Short Answer

Yes—often. In North Carolina, an arbitrator may decide fault and damages, but a court can still decide whether your insurance policy provides coverage. If your arbitration was a court-ordered, nonbinding arbitration, you typically have 30 days to demand a trial de novo. Otherwise, you can usually file a civil action (often a declaratory judgment) in Superior Court to contest the insurer’s coverage denial, subject to any policy conditions and deadlines.

Understanding the Problem

You want to know whether you can challenge your insurer’s coverage denial after you already won money in arbitration. This is a North Carolina personal injury question about whether, as the insured, you can still seek court relief on coverage after arbitration, and what timing rules might apply.

Apply the Law

Under North Carolina law, arbitration in injury cases commonly resolves liability and damages. Coverage questions—whether the policy applies, exclusions, limits, offsets, or conditions—can be decided by a court in a separate civil action. If the arbitration was part of the court’s nonbinding settlement procedures, any party may usually seek a trial de novo within a short window. Otherwise, you can ask the court to declare your rights under the policy and, if appropriate, pursue breach of contract.

Key Requirements

• Know what arbitration decided: Determine whether the arbitration covered only liability/damages or also addressed insurance coverage.
• Identify the arbitration type: Court-ordered nonbinding arbitration has a short deadline to request a trial de novo; private, policy-based arbitration follows different rules and tight vacatur timelines.
• Choose the forum: File a civil action in the Superior Court (often a declaratory judgment and, if warranted, breach of contract) to resolve coverage.
• Follow policy conditions: Notice, cooperation, and consent-to-settle or exhaustion requirements can affect UM/UIM coverage.
• Mind deadlines and documents: Keep the arbitration award and any releases; missing a trial de novo or other time limit can restrict options.

What the Statutes Say

• North Carolina Gen. Stat. § 1-254 (Declaratory judgments) - Allows courts to declare rights under a written contract, including insurance policies.
• North Carolina Gen. Stat. § 1-255 (Declaratory relief—interested persons) - Confirms who may seek a declaration and the scope of questions courts can resolve.

Analysis

Apply the Rule to the Facts: No specific facts were provided. Two quick examples: (1) If your case went to court-ordered nonbinding arbitration against the at‑fault driver and you won damages, you may still bring a Superior Court declaratory judgment action against your insurer on coverage—just watch the 30‑day trial‑de‑novo window tied to that arbitration. (2) If you arbitrated under your policy’s UM/UIM provision and the award fixed damages, a separate court action can address coverage if it was not decided in arbitration.

Process & Timing

1. Who files: The insured. Where: Superior Court (Civil Division) in the appropriate North Carolina county. What: Complaint for declaratory judgment (and, if appropriate, breach of contract) seeking a ruling on coverage obligations. When: Promptly after a written denial. If your arbitration was court‑ordered and nonbinding, you must request a trial de novo within about 30 days of service of the arbitrator’s award.
2. Discovery and motions proceed under the Rules of Civil Procedure. Courts may require mediation. Timelines vary by county and case complexity.
3. Final step: Court enters an order declaring coverage rights and, if applicable, judgment on any contract claim. If coverage is confirmed, the court can address amounts due under the policy subject to limits and offsets.

Exceptions & Pitfalls

• Signing broad releases: A release that includes your insurer can waive coverage claims; review settlement documents before signing.
• Policy conditions: Missing notice, consent‑to‑settle, or exhaustion requirements can jeopardize UM/UIM claims.
• Arbitration scope: If coverage was actually decided in binding arbitration, grounds and deadlines to challenge are narrow and short.
• Preclusion risks: Letting the trial de novo window lapse after court‑ordered arbitration can limit arguments later.

Talk to a Personal Injury Attorney

If you're dealing with a post‑arbitration coverage denial and need clarity on your options and timelines, our firm has experienced attorneys who can help you understand your next steps. Call us today.

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.