Can I withdraw a recently opened claim..HOW?

My minor son was involved in a bike/motorcycle accident (my son was on bike)...Both parties were injured....Long story short-:

I opened a claim through my homeowners liability insurance to fight off what I perceived as the imminent legal wrangling.

It’s been only a few days and of course the ball is rolling-adjusters talking; witnesses called etc.- but now I feel I mistakenly panicked and should of not opened the claim...

Can I withdraw the claim/cancel this whole thing? Would I be penalized/slapped by my insurance company? Any advice would be greatly appreciated!

Thanks for your informative, helpful site!

Answer:

Hello

Well, this is interesting! Usually auto polices cover car accidents. This is not a car accident, so there is a chance that your homeowners insurance would protect you here. Is there a chance that your son’s was at fault?

If your son was at fault (at least partially) and there are injuries (you stated that they were), you might want to keep the claim open. It is about the only way to ensure coverage for a possible defense and settlement.

But your question is – Can you withdraw the whole thing?

Most likely not.

You have a duty to report losses, see: http://www.auto-insurance-claim-advice.com/Duty-to-Report-Losses.html (Homeowners also have this clause). Once you report a loss or a claim, the duty shifts to the carrier to investigate. It is on their shoulders to get to the bottom of things. Their failure to investigate could lead to bad faith.

In some instances, you can request to close a claim without payment, but the claim will still be on the insurance records (they cannot be deleted or withdrawn). The insurance company could close your claim if there is no way you (or your son) could be at fault, and you would rather pay your own damages out of pocket. If however fault is at issue (or medical bills), they will probably keep it open.

Will the insurance company slap you?

Well, you can see this site is gear towards consumer protection. In occasion, insurance companies take advantage of the situation. However, remember that you pay insurance for a reason. You are in a situation that was an accident and need the protection you pay for all along. You have a clear case and if there is no indication of fraud or misrepresentation, the insurance company will not raise your rates or “hurt” you in anyway.

We hope this helps some,

Good Luck
http://www.auto-insurance-claim-advice.com