance, if another driver is claiming you, you’ll need to defend yourself to be able to dispute the fraudulent claim. Working with an attorney is a plus, as your attorney can ensure you follow the due process and don’t overlook any steps that can plead you guilty.
To dispute the false claim, follow these steps with the help of your attorney.
Write down the accident details
Write down the whole details of the accident, from the location, date, and the individuals involved. Also, record whatever was said by you or the other parties after the incident, and the number of injuries reported at the time of the crash.
Do some online sleuthing
Your attorney will evaluate the driver’s social media profile to gather evidence of their fraudulent claim. This is by presenting their injuries as worsening. For example, let’s say the drivers are claiming to have broken their leg in the accident, but after you properly examine their profile, you figure out that they’re still working their labor-intensive jobs or going about their lives.
Hire an investigator
If social media profiles are insufficient, hiring a private investigator can provide additional evidence that the other driver is exaggerating the severity of the injuries. But it’s best to check with your attorney if this is a smart move for your case.
Can your insurance defend you on your behalf?
If the case is a personal injury lawsuit filed by the other drivers, then your insurance company will defend you by providing legal counsel. But this defense duty may not be applicable in cases like:
- If the insurance company didn’t get a heads-up concerning the accident within their time frame
- You have exceeded your limit under your policy.
As long as you don’t fall under these two categories, then your insurance company will help you defend against a personal injury lawsuit—especially if you are not found guilty of the claims placed on you.
Can you sue the other party?
Yes, when you dispute the other party’s fraudulent insurance claim. You can then sue them for the stress and financial losses caused by their fraudulent act by filing a personal injury lawsuit against them, which means you’re suing them for punitive damages, which are the punishment for the other party’s malice, fraud, or oppression. If they don’t have many assets, your lawsuit against them may not be successful, because the damages would come from their bank account.
It’s advised you talk to your attorney about whether suing for insurance fraud will make sense, or you carry out basic research on the other party’s background to know if seeing them will be successful or not.
How much compensation can you secure?
Your financial losses could be recovered from the fraudulent accident if the personal injury lawsuit you file is successful. The compensation will cover the damages to your vehicles, the times you went off work, and the legal fees. Non-economic expenses like emotional distress or anguish; can be help calculated by your attorney.
Working with an attorney to dispute a false insurance claim
If you discover someone has submitted a false insurance claim against you, it is highly recommended to seek legal representation. Hiring an attorney ensures that the case is being handled strategically from a legal perspective and won’t make any mistakes that would hurt your case and make you plead guilty.
Those without car insurance, or those whose insurance company might likely decide not to defend because they were not alerted of the claim in time or didn’t have valid insurance coverage during the time of the accident, should have an attorney on their side, which can be very helpful for them. Your attorney can:
- Your attorney assists in gathering evidence to counteract the false claim made by the other party. This is by presenting their injuries as worsening.
- Your attorney stands in as your defendant in the court during the personal injury lawsuit.
- Helps in recovering the damages lost during the fraudulent act
- Your attorney appeals to the insurance company’s decision not to defend you after the accident.
These are the steps taken by your attorney to help you dispute a false claim against you. By understanding this, you’d make the right decision when a false insurance claim is filed against you.
FAQs
How do I argue an insurance claim?
- Know the reason why your claim was denied.
- Contact your insurance provider
- Contact your doctor’s office
- Gather the entire right document
- Submit an internal appeal
- Wait for a positive response
- Submit an external review
- Check out your plan coverage
What is a claim dispute?
It’s when you and your insurer have a disagreement over medical bills, damage, home repairs, what needs to be done, how much it costs, and whether all parts of your claim are covered.
How do you prove a claim?
To prove a claim, you need to support evidence to back it up. The evidence can be in the form of research, data quotes, or textual evidence.