Short Answer

In North Carolina, insurers must handle claims fairly and communicate in a reasonable time. If your company won’t update you or threatens to close your claim, respond in writing, provide any missing information, set a clear deadline for a status update, and escalate to the North Carolina Department of Insurance if needed. Closing a file does not erase your legal rights, but you must protect your statute of limitations by filing suit on time if negotiations stall.

Understanding the Problem

You’re dealing with a North Carolina personal injury claim and your insurer isn’t returning calls or emails, or says it will “close the file” soon. Can you force an update, keep the claim open, and protect your right to benefits or a fair settlement?

Apply the Law

North Carolina law prohibits certain unfair claim settlement practices and requires insurers to investigate and communicate about claims in a reasonable manner. For first-party claims (your own policy), the insurer owes duties directly to you under the policy and North Carolina law. For third-party claims (the at-fault driver’s insurer), you still control your legal rights; a threatened “file closure” is an internal step and does not bar you from pursuing your claim in court within the applicable deadline.

Key Requirements

• Prompt communication: The insurer should acknowledge and respond to claim communications within a reasonable time.
• Reasonable investigation: The company must investigate before denying, delaying, or closing a claim.
• Good-faith settlement efforts: Where liability and damages are reasonably clear, the insurer should work toward a fair resolution.
• No coercive threats: “Closing the file” to pressure you into a low offer or to avoid investigation can be an unfair practice.
• Preserving your rights: Even if the insurer closes its file, your claim survives; your main risk is missing the statute of limitations for filing suit.

What the Statutes Say

• North Carolina Gen. Stat. § 58-63-15 (Unfair claim settlement practices) — Bars practices like failing to respond promptly, failing to investigate, or not attempting fair settlements.
• North Carolina Gen. Stat. § 75-1.1 (Unfair and deceptive trade practices) — Provides a civil remedy for unfair or deceptive acts in commerce, which can include certain insurance conduct.

Analysis

Apply the Rule to the Facts: If your insurer won’t update you, that raises concerns about prompt communication and reasonable investigation. A threat to “close the file” because you declined a low offer or asked for more time can also raise fairness issues. Your core protection is to document your cooperation, set a written deadline for an update, and keep your litigation deadline in view so your rights are not lost.

Process & Timing

1. Who files: You (or your attorney). Where: Your insurer’s claims department; escalate to a supervisor and then the North Carolina Department of Insurance (Consumer Services Division) if needed. What: Send a written status request and cooperation letter (include claim number, date of loss, and items already provided). If escalation is needed, submit a consumer complaint to the Department of Insurance. When: Give the insurer a clear, reasonable deadline (e.g., 10–14 days) for a written update.
2. Follow up: If no response, send a second letter noting prior attempts and that you will seek regulatory help. Then file a complaint with the Department of Insurance. This review often prompts a written response within a few weeks, though timing can vary by company and case.
3. Preserve your rights: If negotiations stall, file suit in the appropriate North Carolina trial court before your statute of limitations expires. Most injury claims have a three-year deadline, and wrongful death claims are typically two years; policy-based claims may have additional notice or proof-of-loss requirements. Check your policy and calendar these dates.

Exceptions & Pitfalls

• First-party vs. third-party: Your own insurer owes you contractual duties; a third-party insurer does not, but its unfair practices can still have consequences and do not cut off your right to sue.
• Cooperation clauses: If it’s your policy, failure to provide reasonable, requested information can delay benefits; respond in writing and explain any missing items.
• Recorded statements and broad authorizations: Don’t agree to unnecessary or overbroad releases; limit authorizations to relevant records and timeframes.
• “File closed” isn’t final: An insurer can reopen a claim; file closure is an internal step and does not waive your right to pursue the claim or file suit on time.
• Deadlines vary: Different claims (UM/UIM, MedPay, property damage, wrongful death) have different notice and filing rules. Calendar all policy and court deadlines.

Talk to a Personal Injury Attorney

If you’re dealing with an insurer that won’t respond or is threatening to close your claim, our firm has experienced attorneys who can help you understand your options and timelines. Call us today at 919-313-2737.

Disclaimer: This article provides general information about North Carolina law based on the single question stated above. It is not legal advice for your specific situation and does not create an attorney–client relationship. Laws, procedures, and local practice can change and may vary by county. If you have a deadline, act promptly and speak with a licensed North Carolina attorney.