Short Answer

In North Carolina, a liability denial means the other driver’s insurance company is saying it will not voluntarily pay your claim because it believes its insured is not legally responsible (or that it cannot prove responsibility based on the information it has). A denial is not a court decision, and it does not automatically end your case. It usually means you must gather stronger proof, negotiate further, or file a lawsuit before the statute of limitations runs.

Understanding the Problem

If you were hurt in a North Carolina car wreck, can the other driver’s insurance company refuse to accept fault and refuse to pay even after you have gone back and forth with the adjuster, like in a case where the crash happened in [DATE]? That denial often leaves people wondering whether their claim is “over,” whether they did something wrong, and what they are supposed to do next to protect their rights.

Apply the Law

North Carolina is a fault-based state for car wrecks. That means the person seeking money generally must prove the other driver was negligent (careless), that the negligence caused the crash, and that the crash caused damages. Insurance companies investigate and make their own decision about whether they will pay without a lawsuit, but their decision is not binding on you the way a judge or jury decision is.

A denial of liability commonly means the insurer believes (1) its driver did not breach a safety rule, (2) the evidence is conflicting, or (3) you may share any fault. North Carolina’s contributory negligence rule can be a major reason for denials because even small fault arguments can become a complete defense in many cases. In court, the defendant has the burden to prove contributory negligence as a defense. See N.C. Gen. Stat. § 1-139 (burden of proof of contributory negligence).

Key Requirements

• Duty and breach (fault): You must show the other driver failed to use reasonable care (for example, by not keeping a proper lookout, not yielding, or driving too fast for conditions).
• Causation: You must connect that unsafe driving to the collision (not just show a crash happened).
• Damages: You must prove losses caused by the crash (such as medical treatment, lost time from work, or vehicle damage).
• Contributory negligence defense risk: If the insurer can argue you contributed to the crash, it may deny liability because that defense can bar recovery in many cases; the defendant must prove it. See N.C. Gen. Stat. § 1-139.
• Forum and leverage: If the insurer will not accept liability voluntarily, the dispute is typically resolved in North Carolina state court through a civil lawsuit (or by settlement after suit is filed).
• Deadline to sue: Many car-wreck injury and property-damage claims are subject to a three-year statute of limitations under North Carolina law, so waiting too long after a denial can cost you the right to sue. See N.C. Gen. Stat. § 1-52 (three-year limitations period for many civil actions).

What the Statutes Say

• N.C. Gen. Stat. § 1-52 (Civil statute of limitations) - Sets a three-year limitations period for many claims, including many personal injury and property damage claims arising from negligence.
• N.C. Gen. Stat. § 1-139 (Contributory negligence burden) - Places the burden of proving contributory negligence on the party asserting it as a defense.
• N.C. Gen. Stat. § 1-540.2 (Property damage settlement not an admission) - Explains that paying property damage from a crash generally is not an admission of liability and does not automatically settle injury claims unless the written agreement clearly says so.

Analysis

Apply the Rule to the Facts: Here, the insurer’s denial after back-and-forth communications usually means it does not believe you have shown (to its satisfaction) that its driver was at fault, that fault caused the crash, and that your claimed damages flow from the collision. It may also mean the insurer is raising a contributory negligence argument, which can be a powerful defense in North Carolina even when the other driver appears mostly at fault. Because a denial is not a court ruling, you can still pursue the claim, but you must do it in a way that protects the three-year deadline to file suit.

Process & Timing

1. Who files: The injured person (plaintiff). Where: The North Carolina county court where venue is proper (often where the crash happened or where the defendant lives), typically by filing in the Clerk of Superior Court. What: A civil Complaint and Summons (and related filings). When: File before the statute of limitations expires (often within 3 years for many negligence-based injury/property damage claims). See N.C. Gen. Stat. § 1-52.
2. Next step: Serve the defendant properly. After service, the insurer typically assigns defense counsel, and the case moves into investigation and evidence exchange (often called “discovery”). Timing varies by county and case complexity.
3. Final step: The case resolves by settlement or a court decision. Even after an initial denial, insurers sometimes negotiate once a lawsuit is filed and evidence is tested through discovery.

Exceptions & Pitfalls

• Contributory negligence arguments: Insurers may deny liability by claiming you contributed to the crash (speed, following distance, lane position, distraction, failure to yield). In North Carolina, that can be case-ending in many situations, so evidence and careful case framing matter.
• Confusing “denial” with “no coverage”: A denial of liability is different from a coverage denial. Liability is about fault; coverage is about whether the policy applies. The next steps can differ depending on which one you received.
• Waiting too long to file suit: Ongoing negotiations, “reconsideration,” or promises to “review” do not automatically extend the deadline to sue. Missing the limitations period can end the claim regardless of how strong liability is.
• Signing paperwork too quickly: If the insurer offers to pay vehicle damage, read any release carefully. North Carolina law recognizes that property-damage settlements generally are not admissions of liability and do not automatically settle injury claims unless the written agreement says so. See N.C. Gen. Stat. § 1-540.2.
• Relying only on the police report: Police reports can help, but insurers often deny liability when the report is unclear, when there are no independent witnesses, or when the report does not address key disputed facts.

Conclusion

In North Carolina, when the other driver’s insurance company denies liability, it is saying it will not voluntarily pay because it disputes fault, causation, damages, or it believes a defense like contributory negligence may apply. A denial is not a final legal decision, but it is a warning that you may need to prove your case in court. The most important next step is to have a lawsuit evaluated and, if appropriate, file it before the three-year deadline in N.C. Gen. Stat. § 1-52.

Talk to a Personal Injury Attorney

If you’re dealing with an insurance company that denied liability after a North Carolina car accident, our firm has experienced attorneys who can help you understand what the denial means, what proof matters most, and how to protect your timelines. Call undefined to discuss your options.

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.