My Insurance Company Wants to Take my Examination Under Oath. Do I have to give them all the documents they are requesting?

Make Sure to Understand Your Obligations: Not Providing Documents Could Lead to a Claim Denial.

When insurance companies request examinations under oath of their insureds, they often accompany these requests with very extensive document requests. Often the documents requested seem very sensitive, confidential and burdensome. It is often the safest move to provide the documents.

Obtain and Read your Policy

The policy and state law will affect the extent to which insurance companies can request documents. You should make sure to obtain a full copy of your policy booklet and read the section of the policy that describes your duties after a loss. This section usually includes a provision stating that the insurance company can require you or others to give an examination under oath. It usually will contain a provision stating that it may ask for documents as well as other provisions. You should make sure that you are familiar with all of your duties after a loss as described in the insurance policy. Often, policies give the insurance company wide latitude in requesting documents.

Why Insurance Companies Ask for Documents

While insurance companies and insurance company attorneys can sometimes overreach in their document requests, they sometimes have valid reasons for requesting the documents that they are requesting. For instance, examinations under oath often take place when suspicious circumstances are involved like arson or theft and when the insurance company believes that the insured might be overstating a loss or may have somehow staged the insurance claim, for instance,  by paying someone else to steal their automobile or set fire to their house.

When these types of circumstances are present, the insurance company will often ask for things like tax returns, bank accounts, business documents, charge accounts, loan documents, and phone records. They ask for these documents because the documents might show that the insured had a financial motive to commit insurance fraud or made suspicious calls before or after an event. Unfortunately, some people do commit insurance fraud, which is a felony, and insurance companies have legitimate reasons not to pay these claims.

Your Claim May be Denied if You Don't Comply

The danger of not providing documents requested by the insurance company is that the company may use your denial as a reason not to pay the claim. Since the policy usually requires the policyholder to provide information during the investigation, the failure to provide it can be a breach of a condition of the policy the the insurance company may be able to argue excuses them from having to pay. As a result, the safer course is usually to produce the documents.

Consult with a Lawyer

If you still have questions about whether certain types of documents must be produced, you should consult with a lawyer who is licensed in your jurisdiction. We are currently licensed in Alabama, Georgia, Texas and Washington. We offer flat fee consultations on coverage, claims strategy and pre-litigation negotiations for policyholders with valid claims.