[750IXIndividualGuy]

Here are some of my thoughts. First, you want to create a paper trail, and get them to respond in writing, as phone calls always result in "he said, she said" and or "you misunderstood what I said" I would contact them via certified letter, and ask them in your letter EXACTLY why your claim was denied. Get the specifics of how they determine how a wheel is/isn't damage by road contact. Upon the Adjusters visual inspection/examination, what was his official determination, and why? You need to specifically ask how a wheels they insure are found to be damaged by road impact, and what are the visual signs/indications that must be present or NOT present.

You want to do this BEFORE you file an appeal, so that hopefully they will back themselves into a corner by either saying something incorrectly, or providing you with information/ammunition about their decision that inconsistent, or was completely arbitrary on behalf of the adjuster etc. They may or many not respond, or only respond with the fact you need to file an appeal. It still looks better for you as a customer merely trying to understand why, and that they were not acting in a very diligent way to honor your legitimate claim.

The comment that their rep. said about some balancing of wheels is odd. If a wheel is not able to be balanced, then THAT wheel is bent and/or out-of-round, and this would mean either it was defective originally, or had to happen by an impact.

Also, you might have better luck having your tire/wheel insurance honored if you are at a BMW dealership (not saying it SHOULD work like that, but the dealership can pressure them to honor it to keep their customer happy).

Good Luck!