File Claims: Car Damage

Whether you should file an auto insurance claim after damage depends on a few factors, including the extent of the damage, whether other people were involved, and the costs of repairs compared to your insurance deductible. In general, it's better to report an accident to your insurance company than not to, especially if another party is involved. However, there are some instances where not filing a claim makes more sense.

If you have collision coverage, it will pay for damage to your car. But if you only have minor damage, such as a small dent, you might consider paying for the repairs yourself or leaving the damage rather than filing a claim, especially if the cost of repairs is less than your deductible.

If you damage someone else's car, it's generally recommended to file a claim, especially if you are at fault. If someone else is at fault and offers to pay out of pocket, proceed with caution, as it's easy to underestimate the cost of auto repairs.

In the case of property damage or bodily injury, it's crucial to file a claim, as you could be held responsible for paying high costs.

When to file a claim with your insurance company vs. the other driver's insurance company

If you've been in a car accident, it's important to know whether to file a claim with your insurance company or the other driver's insurance company. Here are some things to consider:

Filing a Claim with Your Insurance Company:

• If you are at fault: If you are the at-fault driver, it is generally advisable to communicate and file a claim with your own insurance company. This way, you can maintain control over the process and avoid potential issues with the other driver's insurance company.
• If fault is unclear: In cases where it is not immediately clear who was at fault for the accident, it is typically better to involve your own insurance company first. They can help guide you through the process and determine the appropriate next steps.
• If you have collision coverage: If you have collision coverage, it may cover the cost of repairing or replacing your vehicle, regardless of who was at fault. However, you will need to pay your policy deductible, so consider if the cost of repairs is less than or comparable to this amount.
• If you have uninsured/underinsured motorist coverage: If the other driver is at fault and doesn't have insurance or enough insurance to cover your repairs, your uninsured/underinsured motorist coverage can help. It also covers hit-and-run accidents if you don't have the other driver's insurance information.
• If you have medical bills: If you or your passengers sustained injuries, your personal injury protection coverage, medical payments coverage, or uninsured/underinsured motorist coverage may help cover the costs.

Filing a Claim with the Other Driver's Insurance Company:

• If you are not at fault: If you believe you are not at fault for the damage to your vehicle, you have the option to file a claim with the other driver's insurance company. This can save you from paying a deductible, which you may need to pay if you file with your own insurance company first.
• If you want alternative transportation: The other driver's insurance company may provide you with a rental car or alternative transportation while your vehicle is being repaired. Your own insurance company may not offer this if you don't have that specific coverage.
• If you have all the necessary information: To file a claim with the other driver's insurance company, you will need their full name, insurance policy number, a copy of the police report, photos of the damage, and records of any injuries or medical bills.
• If you want to avoid a potential rate increase: Filing a claim with your own insurance company may result in a rate increase, depending on your previous claims history, insurance company rules, and state regulations. Filing with the other driver's insurance company may help you avoid this risk.

Remember, every situation is unique, and it's always a good idea to consult with your insurance provider to understand your specific coverage and options.

When not to file a claim

When not to file an auto insurance claim:

• Single-car accidents with minor damage: If you're the only one involved in an accident and the damage to your vehicle is minor, you may decide not to file a claim. For example, if you back into a pole and the damage is less than $1,000, it may be more cost-effective to pay for the repairs yourself and avoid a potential increase in your insurance rate.
• Claim amount is less than the deductible: If the cost of repairs is the same or less than your deductible, there is little benefit in filing a claim. In this case, it's usually more cost-effective to pay out of pocket rather than risk higher premiums in the future.
• Insurance rate increase exceeds out-of-pocket repair costs: Consider whether the cost of a potential rate increase over several years would be more than the immediate cost of repairing your vehicle. An at-fault accident can result in higher premiums over three years, and accidents typically remain on your claims history for three to five years.
• Minor accidents with another vehicle: In some cases, it may be preferable to reach an agreement with the other driver to settle minor accidents privately, especially if the damage to both vehicles is minimal. However, it's important to exercise caution in these situations, as the other driver may have ulterior motives and try to avoid taking responsibility for the damages they caused.
• Older vehicles with cosmetic damage: If you have an older vehicle and aren't concerned about its appearance, you may choose to forgo filing a claim for minor cosmetic damage, such as a dent in the fender.

What to do at the scene of an accident

Being involved in a car accident can be stressful, but knowing what to do can help save lives, reduce injuries, and make the claims process simpler. Here are some detailed steps to follow if you find yourself at the scene of an accident:

Keep a Safe Distance

If you are the first to arrive at the scene of an accident, park your car at a safe distance, ideally a minimum of 100 feet away. This will allow you to assess the situation while keeping yourself out of harm's way and providing space for emergency vehicles to reach the scene.

Alert Emergency Services

Call 911 in the US or 999 in the UK (or 112 on a mobile phone) to alert emergency services. Provide specific details about the accident, such as the location, the number of people involved, the severity of injuries, and any other relevant information. If there are other witnesses present, ask one of them to make the call while you assist those involved.

Assist the Victims

If it is safe to do so, approach the scene and assist the individuals involved. Do not move any of the victims unless they are in immediate danger, and refrain from attempting to treat any injuries unless you have professional training. Your role is to provide reassurance and keep them calm and out of harm's way until emergency services arrive.

Secure the Scene

If possible, put the cars involved in "park" and turn off the ignition to prevent further accidents. Use your car's hazard lights, emergency flares, orange cones, or warning triangles to alert other drivers and slow down traffic. Ensure that all children are kept at a safe distance from the scene.

Collect Information

Gather as much information as possible, including the names and contact information of everyone involved, including witnesses. Exchange information with the other driver(s), such as license details, car registration, and insurance ID cards. Make note of the location, time of day, weather conditions, and any other relevant details. Use your smartphone to document the scene and record driver and car information.

File a Report

Alert the police or highway patrol, especially if the accident is serious or if anyone is injured. Get the names and badge numbers of the officers on the scene and inquire about obtaining a copy of their accident report. Even if the police cannot come to the scene, head to the nearest police department or their website to file an incident report. This official report will be crucial for insurance claims and in case of any legal proceedings.

Notify Your Insurance Company

Get the claims process started by notifying your insurance company about the accident as soon as possible. The longer you wait, the harder it will be to recall important details. Remember to have all the necessary documentation, such as registration, proof of insurance, and leasing agent information readily available.

How insurance companies evaluate vehicle damage

When it comes to evaluating vehicle damage, insurance companies follow a standard procedure to determine the extent of the damage and the cost of repairs. Here's a step-by-step guide on how insurance companies typically assess vehicle damage:

• Thorough Inspection of Damage: Once a claim is filed, an insurance adjuster or appraiser will schedule an appointment to inspect the vehicle. They will conduct a detailed examination of the car, taking note of all the damages incurred. It is recommended that the vehicle owner is present during this assessment to ensure that all damages are identified and recorded. The adjuster will also take photographs from various angles to document the condition of the vehicle.
• Determining Pre-existing Damage: During the inspection, the adjuster will carefully scrutinize the damage to differentiate between damages caused by the accident and any pre-existing damage. The insurance company will only compensate for damages directly resulting from the incident in question. Evidence of prior repairs, rusting, or wear and tear may lead to the denial of coverage for certain pre-existing issues.
• Computer-assisted Damage Assessment: After the visual inspection, the adjuster will utilize specialized computer software to estimate the cost of repairing the accident-related damage. This software provides an initial estimate, which may be further refined through consultations with mechanics or auto body repair experts.
• Considering an Initial Repair Offer: It is important to remember that the claims adjuster represents the insurance company and aims to limit the payout amount. The adjuster may offer an initial repair estimate, which is often lower than the maximum amount authorized. Vehicle owners should carefully consider this offer and be prepared to negotiate if they believe the proposed amount is insufficient.
• Securing a Fair Repair Offer: Vehicle owners have the right to actively participate in the claims process to ensure a fair repair offer. This includes documenting the damage with photographs, obtaining repair estimates from multiple auto body shops, and comparing them with the adjuster's initial offer. Vehicle owners can reject the initial offer if they have valid reasons and supporting evidence.

By following these steps, insurance companies aim to provide a comprehensive evaluation of vehicle damage, ensuring that claimants receive a fair and reasonable settlement offer for their repairs. It is important for vehicle owners to be proactive, gather their own evidence, and consult with experts to maximize their recovery.

What to do if the insurance company doesn't contact you

It is important to contact your insurance company as soon as possible after an accident, even if you are not at fault. However, if you are waiting to hear from your insurance company after filing a claim, there are several steps you can take.

Firstly, it is worth checking that you have provided all the necessary information. When filing a claim, you will need to provide the year, make, model, and color of any cars involved, as well as any other distinguishing features. You will also need to provide driver and passenger names and ages, the date and time of the incident, the time the police arrived and the name and badge number of the officer(s), and the names and contact information of any witnesses. If you have not already provided this information, your insurance company may be waiting for it before proceeding with your claim.

If you have already provided all the necessary information, it is worth checking the status of your claim. Many insurance companies allow you to track your claim online or via an app. Alternatively, you can call your insurance company to ask about the status of your claim. It may be helpful to have your policy number to hand when you call.

If your insurance company still does not contact you, you may need to escalate the issue. You could try asking to speak to a supervisor or manager, who may be able to provide more information or help speed up the process. It is also worth checking your policy documents to understand your rights and responsibilities when making a claim. This will help you determine if your insurance company is handling your claim appropriately.

If you have taken these steps and are still waiting to hear from your insurance company, you may need to consider alternative options. You could try contacting them through a different channel, such as email or live chat, if available. You could also consider seeking legal advice or switching to a different insurance provider.

Frequently asked questions