What Are My Options if Car Insurance Denies Accident Damages?
Understanding Your Rights When Insurance Denies Your Car Damage Claim in Texas
Experiencing a car accident is stressful enough without the added frustration of your insurance company refusing to cover the damages. If you’re in Texas and find yourself thinking, “My insurance company won’t cover my car damage,” it’s crucial to understand your rights and the steps you can take to challenge the denial.
At The Adley Law Firm, based in Houston and serving clients throughout Texas, we specialize in helping individuals navigate these complex situations. We offer free consultations, are bilingual, and work on a contingency fee basis—you only pay if we win your case. Don’t let an insurance denial add to your burdens; contact us today to explore your options.
Why Insurance Companies Deny Car Damage Claims
Insurance companies may deny car damage claims for various reasons, some legitimate and others questionable. Common reasons include:
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Policy Exclusions: Your policy may not cover certain types of damage, such as wear and tear or mechanical failures.
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Late Reporting: Failing to report the accident within the timeframe specified in your policy can lead to a denial.
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Disputes Over Fault: If the insurer believes you were at fault, they may deny your claim, especially if liability is contested.
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Insufficient Coverage: If you only carry liability insurance, damages to your own vehicle may not be covered.
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Allegations of Fraud: If the insurer suspects fraudulent activity, they may deny the claim pending investigation.
Understanding the specific reason for your claim’s denial is the first step toward fighting it.
Common Tactics Insurance Companies Use to Deny or Minimize Claims
Insurance companies are profit-driven businesses. Unfortunately, this can lead to tactics that aim to limit what they pay out:
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Delaying the Claims Process: Repeated requests for additional paperwork or slow responses can be a strategy to wear you down.
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Offering a Quick but Low Settlement: You may be pressured to accept a lowball or fast payment that doesn’t come close to covering your losses.
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Blaming You for the Accident: Even when fault is unclear or shared, insurers may argue you’re 100% responsible to avoid payment.
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Denying Based on Technicalities: Insurers may cite obscure policy language or alleged procedural errors to avoid coverage.
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Misinterpreting Texas Insurance Code: Some carriers may claim a denial is “within their rights,” even when Texas law says otherwise.
If you’re facing any of these issues, legal support can make all the difference.
Know Your Legal Rights Under Texas Law
Texas law protects policyholders against unfair insurance practices. Under the Texas Insurance Code §541, it’s illegal for insurance companies to engage in deceptive or unfair claims settlement practices. That includes:
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Misrepresenting the terms of a policy
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Failing to promptly and fairly investigate claims
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Denying claims without a reasonable basis
You also have rights under the Texas Deceptive Trade Practices Act (DTPA). These laws allow consumers to sue insurers that act in bad faith or violate your rights as a policyholder.
If your insurer acted in bad faith, you could be entitled to more than just the cost of repairs—you may also recover damages for delay, legal fees, and potentially punitive damages.
What You Can Do if Your Insurance Company Won’t Pay
If your insurance company has denied or undervalued your claim, here’s what you can do:
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Request a Written Explanation: Demand a clear reason for the denial in writing.
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Review Your Policy: Compare the denial reason against your actual policy terms. Look for relevant coverage you’ve paid for, such as collision or comprehensive.
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Gather Evidence: Collect repair estimates, photos of the vehicle damage, the police report, and all communication with the insurance company.
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File a Complaint: Submit a formal complaint to the Texas Department of Insurance (TDI), which regulates how insurers operate in the state.
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Contact a Texas Car Accident Attorney: If your claim was unfairly denied or delayed, an experienced attorney can help you negotiate with the insurer or file a lawsuit, if necessary.
We’re Here to Help—Get a Free Case Review Today
If your insurance company won’t cover your car damage after an accident, don’t accept their decision without speaking to an experienced attorney. At The Adley Law Firm, we’ve helped countless clients across Texas stand up to insurance companies and recover the compensation they’re rightfully owed.
We serve clients in Houston and across the state. Our legal team is ready to listen, investigate, and fight back—starting with a 100% free consultation. And because we work on a contingency fee basis, you won’t pay anything unless we win your case.
Call The Adley Law Firm at (713) 999-8669 or contact us online today. Let us help you take the next step toward justice and recovery.
