Car insurance claim rules in Maine

The clock on a Maine claim

Maine's claim rules are in its Insurance Code, Title 24-A. Section 2164-D lists unfair claim practices, and Section 2436 sets the payment deadline. Most of the standards are about reasonableness rather than fixed days.

The 30-day line applies only to claims that are not disputed, so ask the insurer to say in writing which parts of your claim it accepts. Keep a dated copy of your proof of loss. Our page on claims that drag on shows how to write a status letter.

Suing your own insurer over a claim

The unfair practices list in Section 2164-D is enforced by the Bureau of Insurance and doesn't create a private lawsuit. Section 2436-A is different. It lets a person harmed by their own insurer sue when the insurer, among other things:

• fails to acknowledge and review a claim within a reasonable time after written notice;
• fails to affirm or deny coverage within a reasonable time after finishing its investigation;
• without just cause, fails to settle a claim promptly and fairly once liability is reasonably clear;
• knowingly misstates facts or policy terms about coverage.

A court can award damages, costs, reasonable attorney's fees and interest at 1.5% a month. This applies only to your own insurer, not the other driver's. Whether a claim is worth bringing depends on the facts, so talk to a licensed Maine attorney before you rely on it.

When a Maine car is a total loss

Maine's title law sets no repair-cost percentage. Under Title 29-A, Section 602, a car is a total loss when it is transferred to an insurer because of damage, destruction or theft, and it becomes a salvage vehicle once an insurer or owner declares it a total loss. The decision is the insurer's economic one: repairs plus salvage value compared with the car's value.

After settling, the insurer must surrender the title and apply for a salvage certificate within 30 days (Section 667). If you keep the car, the insurer gives you the endorsed certificate; a car later rebuilt with replaced major parts gets a rebuilt or rebuilt salvage brand. How to check the value an insurer offers is in our guide to total loss claims.

Reporting a Maine crash

Under Title 29-A, Section 2251, a crash on a public way that causes an injury, a death or apparent property damage of $2,000 or more must be reported to the police immediately, by the quickest means available. The driver makes the report, or someone acting for them.

Drivers don't file a separate written report with the state. The investigating officer sends a report to the Chief of the State Police within 5 days, and the Secretary of State can ask an owner or driver for more information. Ask the officer how to get a copy; your insurer will want it.

Fault, the deadline to sue and complaints

Maine is an at-fault state: the driver who caused the crash, through their liability insurance, pays for the damage. Under Title 14, Section 156, your own fault reduces what you recover, and if you are found equally at fault you recover nothing. Most civil actions, including crash claims for injury and car damage, must be filed within six years under Title 14, Section 752.

1. Ask the insurer in writing for the reason for a denial or a low offer and the policy language behind it.
2. Call the Maine Bureau of Insurance toll-free at 800-300-5000.
3. File a complaint through the Bureau's online complaint and dispute page if the insurer misses deadlines or won't explain itself; our guide to insurance department complaints shows what to include.

Questions people ask