General
When filing an insurance claim, homeowners may be required to participate in an Examination Under Oath (EUO). This legal process, used by insurance companies, plays a crucial role in the assessment of claims. At The Morgan Law Group, our insurance lawyers represent homeowners, guiding them through this pivotal step.
Here’s what you need to know about an EUO to navigate it effectively.
What is an Examination Under Oath?
An Examination Under Oath is a formal procedure where a policyholder is required to answer questions under oath before a court reporter and in the presence of a legal representative from the insurance company. The EUO serves as a tool for insurers to confirm the details of the claim and prevent fraudulent activities. It is typically stipulated within your insurance policy agreement and is legally binding under various state codes and regulations.
An EUO is a right that insurance companies possess to protect themselves against fraud. For instance, California Insurance Code Section 2071.1 and Florida Statute 627.736 allow insurers to require an EUO as a part of the claims process. Non-compliance by the claimant can lead to a denial of the claim.
What to Expect During an Examination Under Oath?
The insurance company’s lawyer won’t tell you what type of questions they will be asking, why they are asking them, or provide you with any type of information of that nature. The specifics of what you will experience will vary based on your type of claim. Generally, questions are limited to matters that are material to the circumstances surrounding the insurer’s liability and the extent of said liability. The person asking questions will want to gather as many details about the incident as possible. They will ask questions about very specific things, so they have you on record with these answers. Further, you will almost certainly be asked questions multiple times with slightly different phrasing. This is often done to try to get you to slip up and contradict yourself. Be prepared for the fact that there will likely be at least one attorney from the insurance company, and possibly another representative, plus a court recorder at a minimum. This can make some people uncomfortable if they weren’t expecting such a formal environment.
Preparing for Your EUO
As you approach your Examination Under Oath, being well-prepared can make a significant difference in the outcome of your insurance claim. Preparation not only ensures that you meet all legal requirements but also positions you to handle the questioning with confidence.
- Understand Your Policy: Before the examination, it’s crucial to thoroughly review your insurance policy. Understand what your obligations are, including any documentation you need to provide during the EUO.
- Gather Necessary Documents: Typically, you will need to present documents related to the claim, such as receipts, bills, and any correspondence with the insurance company.
- Seek Legal Help: Having legal representation is key. An insurance attorney who is highly knowledgeable with examine under oath procedures can guide you through the process and help safeguard your rights.
- Practice Your Responses: Your insurance claim lawyer can help you prepare for the types of questions you might face, ensuring you convey clear and honest answers.
During the EUO:
- Be Honest: Always provide truthful responses during your exam under oath. Any inconsistency can be used against you in the processing of your claim.
- Stay Calm: It’s natural to feel nervous, but staying calm and collected will help you manage the situation better.
- Follow Legal Advice: Let your insurance claim attorney guide the conversation and intervene when necessary to protect your interests.
What Happens If I Fail to Comply with An EUO Request?
Most insurance policies impose an obligation on the insured to cooperate with the post-loss investigation and the failure or refusal to comply with the obligation to cooperate with an EUO provision may constitute a bar to any recovery against the insurance company. Like most insurance-related items, it depends on the language used in the policy. A non-cooperation clause, if properly drawn, will relieve an insurer of its indemnification obligation regarding a non-cooperative insured.
Although an insured must comply to avoid breaching any policy conditions, there are some valid excuses for an insured’s refusal to comply. These include a defective notice of intent to examine, objection to unreasonable time and place, and denial of the insured’s right to have an attorney present. In addition, if an insurer denies coverage prior to the end of the time period to submit a proof of loss, it excuses the insured from complying with the demand.
An EUO can be a trap for the unwary, and insureds should be careful when submitting to an EUO. If unsure or uncertain, an insured should consult with a knowledgeable insurance attorney before providing sworn testimony to the carrier. Even if your insurance company tries to tell you that this is just a formality that you need to go through, you absolutely don’t want to face it without proper representation. Having an attorney at your side during an EUO is your right and can help protect you from potential issues with your insurance claim.
An Examination Under Oath is more than a formality; it’s a critical part of your insurance claim process. Understanding what an EUO entails and preparing adequately with the help of our seasoned insurance lawyers at The Morgan Law Group can significantly impact the outcome of your claim.
If you have an insurance claim and are subject to an EUO, seek legal counsel from us to ensure your rights and interests are comprehensively protected. For more information and legal guidance on insurance claims and Examinations Under Oath, contact us today to schedule your free case evaluation.
