Can I Sue My Car Insurance Company?

This is amazingly a more common question then one might think.  There are a few reasons one might chose to pursue suing their car insurance company, but the most common reason is that your insurance company is refusing to pay damages incurred in a car accident (possibly you had limited collision coverage).

So in a nut shell, here is the answer.  You can sue anybody you want in small claims court.  However there is no guarantee you would get the money you want and it may cost you more then you’d like to pay out.  It really depends on what kind of coverage you have.  If you have minimum coverage and you are at fault for the accident the car insurance company does not have to pay and it would absolutely not be worth it to sue them.  However if you have limited collision and you feel you were less than 50% at fault (even if the car insurance company thinks otherwise), it is your right to have it determined by a judge and jury.  If you want to sue for other reasons then the above stated, you would have to show enough reasons that the car insurance company was at fault or negligent.

Now if you decide that you are willing to sue the car insurance company, there are a couple of steps to take.

1. First call your insurance company and get the manager on the phone.  Make sure you get the person at the top of the chain.  If you have to leave them a message.  Let them know that you are fed up and the reasons why.  Tell them that you will be immediately filing a complaint with the Department of Insurance (DOI) for your State.
2. Second, call the DOI and file your complaint.  You can give the information over the phone.  DOI’s take complaints very seriously.  DOI companies will investigate a car insurance company if there are too many DOI complaints and possibly fine them.  Car insurance companies know this and therefore hate DOI complaints and will usually do what they need to in order to avoid them.

More than likely if you follow these two steps your problem will likely be solved without having to go to court.  However, if your problem is bigger and more serious than by all means take them to court.  Just make sure you are well informed on your rights and legal responsibilities.