Insurance Claim Tips: What I Tell Every Client in California

Most claim problems I see start in the first few weeks, long before anyone calls a lawyer. Here are the 10 things I tell every client with an insurance claim in California.

10 tips for handling your insurance claim

1. Review the terms and conditions. Almost every policy has a conditions provision that requires the insured to give prompt notice and to cooperate. Prepare a checklist and go through it.
2. Be diligent. Every note, letter, and inspection is a potential exhibit down the road. Write down the names of the customer service representatives and adjusters you speak with and the dates you spoke. Then memorialize each conversation in a follow-up email or letter.
3. If you’re not getting help, ask to speak with a supervisor or the director of the claims department. Keep a record of that conversation too. Ask who is in charge of reviewing your claim and what their role is.
4. Start a log and calculate your expenses and damages as you go. People often forget some of their expenses once time has passed, so keep a daily log if you can.
5. Carriers are in the money business. Treat your claim like a business transaction. They are not your friends.
6. Cooperate with your carrier, but trust your instincts. Don’t mistake a friendly adjuster or representative for your friend. Anything you say can and will be used against you.
7. Be organized with your documentation and paper everything. That includes putting your requests in writing and following up promptly.
8. Don’t exaggerate or pad your claim. Adjusters and carriers are professionals, and a padded claim gives them a reason to deny the whole thing.
9. Don’t sign or agree to anything, especially a release or a settlement, without consulting an attorney.
10. Seek help early. A qualified attorney can explain your coverage and what you’re entitled to.

When should you call an insurance lawyer?

Earlier than most people do. Too often I see policyholders come to us after they’ve already exhausted all their efforts. By then they’ve made mistakes, given the carrier reasons to deny all or part of their coverage, and are running up against the deadline to sue.

ChatGPT does not replace a JD and a licensed attorney. Reach out to us sooner rather than later.

When you do, be honest with your attorney, disclose everything, and provide all of your documentation promptly.

We are here to help if you need us. Call us today!

Frequently asked questions about California insurance claims

How long does my insurance company have to decide my claim?

The insurer has to acknowledge your claim within 15 days and accept or deny it within 40 days after it receives proof of claim. If it needs more time, it must tell you in writing and update you every 30 days (Cal. Code Regs., tit. 10, §§ 2695.5(e), 2695.7(b)–(c)). Put those dates in your log.

How long do I have to sue my insurance company in California?

Most homeowners and property policies give you at least 12 months after the loss to sue. If the loss is tied to a declared state of emergency, like the January 2025 Los Angeles wildfires, the minimum is 24 months (Ins. Code § 2071). The clock generally pauses from the day you report the claim until the insurer denies it in writing (Prudential-LMI Com. Ins. v. Superior Ct., 51 Cal. 3d 674 (1990)).

Other claims, including bad faith, uninsured motorist, and liability claims, run on different clocks, so don’t assume these numbers apply to you. Your insurer must also tell you in writing about any deadline it may rely on to deny your claim (Cal. Code Regs., tit. 10, § 2695.7(f)). Read your policy and talk to a lawyer before any deadline gets close.

Can my insurer deny my claim because I reported it late?

Usually not for that reason alone. California’s notice-prejudice rule “requires an insurer to prove that the insured’s late notice of a claim has substantially prejudiced its ability to investigate and negotiate payment for the insured’s claim.” Pitzer Coll. v. Indian Harbor Ins. Co., 8 Cal. 5th 93, 101 (2019). Claims-made policies can be different. Report promptly anyway, because every day before you give notice counts against your deadline to sue.

Who pays my lawyer if my insurer acts in bad faith?

If your insurer unreasonably withholds benefits and you have to hire a lawyer to get them, the insurer may owe the part of the fee spent recovering those benefits. These are called Brandt fees.

This post is general information about California insurance law. It is not legal advice about your claim.