Candace Baker, Car Insurance Writer
@candacebaker
Insurance companies in Illinois have at least 45 days to settle a claim and make the final payment after the claim is filed. Illinois insurance companies have 15 days to acknowledge a claim and send further instructions to the claimant and then another 30 days to pay the claim if it is approved.
Illinois does not specify a time frame in which the insurance company must actually approve or deny the claim during this process. However, the law mandates that failure to approve or deny the claim within a reasonable time after receiving written notice of the claim is improper claims practice.
Insurance Claim Timeline in Illinois
- 15 days to acknowledge the claim and send the policyholder instructions and paperwork, including proof of loss forms which serve as a sworn statement from the policyholder about the scope of the damage or injuries.
- 30 days to make the final payment if the claim is approved.
There are several factors that can affect exactly how long it takes for an insurance company to settle a claim. For example, claims involving serious or multiple injuries take longer to settle. Additionally, poor communication between the driver, insurance company, and insurance adjuster can slow down the process.
Still, you are entitled to an efficient settlement. If you think that your insurance company is violating the law or operating unethically, you can file a “bad faith” lawsuit, which may award you the original settlement amount with added interest and penalties.
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