Reviewed by the AtozInsuranceusa editorial team.
If the at fault driver’s insurance denies your claim, that insurer will not pay all or part of your loss. The denial does not, by itself, clear the driver of fault or end your right to seek payment. Ask why in writing. Send proof. Check if your own plan can pay. You may also have a case against the driver.
First, find out why the claim team said no. It may dispute who caused the crash. It may agree on fault but say the plan did not cover the crash. Or it may dispute just the repair or care costs.
State laws differ. This guide is general information, not legal advice.
Take these steps first:
- Ask for the reason in writing.
- Save photos, video, witness names, bills, and claim emails.
- Tell your own claim team about the crash and the dispute soon.
- Ask which parts of your plan could pay now.
- Check court deadlines before you spend months in a dispute.
A claim against another driver’s insurer is a third party claim. A claim under your own policy is a first party claim. The Texas insurance guide explains that certain prompt payment rules for your own insurer do not apply to the other driver’s company.
Why Would the Other Driver’s Insurer Deny Your Claim?
The claim team must still check fault, the plan, and the loss. Ask the claim handler why the claim was denied.
| Reason given | What it may mean | Useful next step |
| Its driver was not at fault | The insurer disputes your account | Send video, witness details, and a clear crash timeline |
| You share fault | It assigns some blame to you | Ask what evidence supports that finding |
| No valid coverage | The policy may have lapsed or an exclusion may apply | Request the precise coverage reason and notify your insurer |
| Damage is unrelated | It disputes whether this crash caused the loss | Send dated photos and a repair shop’s findings |
| More proof is needed | The claim may still be under review | Ask what is missing and when it will review the file |
| Limits are too low | Available insurance may not cover the whole loss | Check your own coverage and other liable parties |
What If the Insurer Disputes Fault?
What the claim team says is not a court ruling. A police report can help support your account, but do not assume it settles a civil fault dispute.
Use proof that shows why the claim team is wrong. If the adjuster says you changed lanes, video showing both cars before impact may help more than ten close shots of a broken bumper.
Ask for proof of your share of fault. State rules differ on how shared fault affects payment. Some cut what you can get; strict rules in other states may bar your claim. Do not apply a percentage rule from another state to your case.
What If the Driver Was Not Covered?
Fault and coverage are separate questions. A driver could cause a crash while having no applicable liability coverage. An insurer may cite a lapse, an excluded driver, or a use of the car that the policy excludes.
Ask for a clear reason. A vague statement such as “coverage issue” gives you little to work with. Ask if the review is done. Which plan term or fact led to the denial?
Do not assume a denied claim makes the driver uninsured for purposes of your own policy. Your own claim team must check that point under your plan and state law.
What If Only Part of the Claim Is Rejected?
A repair dispute is not always a full denial. The insurer may accept a bumper repair but reject old damage. It may accept liability while disputing rental costs or part of a medical bill.
Ask for a list of each charge the claim team will and will not pay. Then match your proof to each charge in dispute. If limits are the problem, review what happens when a claim exceeds insurance limits.
What Should You Do After Getting the Denial?
1. Get a Clear Written Explanation
Ask for the claim number, the adjuster’s name, and the reason for refusing payment. If the denial concerns coverage, request the relevant policy language or an explanation of the exclusion.
Use plain questions:
- Are you denying fault, coverage, the amount, or all three?
- Which facts did you rely on?
- What evidence would change your decision?
- Can a supervisor review the file?
- Is any part of my claim still open?
Keep a note of each call. Then send an email with what you heard. See our guide on what to say to an insurance adjuster for help keeping the discussion factual.
2. Build a Clear File With Your Proof
Start with the denial letter and crash report. Add scene photos, vehicle damage photos, witness contact details, and repair estimates. If you were hurt, keep care records and proof of lost pay in their own folder.
Save the full, uncut video files. Ask nearby shops or property owners promptly whether they have footage. Their systems may erase it before the dispute ends.
Name each file by date and topic. Add a short list of what is in the folder. Make the proof easy to find.
The California accident guide describes the role of photos, witnesses, reports, and other records in a claim review.
3. Request a Review That Answers the Denial
Do not just send the same demand in a harsh tone. Show what is wrong. Send proof.
For example, suppose the insurer says its driver had a green light. A nearby store’s video shows the light was red. Your review request should point to the exact moment in that video.
A brief request could read:
Please review the claim [number]. Your letter dated [date] says [reason]. The attached [record or video] shows [specific fact]. Please review this evidence and explain in writing whether it changes your decision. Please also identify any further records you need.
This is a sample, not legal advice. Keep a copy and proof that it was sent.
Can Your Own Car Insurance Pay Instead?
Yes, if your plan covered the loss at the time of the crash. You need not always wait for the other claim team to agree on fault. Ask your own team for help now.
| Your coverage | What it may help pay | Key limit to check |
| Collision | Repair or replacement of your car after a covered crash | Deductible, exclusions, and vehicle value |
| Uninsured motorist coverage | Eligible losses involving an uninsured driver | State rules and the policy’s definition of uninsured |
| Underinsured motorist coverage | Eligible losses beyond the other driver’s available limits | Limits, offsets, and settlement conditions |
| Personal injury protection | Eligible medical costs and certain other losses | State rules, benefits, and filing duties |
| Medical payments coverage | Eligible medical costs | Benefit limit and policy terms |
| Rental reimbursement | Eligible rental costs during a covered loss | Daily limit and maximum duration |
Check the list of benefits on your policy’s first page. Ask your claim team which part can help. A new plan will not pay for a crash that took place before it began.
How Does Collision Coverage Help?
Collision can help pay to fix your car while the fault dispute goes on. Your claim team must still check the plan and the damage.
Here is a made up case. Your covered repair cost is $4,800, and your collision deductible is $500. With no other adjustments, your insurer pays $4,300. You cover the $500 share.
That payment does not promise a later deductible refund. Ask whether your insurer plans to seek payment from the responsible party and how it handles your share of any recovery.
Will You Get Your Deductible Back?
Your claim team may seek to get its money back from the driver at fault or that driver’s plan. This process is called subrogation.
It may try to get your share back too. A refund is not assured.
Tell your claim team before you take money or sign a release from the other side. You could affect its right to recover what it paid. Progressive’s subrogation guide explains this process and why it may take months or longer.
Does a Denial Trigger Uninsured Motorist Coverage?
Not just due to the denial. No valid plan and a dispute over fault are two distinct issues.
Send the denial to your own insurer and ask whether your uninsured motorist coverage applies. You may still need to prove that the other driver was at fault under the law. Vehicle damage benefits also differ from injury benefits and may not be available in all states.
The NAIC reports that 15.4% of U.S. motorists were uninsured in 2023, citing the Insurance Research Council. That statistic measures uninsured drivers, not denied claims or your chance of winning a dispute.
Progressive’s uninsured motorist guide explains the distinction between injury and property damage protection.
Who Pays If You Only Have Liability Coverage?
Your own liability coverage generally pays for harm you cause to others. It does not pay to fix your car just because another driver hit it.
If you lack applicable collision or uninsured motorist property damage coverage, you may need to fund repairs while seeking payment from the responsible party. Review whether liability insurance covers your car when someone hits you before assuming your policy will cover the bill.
Ask the shop for its price in writing before you approve work. List which repairs make the car safe and which just fix its looks. If you cannot pay your share or the repair bill, ask about a payment plan before work starts. Do not drive a car that may be unsafe.
What About Medical Bills, Rental Cars, and Storage Fees?
Keep costs for your health apart from costs for your car. Ask your insurer about PIP or medical payments benefits. If you have health coverage, ask the plan how to submit crash related bills and whether it may seek reimbursement from a later settlement.
Do not put off care you need while you wait for a fault ruling. Keep bills, visit records, and notes about missed work. These records help show what you claim.
For a rental, ask who will pay, how much per day, and for how long. A denied liability claim leaves no assurance that the other insurer will reimburse your rental bill.
Storage fees can grow while a damaged car sits at a tow yard. Ask if you can move it to a safe, cheaper lot. Take photos first. Keep the receipts.
Can You Sue the At Fault Driver After a Denial?
You may still have a claim against the person at fault for the crash. A claim denial does not wipe out what that person might owe you.
The proper defendant may be the driver, a vehicle owner, an employer, or another party, depending on the facts and state law. Do not assume you can sue the other driver’s insurer directly. Direct claims against insurers have separate legal rules.
For a modest property damage dispute, ask your local court whether a small claims court fits. Check the dollar limit, filing fee, service rules, and deadline. Winning a judgment also does not guarantee collection if the defendant lacks funds or reachable assets.
Seek a lawyer’s advice for serious injuries, disputed coverage, multiple responsible parties, or an approaching deadline. Ask about fees and costs before you hire a lawyer. The discussion in suing someone who hit your car without insurance can help frame questions if no valid coverage exists.
When Should You Contact Your State Insurance Department?
Consider a complaint if the insurer gives no clear reason, ignores evidence, or fails to respond as required. Send the denial, a short list of key dates, your proof, and what you want done.
A regulator can review claim handling and potential rule violations. It generally does not act as your lawyer or decide a disputed crash case in place of a court.
A complaint does not, on its own, pause a court deadline. Check that date too. Use the NAIC directory of state insurance departments to find the correct office.
What Mistakes Can Make the Dispute Harder?
Avoid these errors while the claim remains open:
- Waiting for the other insurer before notifying your own company.
- Guessing about speed, distance, or facts you do not know.
- Sending cut video or cropped photos without keeping the full file.
- Letting storage or rental bills grow without checking costs.
- Treating a review request as an extension of a legal deadline.
- Signing a release without understanding which claims it closes.
Read any release with care. A final payment could end the rights you still need. Take care if you still need help for your injuries.
Frequently Asked Questions
Can an Insurer Deny My Claim If Its Driver Admits Fault?
Yes. The claim team can check the proof and the plan even if its driver said sorry or took the blame. Save the statement, but also gather photos, witnesses, and other proof. Ask whether the denial concerns fault or a separate coverage issue.
What If the Other Driver Will Not Answer Their Insurer?
Ask whether the claim is delayed or formally denied. Send records that let the team check the facts on its own. Lack of contact can slow a claim. What it means in law depends on the plan and your state. Notify your own insurer about the delay.
Do I Have to Pay the Other Driver’s Deductible?
You generally do not pay the other driver’s liability deductible when their insurer settles your claim. If you use your own collision coverage, your own deductible usually applies.
How Long Do I Have to Challenge a Denial?
There is no one deadline for all states. Claim notice duties, lawsuit deadlines, and special rules may differ. Ask about each deadline that applies to your case. Do not assume talks with an adjuster or a state complaint extend your time to sue.
Can I Receive Payment From Both Insurance Companies?
Two plans may pay for distinct parts of a loss. You cannot get paid twice for the same damage. Tell each payer about other payments, and check reimbursement duties before accepting a settlement or signing a release.
Does a Denied Claim Prove Insurance Bad Faith?
No. A claim denial does not prove bad faith. The facts, claim handling, and state law matter. Your rights can change based on whose plan the claim is under. Ask a local lawyer if you think the team broke the law.
What Is the Best Next Step?
Get the denial in writing, match your evidence to its stated reason, and check your own coverage. Keep costs under control while you protect legal deadlines. A licensed insurance professional can explain policy benefits; a lawyer can assess legal rights. AtozInsuranceusa encourages you to make that next decision with the denial letter and policy in hand.
