How Long Does It Take an Insurance Company to Respond to an Accident Claim in California? (2024)

FAQs

How Long Does It Take an Insurance Company to Respond to an Accident Claim in California? ›

A claim representative should contact you within a reasonable period of time after you report the loss. However under certain circ*mstances, the insurance company can take up to 15 days to contact you. If you do not hear from anyone, call your agent or insurance company for assistance.

In California, an insurance company has 85 days to completely settle a claim after it has been filed. However, up until those 85 days, there are some ways that an insurer has to communicate with the injured victim and their attorney.

Understandably, injured auto accident victims want to know, How long does it take to settle a car accident in California? In general, car accident claims can take anywhere from three months to three years to settle with the negligent driver's insurance.

Generally, the insurance company has about 30 days to investigate your claim. Pro tip: Your state's statutes of limitations will also determine how much time you have to file and settle a claim. The statute of limitations for insurance claims varies by state, as well as by claim type.

After the insurance company receives your completed proof of claim forms and all the required supporting documents, it must decide on your claim within 40 days.

You'll also upload required documents, electronically sign the application and make your online payment. The entire process usually takes less than 20 minutes, and you can expect to hear back from Covered California within 24 hours.

Most policies do not provide a strict deadline or window of time (30 days, 60 days, etc.). Instead, you are usually required to make your claim "promptly" or "within a reasonable time." Some states (especially those that follow a no-fault car insurance system) have passed laws that specifically address this issue.

A: In California, the average car accident settlement amount is anywhere between $20,000 – $30,000, depending on the overall severity of the injuries sustained and any associated property damages, lost wages, etc. This is for more moderate cases in terms of their severity.

Generally, the statute of limitations for car accidents in California is two years. The only way to know for sure the best course of action for your particular case is to consult with an experienced personal injury lawyer. The Drexler Law Firm can evaluate your case and advise you when to file.

The length of time a case takes to settle a personal injury claim can vary significantly, simple cases where liability is admitted can be settled in around 12 months or so. Large, more complex, high-value cases can take longer to settle.

Why do insurance companies take so long to respond? ›

Investigating Submitted Claims

Investigating an accident can take considerable time. Insurance companies often have to do their own investigating when it comes to determining liability. This includes collecting information about a submitted claim, reviewing evidence, and other tasks.

Typically, insurance companies have 15 days to acknowledge receipt of the claim you submit. That does not mean they have to decide within that time frame. They then have 15 days to investigate the claim. They have 40 days to settle the claim from start to finish.

Insurers Do Not Need to Respond to Demand Letters

However, your attorney will be ready to take action against the company if they refuse to give your claim the attention it deserves. This might be by filing a civil lawsuit against the company if they continue to handle your claim in bad faith.

Inconsistencies and delayed claims can trigger alarm bells, leading the insurance company to closely scrutinize the legitimacy of your case.

Generally, insurance companies are required to pay a claim within a reasonable amount of time. Unfortunately, there is no exact definition of what constitutes a reasonable period of time. As you may have guessed, your idea of what's reasonable and the insurance company's idea could be very different.

(a) Deadlines shall not be imposed for the receipt of a claim from a professional provider who submits a claim on behalf of an insured or pursuant to a professional provider's contract with a health insurer that is less than 90 days for contracted providers and 180 days for noncontracted providers after the date of ...

Under California law (California Insurance Code section 10113.5), all life insurance policies delivered or issued in California must contain a provision that states the contestability period is no more than two years.

While two years is the general time limit to file car accident claims in California, some exceptions can shorten or extend the amount of time you must take legal action.