What is the difference between a claim and a complaint?

A claim and a complaint are two different aspects of Insurance Claims Law in Arkansas. A claim is a request for compensation for an insured individual or for property damages. When an insured individual or property owner files a claim, it is an application for a payment for damages from their insurance company. A complaint is a written document outlining an issue with the services of the insurance company, or with the terms of the contract itself. When a consumer files a complaint, it is an expression of dissatisfaction with their insurance company’s services or contractual terms, and is meant to be an action to seek a remedy or solution. Both a claim and a complaint involve the insured individual or property owner seeking compensation. However, they differ in that a claim is an application for payment, whereas a complaint is a formal expression of dissatisfaction. Furthermore, the insured individual or property owner may have to prove their claim in court, while a complaint is typically reviewed by the Arkansas Insurance Department to determine if a violation has occurred.

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