What happens when my insurance doesnt reply to a settlement in the alotted time period?

Question

My attorney gave my insurance company 30 days to respond to our offer. We asked them to settle for the maximum of $30,000 per person (we were hit by a drunk with no insurance so my uninsured motorist coverage covers $30,000/person) On May 9th they sent a letter to my insurance company asking for the maximum. As of last thrusday they had not responded back yet and their deadline was yesterday. i will know tomrrow if they responded or not. What if they dont? My attorney said it will knock the cap off and we would be allowed to get more.... how does this work and what are the chances of getting more? has this ever happened to anyone or has anyone ever heard of this? My lawyer said he had a case like this last year and they were supposed to settle for $25,000 but ended up getting almost a million!

Answer 1

Your lawyer is full of sh*t. If your insurer made you an offer they do NOT have to respond to any demand by some sleeze-ball lawyer. He is thinking this will go into a bad faith situation but don't hold your breath.

Answer 2

Most likely insurance will not allow that to happen. Insurance also has lawyers so your's isn't the only one playing. I wouldn't start spending money and I'd also remember that by hiring a lawyer you have cut the $30,000 available down by having to pay the lawyer out.

Answer 3

Lawnboy is 100% correct.  insurance companies will NEVER pay more than your policy limits.  You pay for those limits and thats all you're gonna get.  thats WHY there are limits!

Answer 4

If you are filing an uninsured claim, you will not get more than your policy limit.  Where do you think the money would come from?   Don't expect to receive more than your policy limits.  It is possible that the insurance company may be acting in bad faith.  It does not sound like it though.  If this is the case depending on what state you live in, you may have a claim against them.  

The insurance adjuster will contact the attorney as soon as he/she evaluates the claim.  It could be that your attorney did not provide all of the needed supporting documentation, and they had to request the info again or from your providers.  

If the matter cannot be resolved, your attorney will have to file UM arbitration.

Answer 5

All lawyers play games.  Just let your lawyer handle the entire matter.  If he is competent, he will do what is best for you.  If he isn't,  fire him.