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& Flager Counties

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Understanding your Insurance Policy

Can an Insurance company pay for one type of coverage and then deny another type on the same policy?

If you are in an accident, you may or may not need an attorney. What you desperately need is information about your rights. The third district court of appeals recently published a decision that explains how it is perfectly fine for an insurance carrier to pay for one type of damage under a policy and deny another type of coverage on the same policy.

If you are in a car accident and your car is damaged and you are injured, there are multiple types of coverage under an individual automobile insurance policy that could potentially provide coverage. Each of these coverages has a seperate premium which you can plainly see on your dec page. Property damage will pay for the damage to the vehicle involved in the accident. PIP will pay for a percentage of medical bills and lost wages. Bodily Injury or BI will pay for the damage that the at-fault driver caused others involved in the accident.

Insurance carriers can pay for the damage to the vehicle and then turn around and deny that coverage exists at all for the injured persons in the accident. Many of my clients are surprised by this tactic. They assume that if an insurance company pays for the property damage to the vehicle then they will atleast provide some type of coverage for the injured drivers in the same accident. This assumption is wrong.
The Court has said that each seperate coverage in a policy is divisable and simply because one coverage is accepted and paid for doesnt mean that the insurance company must accept coverage on the other portions of the policy.

If you are involved in a car accident, please don’t be lulled into thinking that the insurance company has your best interest in mind simply because they pay to have your car fixed. You need to be informed and on guard in order to recieve just compensation. Always keep in mind that the insurance company usually has their own bottom line in mind rather than your best interests.


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