How long can an insurance company take to make a decision on a claim?

Asked by: Miss Lesly Cole  |  Last update: May 31, 2025
Score: 4.2/5 (20 votes)

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.

How long do insurance claim investigations take?

Most insurance companies are typically given between 15 to 90 days to investigate a claim and accept or deny it, depending on the specific state regulations, the type of the claim, and the case's complexity. For instance: Straightforward property damage claims may be resolved more quickly.

Why is my insurance claim taking so long?

Your insurance company will investigate who's responsible for the accident, as well as whether there's coverage for the injuries, damage, or other loss you filed the claim for. A coverage investigation can take just as long or even longer than an investigation to determine liability.

What happens if a claim is taking too long?

The law requires insurance companies to acknowledge receipt of a claim within 15 days after they receive it. They must communicate their decision on the claim within 15 business days after receiving all necessary information related to the claim. If they fail to do so, policyholders have the right to sue for delay.

How long should you wait for an insurance adjuster?

Standard Waiting Time

Typically, after reporting a claim to your insurance provider, you can expect a claims adjuster to reach out within 24 to 48 hours. This initial contact will be to gather more details about the incident and potentially schedule a time for an in-person inspection of the damages.

How Long Can You Wait to Make an Insurance Claim?

28 related questions found

Do insurance companies have a time limit?

All states except South Carolina have rules requiring insurers to pay or deny claims within a certain time frame, usually 30, 45, or 60 days.

How long does it take an insurance adjuster to make an offer?

Some insurance adjusters respond to demand with an offer of compensation well within the allotted thirty (30) day time frame, while others, taking the previously mentioned factors, can understandably exceed the given period.

How long should a claim take to settle?

Time limits may be extended in certain circumstances. Claims handled through the portal usually take around 4-9 months to settle – based on clients' accepting the first settlement offer. Clinical Negligence: Clinical negligence cases can take anything from 18 months to even 2-3 years to settle.

Why do insurance companies drag out claims?

Insurance companies may purposely drag out the claims process, hoping that policyholders will grow frustrated and accept a lower settlement or even drop the claim entirely. This may include excessive paperwork requests, slow response times, or frequent requests for additional documentation.

Why is my claim taking forever?

It can take quite a while to investigate an accident, especially when it comes to determining liability for the accident. The insurance company has to collect information about the claim, review evidence, and carry out other tasks to ensure the claim is valid and make a plan for moving forward with it.

How can I speed up my insurance claim?

The Best Ways to Speed up the Insurance Claim Settlement Process
  1. Know About Your Policy. When you've got an understanding of your property insurance policy, you have the confidence to protect your rights. ...
  2. Learn About Your Legal Rights. ...
  3. Document Everything. ...
  4. Submit Proof of Your Losses. ...
  5. Get the Right Kind of Help.

How long does the claim process take?

Understanding Insurance Claim Timelines

Generally, you may be able to expect a claim to take anywhere from a few days to several weeks to be processed and resolved. For straightforward claims, the process can be quicker, and are often resolved within a week.

How do insurance companies delay claims?

Among other tactics to cause delay in paying your claims insurers often; ask for unnecessary documentation before processing a claim, fail to provide explanations for the delay hoping that you will not question the late payment, state they are still investigating the claim when there is no good faith reasonable basis ...

How long can an insurance company come after you?

Once they decide to cover a claim, they need to do so within a reasonable timeframe. In most cases a reasonable timeframe would be 30 days. Some states have statutes that outline how long insurance companies have to complete each step of this process, while others leave the amount of time more ambiguous.

What triggers an insurance investigation?

Inconsistencies and delayed claims can trigger alarm bells, leading the insurance company to closely scrutinize the legitimacy of your case. The duration of your recovery is not only critical for calculating the compensation but also for evaluating the credibility of your claim.

How do insurance companies check claims?

The Claims and Underwriting Exchange (CUE), is the central database of motor, home, personal injury and industrial illness incidents reported by insurers which may give rise to a claim. This data is held for 6 years from the date the claim was closed.

Do insurance adjusters try to lowball you?

Insurance adjusters are often given bonuses or other incentives based on how much money they save the company by getting claimants to accept low settlements. Making lowball offers is a key way insurers try to minimize payouts and protect their bottom line.

Why do insurance payouts take so long?

» FAQs » Why do Insurance Companies Take So Long to Pay Out? Insurance companies may conduct an extensive investigation into an accident to determine fault and liability. This is one reason why it may take a long time for insurance companies to pay out.

What is the longest a settlement can take?

What is the longest a settlement can take? The duration of a personal injury settlement can vary dramatically, with complex cases potentially taking several years to resolve, though there's technically no absolute maximum time limit beyond the statute of limitations.

What is the time limit for accident claims?

Generally, the standard time limit to file a claim after a car accident is 30 days. However, some insurance companies may have a longer duration of 60 or 90 days. It is important to carefully read and understand the details of your car insurance policy to avoid missing out on the time limit for filing a claim.

What is the shortest time for settlement?

The settlement period starts from the day that the contract has been signed and any conditions attached to the sale have been met. The settlement period is typically 30 to 90 days, but it can be longer or shorter if the seller and the buyer both agree.

How long do you have to accept a settlement offer?

Time Limits on Settlement Offers

The terms of the offer itself: Sometimes, an insurance company will put a deadline on their offer. They might say you have 30 days or 60 days to accept. However, these deadlines are often negotiable, especially with the help of a personal injury lawyer.

How long does it take for an insurance company to make a decision?

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.

Who gets the insurance check when a car is totaled?

If you own the car outright, you will receive the check. If not, the check goes to the leasing company or the lender, otherwise known as the lien holder. If you owe money on the vehicle, you should notify the lending company that your car has been totaled.