My Insurance Claim Was Denied After a Car Accident. Now What?
Being involved in a car accident is already stressful enough — between property damage, injuries, and lost time from work, it can feel like your entire world has been turned upside down. But the situation becomes even more frustrating and disheartening when you discover your insurance claim is denied after a car accident in Illinois. Unfortunately, this scenario is more common than most people realize.
Whether you were the driver, a passenger, or even a pedestrian injured in the crash, a denied insurance claim can delay your recovery and put your financial stability at risk. However, a denial is not the final word. With the right knowledge, legal support, and persistence, many denials can be overturned or successfully challenged under Illinois law.
At Glisson Law, we’ve helped countless Illinois residents fight back when their car accident insurance claims were wrongly denied. This comprehensive guide explains why denials happen, what legal rights you have, and how to build a strong case to recover the compensation you deserve.
Why Was My Insurance Claim Denied After a Car Accident in Illinois?
Insurance companies often try to justify claim denials with what sound like legitimate reasons. But make no mistake: many denials are simply tactics used to reduce payouts and protect profits.
Here are some of the most common reasons your insurance claim is denied in an Illinois car accident case:
1. Disputed Fault or Liability
Illinois follows a modified comparative negligence rule. If you are found to be 50% or more at fault, you are barred from recovering damages. Insurers may try to exaggerate your level of responsibility to avoid paying. They may also blame you for things like failing to signal, speeding, or not wearing a seatbelt — even if the other driver was clearly at fault.
2. Lack of Medical Documentation
Without proper records linking your injuries to the accident, insurers may claim your injuries were minor, unrelated, or pre-existing. Even legitimate injuries can be denied if you delay seeking treatment or fail to follow up with prescribed care.
3. Policy Lapses or Exclusions
If you are filing a third-party claim against another driver, their insurance may have lapsed, or it may contain exclusions that eliminate coverage for the type of crash involved. In these cases, your only recourse may be your own uninsured/underinsured motorist (UM/UIM) coverage.
4. Failure to Provide Timely Information
If you miss deadlines, fail to respond to requests, or submit incomplete paperwork, the insurer might claim you “failed to cooperate” — a common justification for denial.
5. Damages Exceed Policy Limits
Even if the insurance company agrees to pay, they may only offer up to the maximum limit of the policy. This often leaves crash victims with unpaid medical bills, lost wages, and other out-of-pocket expenses.
Understand the Denial — Read the Insurance Company’s Letter Carefully
When your insurance claim is denied after a car or truck accident in Illinois, the first thing you should do is closely examine the denial letter. Illinois law requires insurance companies to clearly explain their reasons for denying a claim. That letter may cite specific clauses from the policy or make vague statements like “lack of evidence” or “coverage not applicable.”
Here’s what to look for:
- Exact policy language cited
- Timeline of the insurer’s investigation
- Missing documentation or deadlines
- Blame placed on you or another party
If the explanation is unclear, you have the right to request a detailed justification in writing for why insurance claim is denied. Your attorney can help interpret the legal jargon and identify weaknesses or inconsistencies in the insurer’s reasoning.
Contact an Experienced Illinois Car Accident Lawyer Immediately
A denied claim can easily become a legal battle. Don’t try to go it alone. When your auto insurance claim is denied in Illinois, working with a skilled personal injury attorney gives you a huge advantage.
At Glisson Law, we will:
- Review the denial letter and insurance policy
- Investigate the crash independently
- Identify violations of Illinois insurance law
- Communicate directly with the insurance company on your behalf
- Build a case for why your claim should be approved and fully compensated
Insurers have lawyers working full-time to protect their interests. You deserve someone in your corner doing the same.
Gather Comprehensive Evidence to Strengthen Your Claim
Overturning an insurance denial often comes down to evidence — clear, organized, and compelling documentation that proves liability, injury, and damages.
Your lawyer will help you compile and analyze:
- Police Report: Includes officer observations, citations, and crash diagrams.
- Medical Records: ER notes, diagnostic imaging, treatment plans, and prognosis.
- Photos/Videos: Crash scene, vehicle damage, injuries, weather conditions.
- Eyewitness Testimony: Independent accounts that confirm your version of events.
- Property Damage Estimates: From certified auto body repair shops.
- Cell Phone Records: To disprove distracted driving accusations.
- Dash Cam or Security Footage: Captures the crash in real-time.
- Lost Wages Documentation: Employer letters and pay stubs to prove income loss.
- Pain and Suffering Diary: Daily record of pain levels, emotional distress, and life changes.
This level of evidence can make it very difficult for insurers to continue denying your car accident claim in Illinois.
Request the At-Fault Driver’s Policy Information
If you’re filing a third-party claim against the other driver’s insurance, and your claim has been denied, you have the right under Illinois Insurance Code Section 143.24b to formally request their policy limits in writing.
This allows you to:
- Verify that the insurance coverage was valid on the date of the accident
- Determine how much compensation is available
- Confirm that your claim falls within the scope of coverage
Your attorney can file this request on your behalf and ensure the insurance company complies with Illinois regulations.
Draft and Submit a Powerful Demand Letter
One of the most effective ways to reopen a denied claim is by submitting a professionally drafted demand letter. This document outlines the legal basis for your claim and presents undeniable evidence supporting it.
A demand letter should include:
- A detailed description of the accident and how it occurred
- A breakdown of injuries, treatment, and prognosis
- An itemized list of damages (medical bills, lost wages, pain and suffering)
- A specific dollar amount you are demanding
- A firm deadline (usually 14–30 days) for a response
- A clear statement that legal action will be taken if ignored
When this letter comes from Glisson Law, it signals to the insurance company that you are prepared to escalate — and that you have legal firepower behind you.
Consider Mediation or Alternative Dispute Resolution (ADR)
If your car insurance claim is denied in Illinois, but both sides are still willing to negotiate, you may benefit from mediation. This is a form of alternative dispute resolution (ADR) where a neutral third party helps both sides reach a voluntary agreement.
Benefits of mediation include:
- Faster than a lawsuit
- Less expensive than court
- Often successful in breaking negotiation deadlocks
ADR is not always suitable — especially when insurers act in bad faith — but it can be a useful step before litigation.
File a Personal Injury Lawsuit in Illinois
If the insurer refuses to reverse its decision, you may have no choice but to file a lawsuit. Taking legal action after your insurance claim was denied following a car accident in Illinois can lead to a favorable settlement or, if necessary, a court verdict.
Litigation allows for:
- Pretrial Discovery: You can demand internal documents from the insurance company and depose their adjusters.
- Expert Testimony: Doctors, crash analysts, and vocational experts can support your case.
- Public Accountability: Some insurers prefer to settle quietly rather than face court scrutiny.
While most lawsuits are resolved through settlement, your willingness to file one — with an experienced trial attorney — shows the insurance company you mean business.
Finalize a Legal Settlement Agreement
When an agreement is reached, your lawyer will negotiate the precise language of the settlement contract. This document is legally binding and outlines the exact terms — including the amount paid, deadlines for payment, and a release of further liability.
A well-written settlement agreement protects your rights and ensures you’re not left with lingering bills or future surprises.
Watch for Signs of Bad Faith Insurance Practices
Sometimes, a denial isn’t just unfair — it’s illegal. Insurers in Illinois are legally obligated to handle claims in good faith. If your insurance claim is denied for dishonest or deceptive reasons, you may be eligible to file a bad faith insurance lawsuit.
Bad faith may include:
- Refusing to investigate your claim
- Misrepresenting the policy language
- Denying valid claims without justification
- Unreasonable delays in communication or payment
If Glisson Law can prove bad faith, you may be entitled to additional compensation, including punitive damages.
Don’t Let a Denied Insurance Claim in Illinois Derail Your Recovery
A denied insurance claim after a car accident in Illinois can leave you feeling powerless — but you’re far from it. Illinois law gives you tools, protections, and options to fight back and demand the justice you deserve.
At Glisson Law, we’ve been representing personal injury victims in Illinois for over 60 years. Our team knows the tactics insurance companies use — and we know how to beat them. If you’ve received a claim denial letter, we can help you take the next steps toward recovery.