North Carolina  |  Insurance Law

Legal Question

Asked on: 4/25/13, 8:02 am

I signed a release form from an auto insurance company for $11,000 and they are refusing to pay. What are my legal options?

1 Answer


Answered on: 4/25/13, 8:10 am by John Kirby

Upon signing the release, they would normally disburse the proceeds. If not, then in theory you could sue them for breach of contract, and perhaps also for bad faith (depending on a lot of variables). My primary question would be whether there might be a lien-holder about whom they are concerned. E.g., if the settlement is for bodily injury, then a hospital might have a lien; or Medicaid or Medicare might have a lien. If the settlement is for property damage, then a lender could have an interest in the vehicle. If they continue to refuse to pay you, then you probably need to take the matter to a lawyer and provide him or her with more information to get more guidance.


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