Auto Insurance Denies Full Loss of Use Claim
I was involved in a minor collision in Georgia last October, where I was not at fault. I filed a claim with the at-fault driver’s insurance, and before scheduling my repairs, the adjuster told me I could either receive reimbursement for a comparable rental car while my vehicle was in the shop or opt for a loss of use claim at a specified daily rate.
I dropped my car off at the body shop in early December after getting an initial repair estimate approved by the insurance company. To avoid complications with rental reimbursement, I organized my own alternative transportation.
While repairing my vehicle, the body shop discovered additional damage and secured supplements to cover the extra repairs. Ultimately, my car was in the shop for nearly 50 days.
When I filed my loss of use claim, the adjuster only offered to pay for 13 days of lost use, citing that this was the figure on their repair estimate. However, I’ve received no documentation indicating a 13-day timeframe from them or the body shop, which actually documented nearly 50 days of repairs. The shop only provided a breakdown of the parts and billable hours, without specifying a duration for the repairs.
I requested to see their full policy regarding loss of use claims, but I haven’t received a response yet. It appears that the insurance might be able to reimburse for more than just 13 days.
Am I entitled to be reimbursed for the actual duration I was without my vehicle instead of relying on their arbitrary estimate? (Assuming their reimbursement policy covers more than 13 days.)
It sounds like you’re in a frustrating situation, and you certainly deserve clarity regarding your loss of use claim. Generally, insurance companies are supposed to compensate you for the actual loss of use you experienced due to the repairs on your vehicle, particularly when they are found at fault.
Since your vehicle was in the shop for almost 50 days, you should indeed be eligible for compensation that reflects the entire period of time you did not have access to your vehicle, assuming it falls within the policy limits. If the adjuster is only offering payment for 13 days based on their initial repair estimates, this may not accurately represent the reality of your situation, especially since the body shop approved additional repairs that extended the timeframe.
It would be beneficial to:
Request Documentation: Continue pressing the insurance company for a copy of their full policy and any relevant documentation that outlines their guidelines for loss of use claims. This should include how they determine the number of days they will cover for such claims.
Speak to a Supervisor: If you haven’t received satisfactory responses from the adjuster, consider escalating the matter to a supervisor or a claims manager within the insurance company.
Document Everything: Keep detailed records of all communications you’ve had with both the adjuster and the body shop regarding the repairs and the duration.
Consider Filing a Complaint: If the insurance company’s response remains unsatisfactory, you might explore filing a complaint with your state’s department of insurance or seeking legal counsel for further advice.
It’s always a good idea to understand your rights as a policyholder, particularly regarding loss of use claims, as insurance companies are typically required to act in good faith. Good luck, and I hope you receive the compensation you’re entitled to!