What Does “No Coverage” Mean After a Car Accident?
If an insurance adjuster tells you there’s “no coverage”, don’t automatically believe it. This phrase is often misleading and can be used to avoid paying claims—but it’s not always the full story.
“No Coverage” Isn’t a Real Legal Term
Insurance adjusters sometimes say “there’s no coverage” when they don’t want to pay your claim. Often, they mean one of a few things:
They don’t believe their client was at fault.
Fault is a legal question that only a jury or judge can decide, not the insurance company. Just because they deny fault doesn’t mean you have no claim.
The insured isn’t cooperating.
If the policyholder doesn’t respond to the insurance company, the insurer may claim there’s “no coverage” under the non-cooperation provision. But if the insured later cooperates, coverage can be reinstated.
The driver was excluded or uninsured.
If the driver was specifically excluded in the policy (like a household member who wasn’t allowed to drive the vehicle) or if the insurance lapsed, there may legitimately be no coverage.
Why You Should Ask “Why”
If an insurance company gives you a blanket “no coverage” answer, always ask for the reason in writing. Knowing the reason allows you to:
Determine if coverage can be reinstated.
Explore other sources of coverage, like uninsured or underinsured motorist policies.
Decide if you may need to pursue the driver’s personal assets.
Bottom Line
A statement of “no coverage” is not the final answer. It may be misleading, and there are often ways to work around it with the help of an experienced personal injury attorney. Don’t accept a vague response—get a clear explanation and explore your legal options.
