Key Takeaway
Court rules State Farm's 15-day delay in sending disclaimer letters after completing investigation was unreasonable, resulting in waived coverage defenses.
This article is part of our ongoing preservation of defenses on nf-10 coverage, with 207 published articles analyzing preservation of defenses on nf-10 issues across New York State. Attorney Jason Tenenbaum brings 24+ years of hands-on experience to this analysis, drawing from his work on more than 1,000 appeals, over 100,000 no-fault cases, and recovery of over $100 million for clients throughout Nassau County, Suffolk County, Queens, Brooklyn, Manhattan, and the Bronx. For personalized legal advice about how these principles apply to your specific situation, contact our Long Island office at (516) 750-0595 for a free consultation.
Matter of Matter of AIU Ins. Co. v Veras, 2012 NY Slip Op 03116 (1st Dept. 2012)
“On June 4, 2005, respondent Veras and additional respondent Richard, who was driving a vehicle owned by additional respondent Wynder-Ortiz and insured by State Farm, were involved in an automobile accident. State Farm was not notified and did not learn of the accident from its insured. Nearly four years later, it learned of the accident from Veras, who served it with the judgment entered in his favor in the action he had commenced against Richard and Wynder-Ortiz. Although it completed its internal investigation and prepared letters of disclaimer within two weeks, State Farm waited another 15 days before sending out the letters. It was not error for the court to find this largely unexplained delay unreasonable (see Insurance Law § 3420; First Fin. Ins. Co. v Jetco Contr. Corp., 1 NY3d 64, 66 ; Travelers Ins. Co. v Volmar Constr. Co., 300 AD2d 40, 42-43 ; see also George Campbell Painting v National Union Fire Ins. Co. of Pittsburgh, PA, 92 AD3d 104 ).”
So, notice of the accident is received after 4 years. A judgment is entered and served upon State Farm. Then, a decision is made to deny within 2 weeks. Then 15 days were not explained. After this, a disclaimer was sent, and this was insufficient?
“We reject State Farm’s argument that the delay was due to its investigation of other possible grounds for disclaiming. State Farm’s witness testified that the investigation was completed in two weeks. In any event, however, “just as we would not permit the insured to delay giving the insurer notice of claim while investigating other possible sources of coverage, [*2]we should not permit the insurer to delay issuing a disclaimer on a known ground while investigating other possible grounds for avoiding liability” (George Campbell Painting, 92 AD3d at 115).”
Related Articles
- Understanding coverage defenses when insurers fail to timely disclaim
- Preserving no-fault defenses through proper NF-10 procedures
- Combating procedural delay tactics in no-fault litigation
- How courts handle second chances for procedural mistakes
- New York No-Fault Insurance Law
Legal Update (February 2026): Since this 2012 decision, Insurance Law § 3420 disclaimer requirements and the standards for “reasonable time” determinations may have been subject to regulatory amendments or evolving case law interpretations. Practitioners should verify current provisions regarding notice timelines, investigation periods, and waiver standards, as courts may have refined the analysis of what constitutes reasonable delay in disclaimer situations.
Legal Context
Why This Matters for Your Case
New York law is among the most complex and nuanced in the country, with distinct procedural rules, substantive doctrines, and court systems that differ significantly from other jurisdictions. The Civil Practice Law and Rules (CPLR) governs every stage of civil litigation, from service of process through trial and appeal. The Appellate Division, Appellate Term, and Court of Appeals create a rich and ever-evolving body of case law that practitioners must follow.
Attorney Jason Tenenbaum has practiced across these areas for over 24 years, writing more than 1,000 appellate briefs and publishing over 2,353 legal articles that attorneys and clients rely on for guidance. The analysis in this article reflects real courtroom experience — from motion practice in Civil Court and Supreme Court to oral arguments before the Appellate Division — and a deep understanding of how New York courts actually apply the law in practice.
About This Topic
Preservation of Defenses on the NF-10 Denial Form
The NF-10 denial of claim form is the insurer's primary vehicle for asserting defenses to a no-fault claim. Under New York regulations, defenses not raised on the NF-10 within the prescribed time period may be deemed waived. The specificity of the denial, the timeliness of its issuance, and the consequences of failing to properly preserve defenses on the NF-10 are heavily litigated issues. These articles analyze the regulatory requirements and court decisions governing defense preservation on no-fault denial forms.
207 published articles in Preservation of defenses on NF-10
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Frequently Asked Questions
What is an NF-10 form and why does it matter?
The NF-10 is the denial of claim form used by no-fault insurers. Under 11 NYCRR §65-3.8, the insurer must issue the NF-10 within 30 days of receiving proof of claim (or the EUO/IME). The defenses listed on the NF-10 are the only defenses the insurer can raise — any defense not preserved on the form is waived.
What happens if an insurer fails to timely issue an NF-10?
If the insurer does not issue a timely denial via the NF-10, it is precluded from asserting most defenses to the claim. This preclusion doctrine is strictly enforced in New York courts. The claim is then deemed overdue, and the insurer must pay with statutory interest unless it can demonstrate a valid basis for late denial.
Can an insurer raise defenses not listed on the NF-10?
Generally no. The NF-10 must specify the grounds for denial, and the insurer is limited to those grounds in subsequent litigation or arbitration. Certain defenses like lack of coverage or fraud may be raised independently through a declaratory judgment action, but standard claim defenses must be preserved on the NF-10.
What are common procedural defenses in New York no-fault litigation?
Common procedural defenses include untimely denial of claims (insurers must issue denials within 30 days under 11 NYCRR §65-3.8(c)), failure to properly schedule EUOs or IMEs, defective service of process, and failure to comply with verification request requirements. Procedural compliance is critical because courts strictly enforce these requirements, and a single procedural misstep by the insurer can result in the denial being overturned.
What is the CPLR and how does it affect my case?
The New York Civil Practice Law and Rules (CPLR) is the primary procedural statute governing civil litigation in New York state courts. It covers everything from service of process (CPLR 308) and motion practice (CPLR 2214) to discovery (CPLR 3101-3140), statute of limitations (CPLR 213-214), and judgments. Understanding and complying with CPLR requirements is essential for successful litigation.
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About the Author
Jason Tenenbaum, Esq.
Jason Tenenbaum is the founding attorney of the Law Office of Jason Tenenbaum, P.C., headquartered at 326 Walt Whitman Road, Suite C, Huntington Station, New York 11746. With over 24 years of experience since founding the firm in 2002, Jason has written more than 1,000 appeals, handled over 100,000 no-fault insurance cases, and recovered over $100 million for clients across Long Island, Nassau County, Suffolk County, Queens, Brooklyn, Manhattan, the Bronx, and Staten Island. He is one of the few attorneys in the state who both writes his own appellate briefs and tries his own cases.
Jason is admitted to practice in New York, New Jersey, Florida, Texas, Georgia, and Michigan state courts, as well as multiple federal courts. His 2,353+ published legal articles analyzing New York case law, procedural developments, and litigation strategy make him one of the most prolific legal commentators in the state. He earned his Juris Doctor from Syracuse University College of Law.
Disclaimer: This article is published by the Law Office of Jason Tenenbaum, P.C. for informational and educational purposes only. It does not constitute legal advice, and no attorney-client relationship is formed by reading this content. The legal principles discussed may not apply to your specific situation, and the law may have changed since this article was last updated.
New York law varies by jurisdiction — court decisions in one Appellate Division department may not be followed in another, and local court rules in Nassau County Supreme Court differ from those in Suffolk County Supreme Court, Kings County Civil Court, or Queens County Supreme Court. The Appellate Division, Second Department (which covers Long Island, Brooklyn, Queens, and Staten Island) and the Appellate Term (which hears appeals from lower courts) each have distinct procedural requirements and precedents that affect litigation strategy.
If you need legal help with a preservation of defenses on nf-10 matter, contact our office at (516) 750-0595 for a free consultation. We serve clients throughout Long Island (Huntington, Babylon, Islip, Brookhaven, Smithtown, Riverhead, Southampton, East Hampton), Nassau County (Hempstead, Garden City, Mineola, Great Neck, Manhasset, Freeport, Long Beach, Rockville Centre, Valley Stream, Westbury, Hicksville, Massapequa), Suffolk County (Hauppauge, Deer Park, Bay Shore, Central Islip, Patchogue, Brentwood), Queens, Brooklyn, Manhattan, the Bronx, Staten Island, and Westchester County. Prior results do not guarantee a similar outcome.