How to Appeal a Denied Car Insurance Claim in Texas

A denied car insurance claim in Texas does not mean the end of your case. You have the right to appeal, which can be the difference between receiving compensation and shouldering the costs alone.

Steps to Appeal a Denied Claim

Appealing a denied car insurance claim requires persistence and careful documentation. Take the following steps to strengthen your case:

• Review the denial letter: Insurers must provide a written explanation. 
• Examine your policy: Compare the denial with your policy language to determine if the insurer’s reasoning is valid.
• Gather additional evidence: Obtain police reports, photographs, medical records, witness statements, or repair estimates that support your claim.
• Write an appeal letter: Submit a clear and professional letter challenging the denial. Include supporting documents and references to your policy provisions.
• Keep detailed records: Save copies of all correspondence and note the dates and times of conversations with the insurance company.
• Request an internal review: Ask the insurer to re-examine your case based on the evidence you provide.

If the insurer still refuses to reverse the denial, you can escalate the matter further.

Escalating Beyond the Insurance Company

When an internal appeal does not succeed, you have additional options in Texas:

File a Complaint with the Texas Department of Insurance (TDI)

The TDI investigates unfair claim practices and can require insurers to respond.

Seek Mediation

Mediation provides a neutral setting to resolve disputes without going to court.

File a Lawsuit

If the denial violates the law or your policy terms, you may sue the insurer for breach of contract or bad faith.

Why Car Insurance Claims Get Denied

Insurance companies commonly deny claims for the following reasons:

• Policy exclusions: The insurer claims the accident is not covered under your policy.
• Late reporting: The claim was not filed within the required timeframe.
• Disputed liability: The insurer argues that you caused the accident or share most of the fault.
• Insufficient evidence: Lack of supporting documents, police reports, or medical records.
• Lapsed coverage: The policy was not active at the time of the accident.

While some denials are legitimate, others are unfair or based on misinterpretation of policy terms.

Why Hiring a Lawyer is Critical

Dealing with a denied car insurance claim can feel overwhelming. An attorney can handle the entire process for you and it ensures you have someone on your side who understands Texas law and the tactics insurers use.

An attorney can:

• Review your policy: Identify errors or misinterpretations by the insurer.
• Collect strong evidence: Secure medical records, accident reports, and expert testimony.
• Handle communication: Prevent insurers from pressuring you into unfair settlements.
• Negotiate effectively: Push for the full value of your damages.
• File suit if needed: If the insurance company continues to act in bad faith, your lawyer can file a lawsuit for breach of contract or unfair claim handling under Texas law. In some cases, this can also lead to recovery of attorney’s fees and punitive damages.

Instead of struggling against a system designed to favor insurers, you gain an advocate who fights solely for your best interests. Reach out today to learn more during a free consultation.