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Personal Injury Cases: 5 Possible Reactions Upon Receiving Reservation Of Rights Letters

After filing a personal injury claim or case against an insurance company, it is the insurance company's responsibility to investigate the case to determine what a reasonable amount of compensation may be. If the insurance company believes that there is ground to deny a part of your claim, a reservation of rights letter will be sent to you.

File a Dispute Against the Reservation

If you believe that the insurance company does not have any grounds to deny you coverage, put it in writing. This may be beneficial for you if you need to take the case to court. File a dispute against the reservation by having your personal injury attorney send the insurance company a letter detailing your dispute.

Your personal injury attorney may want to point out that the insurance company may have misinterpreted a state law or misinterpreted the occurrences surrounding the accident and injury. It is important that you clearly detail your rationale, and to further establish a solid footing.

Determine Whether New Options Are Available

Once your insurance company has sent you a reservation of rights letter, new doors may open for you. In some states, you now have the option of hiring your own personal injury attorney or taking legal action against the insurance company at the insurance company's expense.

Simply Ignore the Letter

A reservation of rights letter does not mean that the insurance company is denying you any coverage or is taking any legal action against you. It simply means that the insurance company will be investigating your case in more detail. You really don't have to pay it any mind although, you should forward the letter to your personal injury attorney so that he or she is aware of the insurance company's intentions.

Press for Specifics for More Information

At times, the reservation of rights letter may not provide any details and all of the information included might be quite vague. If you plan on taking any legal action or would like to know where you legally stand, your personal injury attorney can press for more specifics. This includes details regarding the type of evidence that the insurance company might have collected against you.

Start the Countdown

Last but not least, you can start the countdown because the insurance company is on a tight time frame once they have sent the reservation of rights letter. If the insurance company does not settle or does not investigate the case in a reasonable amount of time, you can take them to court.

The time period in which the insurance company must acknowledge the claim will vary by state, and so is the time period of which the insurance company must report its investigations. For example, in Delaware, the insurance company must provide you with a report within 30 calendar days after you have provided them with a receipt of the losses that you have endured as a result of the accident.


If you have received a reservation of rights letter, do not fret. Speak with a local personal injury attorney, like Randall A. Wolff & Associates, Ltd, to determine what you can do, and whether any legal action should be taken based on your best interests.