Is it legal for GEICO to just dismiss a claim? Is there something we can do??

Question

My roommates were involved in a car accident about 2 weeks ago. The other party was responsible (or so the police report says). The other party has not given a statement to her insurance company as of yet. Is there anything she can do to make her give a statement so that GEICO doesnt just dismiss the claim? They told her that there is no time frame for the other party to give the statement and they said if it goes too long they will just dismiss the claim. this doesnt sound legal to me and I wanted to get other opinions.

Answer 1

Just let your insurance company handle everything.  You should trust them to know what they are doing.  Won't hurt to "bug" them a bit though

Answer 2

No insurance company will accept liability without a statement from their insured and you can't force someone to give a statement.  Too bad no police report.  If you involve an attorney, you'll end up paying him/her 33 1/3 % of your settlement.  Have your roommate go through her own insurance for repairs.  They'll subrogate (collect) from Geico.  If there are injuries, percentage or not.....hire an attorney!!

Answer 3

How do you know what they told her? Did the driver give you this information? I wouldn't trust that driver at all. In fact, you shouldn't talk to the driver anymore at all. Call her insurance company *(Geico) and tell them what happened. You will need to give the driver's name, address, policy number or license. Items you collected at the wreck and see what they need to get this claim started. I am positive Geico wouldn't have told her something like that. In fact, Geico probably doesn't need a statement with that police report. If the police report states that she was at fault, Geico will have no choice but to pay the claim. If you are not satisfied with Geico, you can call your insurance company and file the claim> You will have to pay your deductible. However, you will get that back when it is all said and done. You can even tell Geico that you are calling your insurance company if you aren't satisfied. Your insurance company will handle it promptly. If you don't have full coverage or don't want to call your insurance company and Geico isn't doing as required, call an attorney and have them review the case. That will be the last thing Geico wants, knowing you have a police report stating their driver is at fault.

Answer 4

Every insurance policy has a cooperation clause--if the policyholder doesn't cooperate with the company's investigation, the company has the right to disclaim coverage for the accident.  The insurance commission can't force GEICO to pay a claim, only demand that they explain why they haven't paid. GEICO might or might not get away with their explanation about the lack of a statement.

A few ideas:

1. Send GEICO  a copy of the police report. They may decide to pay.

2. Call up the other party and ask her to give GEICO a statement so you won't pursue her personally for the repair costs. (Hey, it's been known to work).

3. Last resort.  File a small claims suit against the other driver. Once she receives a lawsuit against her, it might dawn on her that it's worth a few minutes of her time to pick up the phone and return the calls from the adjuster at GEICO.

Answer 5

Every insurance policy has a clause in it that says you have to cooperate in the investigation of a claim. If you don't, then your insurance company can deny coverage.

If Geico denies coverage b/c their insured is not cooperating, then they should send your roommates a letter denying coverage. Then your roommates would file an Unisured Motorist claim against the insurance policy that covers the car they were riding in.

Once the insurance company settles the Uninsured Motorist coverage, they will take action against the at fault driver to get paid back.

I believe that NY is a PIP state. So your roommates (if hurt) would file against their Personal Injury Protection coverage (aka. PIP).  

As far as the car damage goes-- if your room mate has collision coverage- she can file under that to get her car fixed and her company will pursue the at fault driver for re-payment.

**not legal advice---this is just very very general information based on the limited information provided in the question. **

Answer 6

Insurance law is determined at the state level not the federal level so since you did not provide your state of residence it is difficult to answer.  I will tell you that every state has an insurance commissioner or similar office that oversees insurance compliance.  If you cannot remedy this situation call and file a claim.  I guarantee you will see the insurance company jump.  failure to do so will result in heavy fines or in extreme cases loss of the right to do business in a particular state.

Answer 7

This is perfectly legal. An insurer cannot force anyone to make a statement or file a claim. In the US everyone has a right to pay for damages without going through their insurer but you will likely have to sue the person in order to get it. Your best course of action is to file a claim with your own company and let them recover the costs involved from the other party. Warning: a lawyer will take 1/3 of your settlement no matter what happens so keep this in mind before you run out and hire one.

Answer 8

Call an attorney and get him or her to work for you.   The other party is responsible for your damages.  I does not matter if they have made a statement to their insurance company or not.   They are liable under law.   Again, call an attorney,  I guarantee you , they will get the ball rolling.