The Difference Between An Insurance Claim And A Lawsuit After You've Been Injured In A Car Wreck
There is a difference between an insurance claim and a lawsuit is important and one that both you and your attorney must understand. If you have been injured in a car accident, your attorney must provide notice to potential insurers of the accident. In providing notice to insurers, your attorney will obtain a claim number. That claim number is essentially the reference number for your case to be used in correspondence with the insurer.
Providing notice of a claim is an essential part of obtaining insurance coverage for a car accident injury.
The establishment of the claim and providing notice of the claim to potential insurers satisfies the contractual obligation of notice of a claim that every insurance policy (that we are aware of) requires.
Filing a lawsuit within the statute of limitations is essential to pursuing a recovery when the insurance company will not settle the car accident claim.
Providing notice of a car accident claim to potential insurers is undoubtedly critical. However, establishment of the claim with an insurance company is not sufficient to protect the claim. In order to move forward with the claim in court if the insurance company is unwilling to settle the claim, a lawsuit alleging your injuries and damages caused by the car accident must be filed within the statute of limitations.
What happens if notice of a claim is not timely given to an insurer of a car accident?
If an insurer is not timely notified of a car accident injury and claim, the insurance can file what is called a declaratory judgment action. In the declaratory judgment action, the insurance company may ask the court to rule that the insurer is not responsible for the injuries caused by the accident.
What happens if a lawsuit is not timely filed after a car accident?
If a lawsuit is not timely filed after a car accident, the case is barred by the statute of limitations. Generally, the statute of limitations for personal injuries arising from a car accident is 2 years from the date of the accident.