What Happens if the Insurance Company Denies My Maryland Car Accident Claim?

 Posted on April 02, 2026 in Car Accidents

A car accident is already stressful for many reasons. Among them is the inevitable insurance process that follows. Adjusters are known to protect the insurer’s bottom line over the claimant, and that often means that they deny claims, even valid ones. Finding out the insurance company has denied your claim makes an already difficult situation feel like a dead end. 

If you’re facing a combative insurer while seeking compensation in 2026, Serafini Law can help. Our Gaithersburg, MD car accident attorney will investigate the incident, speak to the insurance provider on your behalf, and help you build a strong claim.

Why Do Insurance Companies Deny Car Accident Claims in Maryland?

Insurance companies deny claims for a wide variety of reasons, and not all denials are based on legitimate information. Some of the most common reasons include:

• Disputing who was at fault for the accident

• Claiming an injury was pre-existing and not caused by the crash

• Arguing that treatment was not medically necessary

• Alleging that the insurance policy was not active at the time of the accident

• Claiming that the accident was not reported within the required timeframe

• Claiming insufficient evidence to connect the accident to injuries

Some denials are based on actual mistakes or missing documentation. Others are the result of insurance adjusters actively working to minimize what the company has to pay out.

Keep in mind that Maryland also follows a "contributory negligence" rule. Under this law, if you are found even slightly at fault for the accident, you may be barred from recovering compensation. This makes fault disputes especially important in denied claims.

What Should I Do After a Car Accident Claim Denial in MD?

The first thing to do after a car crash claim denial is to read the denial letter carefully. Insurance companies are required to tell you in writing why they denied your claim. Whatever reason they give for denying it will affect how you respond. 

Request the claims file from the insurer, which you are entitled to do under Maryland law. Gather any more evidence that addresses the specific reason for denial, such as medical records, accident reports, or witness statements. Review your own insurance policy to understand your coverage and any applicable deadlines. Contact an attorney before filing a formal appeal or taking any further action with the insurer.

Can I Still Recover Compensation After a Car Accident Claim Denial in Maryland?

There are several paths available after a claim denial, depending on your circumstances.

Appealing the Denial

Most insurance companies have a formal appeals process. You can submit more documentation, request an independent medical examination, or challenge the insurer's interpretation of the policy language. A well-organized appeal that directly addresses the reasons for denial can reverse a decision.

Filing a Complaint with the State

If you believe the insurer acted in bad faith, you can file a complaint with the Maryland Insurance Administration. "Bad faith" means the insurer unreasonably denied a valid claim, failed to investigate properly, or used deceptive practices. Maryland law seeks to protect policyholders from insurers dealing with them unfairly.

Filing a Lawsuit

If appeals and negotiations fail, you may be able to sue the at-fault driver directly. You can also pursue a claim against your own insurer if you have uninsured or underinsured motorist coverage. Taking a case to court is sometimes the only way to get a fair result, especially when an insurance company has doubled down on a wrongful denial.

Lawsuits are time-sensitive. Under Maryland Code, Courts and Judicial Proceedings § 5-101, the general statute of limitations for personal injury claims is three years from the date of the accident. Missing that window means losing your right to pursue compensation in court entirely.

Call a Montgomery County, MD Car Accident Attorney Today

At Serafini Law, our car accident attorney answers calls 24/7, offers free consultations, and handles cases on a contingency fee basis, meaning you pay nothing unless we win. With over 12 years of experience and a commitment to giving every case personal attention, Attorney Andrew A. Serafini, Jr. is supportive with clients and aggressive when it comes to fighting insurance companies and other defendants.

Call 240-744-1600 today to schedule a free consultation with our Gaithersburg, MD personal injury lawyer and find out how he can help you get the compensation you need.