MI Supreme Court Case Stresses The Importance Of Filing Car Insurance Claims Quickly

It is important for drivers and accident victims to understand that they need to file their car insurance claims as soon as possible. Most car insurance policies have stipulations which state how long a person has to file a claim. If a person exceeds this filing deadline then their car insurance related claim may be denied.
This is what happened when a man who is named William DeFrain was involved in a hit and run accident. He suffered head injuries on May 31, 2008 but failed to notify his auto insurance company about the incident taking place until August 25^th of that year. He wanted to file a claim under his uninsured motorist’s coverage but his insurance policy contract stated that he had to file a claim within 30 days of the accident.
DeFrain failed to comply with this requirement so his car insurance company denied his insurance claim. However, he eventually passed away from the injuries he had in November of 2008. His estate decided that they would file a lawsuit against his car insurance company after his death.
The case has gone before the Michigan Supreme Court. The executors stated that DeFrain could not have notified his insurance company about the accident because he was too injured to do so. Brain injury victims often have a hard time handling their affairs after an accident has taken place. This is why it is crucial for friends or family members to notify the insurance company of what has happened so that the claims process can begin.
In this situation, it took more than 90 days for the initial car insurance claim to be filed. It far exceeds the guidelines in the contract. The judge in the case stated that uninsured motorist coverage is not mandatory in a no fault state such as Michigan. The coverage that DeFrain had was optional and the victim had the responsibility to notify their insurance company or have someone do it on his behalf.
Insurance companies have the right under the contract to be able to deny a policy holder’s claim even if they were incapacitated at the time when they deadline should have been met. The court ruled in favor of the car insurance company because they acted within the parameters of the contract. It is very unfortunate when something like this happens especially to a victim who then passed away from his injuries. Drivers need to make sure to read the fine print in their car insurance policies for this very reason alone.