How Long Does An Insurance Company Have To Investigate A Claim

Understanding the timeline for an insurance investigation can be critical after a car accident. Many clients ask us, “How long does an insurance company have to investigate a claim?” In Illinois, insurers generally have between 30 and 45 days to complete their review. However, this may vary with the internal complexity of a claim, the type of accident, and extra documentation requirements. Walton Telken, an experienced Edwardsville car accident lawyer, ensures your claim isn’t delayed and protects your interests every step of the way

How Long Do Insurance Companies Have to Settle a Claim?

Under Illinois insurance regulations, companies must acknowledge receipt of your claim within 15 working days and provide necessary forms for submission. Once you’ve filed the required documents, they typically have 30 days to investigate and decide. In some cases, insurers can request an extension of up to 45 days, but they must provide a written explanation for the delay, including the reasons and the expected completion date.

These rules aim to prevent unfair delays, but it’s not uncommon for companies to push boundaries, especially if liability is disputed or injuries require detailed medical evaluations. Illinois Administrative Code Section 919.50 states that any extension must be justified and documented. If your claim seems to drag on without explanation, it could be a sign of bad-faith handling.

How to Speed Up Your Insurance Claim Process

While you cannot control every factor, there are steps you can take to reduce delays and keep your case on track:

• Report the accident immediately. Provide your insurer with accurate details, including the incident’s date, time, and location.
• Submit complete documentation. Include photos, police reports, and medical records as soon as possible.
• Maintain open communication. Respond promptly to any requests for additional information.
• Consult an attorney early. Having a legal advocate ensures deadlines are enforced and your rights are protected if delays occur.

A proactive approach can shorten investigation time and help prevent insurers from using incomplete information as an excuse for stalling.

What to Expect If Your Claim Settlement Is Delayed

Delays often occur when liability is contested or multiple parties are involved. Complex cases, such as multi-vehicle crashes or accidents resulting in severe injuries, can take longer because insurers must analyze fault and review extensive medical records.

However, if an insurance company continues to postpone without a valid reason, it might constitute bad faith, which is prohibited under Illinois law. In these situations, you may have grounds to pursue additional legal action, including penalties for unreasonable delays. This is why documenting every interaction with your insurer is so important.

How and When Will My Insurance Payout Be Determined?

Once the investigation is concluded, the insurer must promptly notify the insured about its decision. Payments are generally made soon after the approval of claims, usually within two weeks of the settlement agreement. The amount will depend on several factors:

• Limitations set in your policy and its coverage
• Extent of damage to your vehicle or worth of the total loss
• Medical bills concerning treatments
• It could also be a factor if you lost wages due to the accident.

Although insurance companies have a legal obligation to act reasonably, the common practice is to minimize payouts instead.

Steps to File a Car Insurance Claim Successfully

Filing correctly from the start avoids unnecessary complications. A strong claim is your best defense against delays and lowball offers. Here’s how to do it:

1. Document everything immediately. Take clear photos of the accident scene, vehicle damage, and visible injuries. Collect witness statements and secure the official accident report from law enforcement.
2. Notify your insurance provider quickly. Most policies require timely reporting, so call as soon as possible.
3. Complete all forms accurately. Double-check for errors or missing details; inconsistencies can trigger extended investigations or denials.
4. Keep organized records. Maintain copies of every document, including medical bills, repair estimates, and all correspondence with your insurer.
5. Follow up regularly. Don’t assume silence means progress. Stay in contact and document every call or email to create a paper trail.

The Illinois Department of Insurance’s official guidance outlines that policyholders should provide accurate information promptly and maintain copies of every document submitted during the claims process.

Need Help with a Delayed Insurance Claim? Contact Us Today

If your insurer is taking longer than expected, or you’re unsure whether your claim is handled in good faith, we protect your rights. At Walton Telken, we hold insurance companies accountable and fight to secure the compensation you deserve. Call us today at 844-307-7349 for a free consultation.

“Walton Telken Bragee’s Managing Partner Attorney Troy E. Walton has over 25 years of experience handling personal injury, nursing home, medical malpractice, premises liability, construction, and workers’ compensation cases.”

Troy E. Walton

Trial Lawyer & Managing Partner