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MY car was stolen, how do I get the insurance company to close it within a reasonable amount of time!?

Here is my situation. My car was stolen from my apartment complex around the last weekend in August 2008. They recovered my vehicle and considered a total loss, it was declared a loss on Sept 22, 2008, apparently it was crashed and my personal belongings were long gone. I have Allstate, which by the way they have caused me a huge amount of emotional distress, terrible customer service!! They gave me a quote for the payoff of my car, that was ok with me, then they sent it into investigation, fine I cooperated! Now...I recieved a letter from Allstate's attorney about coming into their office for an oath statement. My insurance investigator who was Tim Sweeney in Bothell...............said there are a lot of red flags so they are moving forward! I don't understand what is going on, more so I don't know what to do. Do owe more on my car than what it's worth (most people do) so I have GAP insurance. I have 90 days until they will no longer cover me and then I will be responsible for the difference! I really need some help and guidance on what to do. I don't even have so much as a speeding ticket on my record...so i'm lost...I'm thinking a lawyer is probably a good idea...can anyone refer me to someone who could get this handled ASAP! Thanks for reading and any info you give me is much appreciated!

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Attorney answers (2)

Reputation Level 13
You've been requested (demanded) to submit to an "Examination Under Oath," (an EUO) which is the insurance company's right under the terms of the policy. At this time, I would not panic - the delays and inconvenience may be significant, but, they have the right to take your statement about the circumstances of your loss, in person and under oath. "Red flags" are not enough to deny coverage on, and so they need to follow up to satisfy the auditors that any payment is just, or that there are indeed circumstances under which coverage should be denied.

There will likely be the adjuster(or investigator), the insurance company's lawyer (who will likely conduct the EUO) and a stenographer who records everything.

They are looking for substantial information on which they can deny your claim. Your financial situation, work history, other debts, etc. are all subjects that they will inquire about (these are sources of "red flags" on auto theft claims in the first place). If everything is above board with the theft and attendant damage, then there should be no issues at the end of the day. If you were trying to get away with something, as in a faked theft, or damage done before the theft or after the recovery, this is their opportunity to establish those facts and deny coverage to you for part or all of your claimed loss.

If, on the other hand, you fully cooperate in the EUO, everything is above board, and they deny coverage - then you really should consult a lawyer in yourarea with expereince in insurance coverage issues. IF you get a denial letter, get a lawyer.
7 people marked this answer as good

Reputation Level 9
Mr. Davidson's response is informative, but I disagree that you have no reason to be concerned. Allstate has a habit of turning every stolen car claim over to their fraud unit (called SIU) and attending that Statement Under Oath without an attorney will seriously disadvantage you later on. Allstate will drag this investigation on and on, and will most likely deny your coverage.

Call an attorney right away. Our firm handles these cases, as do others in the Puget Sound Region. The kind of lawyer that you should contact is one that practices "insurance coverage." This is a specialized area of the law and not one that any attorney can handle. Make sure that the attorney you choose is well versed in the Insurance Fair Conduct Act.

Good luck.
1 person marked this answer as good

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