Unfortunately, there are many valid reasons why a claim may be denied, especially when considering all types of insurance. Still, a few of the most common reasons claims are denied include:
- Failure to pay insurance premiums
- Late filing of insurance claims or documents
- Policy limits and exclusions
In addition to the reasons above, there are also common reasons associated with different types of insurance. For instance, with property insurance, you may be denied if your insurer argues the damage was your fault, you failed to prevent further damage, or the damage was not caused by a covered peril. For health insurance, your insurer may argue that your treatment was not medically necessary.
Keep in mind that some policies may also include limits on your legal options after a denial, such as forcing legal issues to be handled through mediation.
For more information on why your claim may have been denied and what to do next, you should get in touch with an insurance attorney.