Understanding Auto Accidents: An Insurer's Perspective

An auto accident, also known as a car accident, is an unexpected road incident that can happen in the blink of an eye and result in injuries, vehicle damage, and insurance claims. In the aftermath of an auto accident, it is crucial to remain calm, assess injuries, and exchange relevant information with the other driver(s) and witnesses. Understanding your insurance policy and knowing what to do at the scene of an accident are vital to ensure your safety, protect your rights, and facilitate the claims process.

What to do at the scene of an accident

Being prepared and knowing what to do if you are involved in a car accident can save lives, reduce injuries and make the claims process simpler. Here is a list of things to do at the scene of an accident:

• Keep a safe distance: If you are the first person at the scene of an accident, make sure to park at a safe distance from the crash site. It is recommended to park at least 100 feet away. This will allow you to assess the situation without putting yourself in harm's way and provide space for emergency vehicles to reach the scene.
• Alert others: Turn on your car's hazard lights and set out emergency equipment like flares, cones, or traffic triangles to notify other drivers and alert them to the situation.
• Call for help: Call 911 or emergency services and 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 is another witness, ask them to make the call while you assist those involved.
• Assist the victims: If it is safe to do so, approach the scene and help the individuals involved. Do not move any of the victims unless they are in immediate danger. Avoid attempting to treat any injuries unless you have professional training. Instead, focus on keeping them calm and reassured until emergency services arrive.
• Check on the vehicles: Once you have checked on the victims, you can assist by putting the cars involved in "park" and turning off the ignition, but only if it is safe to do so.
• Stay at the scene: Do not leave the scene of the accident. If you hit an unattended vehicle, try to find the owner. If you cannot locate them, leave a note with your name, address, and contact information, along with details of the accident.
• Gather information: Collect as much information as possible, including the names, contact information, and driver's license numbers of all drivers involved. Obtain license plate numbers, vehicle identification numbers, and, if possible, take photographs of the damage and the accident scene. Get the names and contact details of any passengers, witnesses, and the responding police officers.
• Notify your insurance company: Contact your insurance agent or company as soon as possible and provide them with all the information you have gathered. Starting the claims process early will make it easier to recall the details of the incident.

How insurance companies determine fault

An auto accident, also known as a traffic collision or a motor vehicle accident, occurs when a motor vehicle collides with another vehicle, pedestrian, animal, road debris, or stationary obstruction. Auto accidents can result in injury, disability, death, and property damage, as well as financial costs for those involved.

Determining fault after an auto accident is a complex process that involves several stakeholders, including the drivers, the police, insurance companies, and sometimes legal authorities. Here are the ways in which insurance companies determine fault:

Analysis of the Accident Scene

Insurance companies analyse the accident scene by evaluating damage to the vehicles involved and their final resting positions. They also consider special circumstances, such as cell phone use, speeding, or driving under the influence, which can help determine fault.

Police Reports

Police officers create diagrams and reports of the accident scene, noting vehicle damage, resting positions, and special circumstances. These reports are important documents for insurance companies when determining fault.

Witness Testimonies

Insurance companies may contact and interview witnesses to the accident, including those involved in the collision and any bystanders. Witness testimonies can provide valuable information about the events leading up to the accident and help establish fault.

Review of Applicable Traffic Laws

Insurance companies review and apply relevant traffic laws to the circumstances of the accident. If a driver is found to have violated any traffic laws, such as speeding or running a red light, they are typically assigned a higher percentage of fault.

Accident Reconstruction

In some cases, insurance companies may employ accident reconstruction experts to analyse the evidence and establish a sequence of events leading up to the accident. This can help determine which actions or inactions contributed to the collision.

Comparison of Claims

Insurance companies compare the claims and accounts of all drivers involved in the accident. They look for consistencies and inconsistencies in the stories to help determine fault.

Arbitration

When insurance companies disagree on fault, they may choose to use a neutral third-party arbitrator to review the evidence and assign fault. This helps avoid costly and time-consuming legal battles.

It is important to note that the process of determining fault can vary depending on the specific circumstances of the accident and the laws of the state where it occurred. Each state has its own laws regarding fault determination and insurance claims. In some cases, the drivers involved may share the fault, with each driver's insurance company covering a percentage of the damages based on their level of responsibility.

How to file a claim

It's important to know what to do in the event of an auto accident. Here is a step-by-step guide on how to file a claim with your insurance company:

Step 1: Notify Your Insurance Company

Call your insurance company as soon as possible, even if you are still at the scene of the accident. It is important to inform them about the incident and find out if your policy covers the loss incurred.

Step 2: Use a Mobile App

Many insurance companies now offer mobile apps that allow you to report a claim, check its status, upload photos, and perform other functions. Using these apps can streamline the claims process and make it more convenient for you.

Step 3: Gather Necessary Documents

Your insurance company will require various documents to support your claim. These typically include a "proof of claim" form and a copy of the police report, which you may have filled out at the accident scene. Keep all documentation related to the claim organised and easily accessible.

Step 4: Understand Timing and Deadlines

To avoid missing any critical deadlines, ask your insurance company about the timing of your claim. Find out if there are time limits for filing claims, submitting bills, and resolving disputes. Also, clarify if there is a deadline for submitting additional information.

Step 5: Rental Car Coverage

Find out if your policy covers a rental car while your vehicle is being repaired. Understand the estimate and repair process as it relates to your claim. Check your policy or contact your agent to confirm if you have rental car coverage.

Step 6: Provide Information and Fill Out Forms

Supply your insurance company with any additional information they request. Carefully fill out all the necessary claim forms and keep records of everything related to the claim. This includes the names and contact information of everyone you speak with at your insurance company and any bills related to the accident.

What to do if your car can be repaired

If your car can be repaired after an accident, the first thing to do is to report the accident and initiate the car insurance claim process. The insurance company will then inspect your car and come up with an estimate of the damages. You may then bring your car to your preferred mechanic and ask if they will accept the insurer's estimate. If they think the estimate is too low, they may agree to call the insurance adjuster and discuss it directly.

If your car was damaged in a car accident, the insurance company is only required to pay up to the value of your vehicle at the time of the accident. If the repair costs exceed the value of your car, the insurer will often declare the vehicle a "total loss", pay you the actual cash value of your vehicle, and take possession of the vehicle.

If the other driver was at fault for the accident, you can file a claim with their insurance company to get your car repaired or replaced. This is known as a "third-party" insurance claim. If the other driver doesn't have enough insurance or if you were at fault, you can make a claim against your own insurance policy's collision coverage, if you have it.

It's important to review your insurance policy to understand what is covered and what is excluded. For example, comprehensive coverage will pay for damage caused by something other than a collision, such as weather, fires, and falling tree branches, as well as theft, vandalism, and accidents involving animals.

If you caused your own vehicle's damage, you can either pay for the repairs yourself or make a claim against your collision coverage, if you have it. However, making a claim may raise your insurance premium, so it might be more cost-effective to pay out of pocket if the damage is not extensive.

When choosing a car accident repair shop, look for one that offers free estimates, I-CAR certified technicians, a lifetime limited warranty for repairs, and a meticulous quality control process. You are not required to use the repair shop suggested by your insurance company; you can choose a shop that you're comfortable with or search for one in your area.

What to do if your car is a write-off

If your car is written off, your insurance company will pay you the current value of the vehicle instead of covering the cost of repairing it. This happens when the cost of repairing your vehicle after a collision is more than its value after subtracting the recycle or salvage value.

In the UK, there are different write-off categories, each with its own implications. These include:

• Entire vehicle must be scrapped
• Body shell must be scrapped, but other parts can be salvaged
• Can be repaired, but it would cost more than the vehicle is worth
• Can be repaired and would cost less than the vehicle's worth, but other costs make it uneconomical to do so
• Can be repaired following non-structural damage
• Can be repaired following structural damage

If your vehicle has been classified as a write-off, you need to:

• Send your V5C logbook to your insurance company. Remember to take out the yellow 'sell, transfer or part-exchange your vehicle to the motor trade' section for your own records.
• Tell the DVLA that your car has been written off. Failure to do so could lead to a £1,000 fine.
• Apply to keep your vehicle's registration number, especially if it's a personalised plate.

If your car falls in categories C, D, N, or S, you can still have it repaired and feasibly get it back on the road. The DVLA may need to inspect this maintenance to make sure your vehicle is roadworthy. It will then record your vehicle's write-off category in the V5C logbook for future reference.

If you disagree with the amount of the settlement offer you receive for your car, you can present your own evidence of comparable vehicles.

Frequently asked questions