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When there is an automobile accident. Any arising medical claims are covered under Personal Injury Protection for the policy holder and under Bodily Injury for the other person involved. There are many factors to the question...Who is At Fault, who has the medical bills, what the State Laws should contact your insurance agent for more information.


Most states have enacted a version of the Fair Claims Settlement Practices Act which addresses this issue. It is one of the "model acts" created by the National Association of Insurance Commissioners. State legislatures can choose to enact such model acts with or without modification.

In all events, if a state enacted a form of it , it would be a part of that state's Insurance Code. The laws pertain primarily to how an insurer deals with its own insured.

The settlement practices that are addressed in these laws pertain, among other things, to:

1. The time in which an insurer has to notify an insured that a claim is being investigated;

2. The reason why a claim is being questioned/investigated;

3. The responsibility of an insurer to settle a claim within a stated period of time when its liability becomes reasonably clear.

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โˆ™ 2011-04-08 01:09:35
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Q: Are there laws that regulate how insurance companies settle claims?
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