How To File An Car Insurance Claim In The US

You must quickly alert the police, exchange information with the other driver, and document the damage for your insurance claim after an accident. You may need to make a claim with your insurance carrier or the other driver’s, depending on your coverage and the accident.

Each car insurance claim is unique. State insurance laws affect processing timelines and blame assessment. Know your rights if an insurance dismisses your claim or offers an unfair settlement.

What to Do at the Accident Site

Steps to Take

Here’s what you need to do:

• Get to Safety

If your car is impeding traffic, relocate it to the side of the road if you can do so safely. However, if your automobile is leaking fluids, such as oil or gasoline, leave it where it is and move somewhere safe. Use flares or emergency triangles to alert other drivers.

• Check for Injuries

Call 911 if there are any injuries from the collision. Provide first assistance until the ambulance arrives.

• Notify the Police

Contact the police department. In some areas, police may only react to certain accidents. Even so, it’s critical to tell the authorities because some motor insurance policies mandate reporting within a specific time frame.

• Exchange Information

Get the other driver’s information, including:

• Name
• Address
• Telephone number
• Driver’s license number
• Insurer’s contact information
• Vehicle identification number (VIN)
• License plate number
• Make and model of vehicle

You may need to check the above information against the physical driver’s license and vehicle registration. It may be best to photograph the driver’s license, license plate number, vehicle identification number, and registration.

• Document the Damage

You may need to check the above information against the physical driver’s license and vehicle registration. It may be best to photograph the driver’s license, license plate number, vehicle identification number, and registration.

• Call Your Insurer

Contact your insurance carrier, even if the other driver appears to be at blame in the accident. When you speak with a claims or customer support agent, ask the following questions:

• What coverages do I carry?
• What are my coverage limits?
• What is my deductible?
• Does my policy cover a rental car?

The insurance may require you to submit images of your vehicle’s damage or schedule an in-person inspection. Typically, the insurance company will suggest that you drive your car to a body shop to get an estimate on repair expenses.

• Filing a Claim Against the Other Driver

If your insurance covers vehicle repairs or injuries, you can file a claim with your insurance carrier after a traffic accident. You can file a claim with the other driver’s insurer if they caused the collision. First-party claims are filed with your insurer, while third-party claims are filed with another driver’s carrier.

Third-party claims have pros and cons. You can settle and their insurer will pay. Your insurer won’t. Third-party insurers represent their policyholders, not you. If the third-party adjuster finds their policyholder at fault, they may offer a payment. Their insured must help with the investigation. Texas Public Insurance Counsel. “Information on Third-Party Claims.”

• Bodily Injury Claims

Once medical treatment is complete, insurance companies usually settle bodily harm claims. If you break a leg in an accident, the insurer may not pay your bodily injury claim until you finish doctor’s appointments and physical therapy.

When offering a bodily injury settlement, the insurer will want a “release for damages” document. By signing, you accept the settlement and cannot sue again. Thus, you should only accept a payment after you recuperate from your injuries.

• Filing a Claim Using Your Own Insurance

If you are injured or your car is damaged in an accident, you can make a claim with your insurance provider. If you are at fault in an accident, you must file a claim with your insurance company as long as your coverage applies. In most states, you file a first-party claim if you have:

• Collision: For accidents involving a collision
• Comprehensive: For theft and vandalism
• Medical payments or personal injury protection (PIP) coverages: For injuries
• Uninsured motorist: If the other driver wasn’t insured

If you simply have state-mandated liability coverage and are at fault, your insurer will not pay your injuries or property damage. However, in “no-fault” states like New York, you can submit a claim with your own insurance for injuries. “Filing Claims Under Your Own Policy.” New York State Department of Financial Services.

• Comparative Negligence

Some states allow comparative negligence. Insurance companies must evaluate each driver’s fault under these laws. Say you hit a red-light-running automobile while speeding. Your provider and the other driver’s insurance adjusters may find the other driver 90% guilty for running the red light. You were 10% culpable for driving too fast to avoid the crash.

Damages may depend on comparative negligence in several states. For instance, Utah law prohibits collecting damages if you are more than 50% culpable for the crash. If you’re less than half at blame, the third-party insurance must pay for car repairs. Because you were partially culpable, the third-party insurer may only settle for 90%. Utah Insurance Dept. “Filing an Auto Claim with the Other Party’s Insurance Company.”

Next Steps

States may set limits on how long an insurer can wait to respond to a claim. For example, New York law compels providers to provide a property damage offer within six working days.

If your claim is accepted, the insurance company will pay the compensation according to the policy’s coverage limit. For example, if a policy covers $20,000 in property damage damages, it will only pay up to $20,000 per claim.

• Property Damage Claims

Select a repair shop when filing a first-party claim for vehicle repairs. Unhappy with the settlement amount? Get an independent appraisal. Insurance adjusters and appraisers calculate car cash value.

Damage to your car above its pre-accident financial worth or major difficulties like flooding may cause the insurance provider to declare it a total loss. In such circumstances, the insurance pays solely the car’s depreciation. If you total a $10,000 car, the compensation won’t exceed $10,000.

• Bodily Injury Claims

If another party was at fault for your collision, their bodily injury claims insurance coverage will cover expenditures such as:

• Doctor and hospital bills
• Laboratory fees
• Lost wages
• Rehabilitation expenses

If you were at fault, medical payments and PIP coverage might assist cover the costs. A policy may also provide compensation for pain and suffering. If you disagree with a pain and suffering compensation, you may want to consult an attorney.

• Alternative Scenarios

Insurance claims don’t always go well. The insurance company may refuse your claim or provide a payment that does not cover your damages.

• When to Sue

In general, if there is a death, injury, or significant physical damage, you should consult with a lawyer. Find a lawyer who specializes in personal injury claims. The lawyer can advise you on the deadlines for accepting a claim offer or filing a lawsuit, if your case is worth pursuing, and what your next steps should be.

Your capacity to suit is determined by your state, the period since the accident, and the circumstances of your case. For example, North Carolina law prohibits a motorist from collecting damages on a claim if they are even substantially at fault in an accident.

In some no-fault states, individuals are prohibited from suing an at-fault motorist unless the accident results in death, permanent disfigurement, significant injury, or property damage that exceeds a certain monetary amount. Maloney and Campolo Law Offices. “Fault vs. No-Fault Insurance Laws by State.”

• If Your Claim Is Denied

Insurers deny claims altogether or partially for several common reasons, including:

• Lack of coverage: Some claims require specific coverages to be in place. Without these coverages, you will be responsible for your own or your passengers’ injuries or vehicle damage. If an unlisted driver from your family is involved in an accident while driving your vehicle, the insurance company may deny your claim. Your claim may also be denied if it exceeds your insurance limit.
• Providing false information: Some claims require specific coverages to be in place. Without these coverages, you will be responsible for your own or your passengers’ injuries or vehicle damage. If an unlisted driver from your family is involved in an accident while driving your vehicle, the insurance company may deny your claim. Your claim may also be denied if it exceeds your insurance limit.
• Suspected fraud: The insurance may think that the accident never happened or that you are inflating the cost of treatment and repairs. Alternatively, an insurer may believe the accident was purposefully induced or that another type of fraud happened.

Check your policy or ask your agent why your claim was denied. If the explanation isn’t satisfactory, your state and insurance contract determine your next steps.

Damage amount disagreements can be resolved by appraisal in some contracts. You can always complain to your state insurance department for help with your insurer. If the claim denial breaches the law or your policy, the state insurance department can aid.

• How Long Do You Have to File a Car Insurance Claim?

The statute of limitations in your state and your insurance contract determine your auto insurance claim window. The “duties after an accident or loss” part of your auto insurance policy will explain next measures.

The policy usually says “promptly.” Other measures may be listed in the policy, such as reporting car theft, vandalism, or hit-and-run damage to law enforcement within 24 hours. You may need to file a medical claim within a particular timeframe after treatment.

• What Happens in a “No-Fault” Accident?

In a “no-fault” state, following an accident, each driver makes an injury claim with their own insurance company, regardless of who was at fault. Personal injury protection (PIP) coverage, which was implemented to decrease auto accident litigation, compensates for your and your passengers’ medical expenses following an injury accident. The state will demand a minimum level of insurance coverage, with optional higher amounts available.

• Can You File a Car Insurance Claim without a Police Report?

Yes. In certain areas, police only react to serious traffic accidents that result in injuries. However, local and state laws frequently require you to notify the police or the department of motor vehicles about a collision within a particular time frame. To avoid a potential fine or complications with an insurance claim, always inform the police following a traffic collision.

• What Is Insurance Subrogation?

If the other driver’s insurance company doesn’t give a full payout for your third-party claim, If you have collision or comprehensive insurance, you can file a claim. Subrogation allows your insurer to recover the difference between your coverage amount and the liable party’s insurance. When the other driver was at fault, filing a collision coverage claim without suing their insurance can lead to subrogation. Your insurer will ask the other party’s insurer for the collision coverage payment.

• Should I File a Claim for a Minor Car Accident With No Damage?

When you submit an auto insurance claim, you risk having your premiums increased. Thus, it is best to avoid filing a claim for minor repairs that can be paid for out of pocket. In general, it may be advisable not to submit a claim when the accident:

• Does not involve another person’s vehicle or another type of property
• Is a minor accident without injuries
• Involves property damage under your city or state’s required threshold for reporting
• Involves repair costs lower than your policy’s deductible

The Bottom Line

The method for filing a claim differs by provider. Some insurers allow you to file a claim over the phone, while others require you to file it online or using a mobile app.

Before an accident occurs, learn about your insurance company’s claim-filing regulations. Also, look into state and municipal rules governing police notification after an accident, as well as any requirements that insurance must follow while processing your claim.

Source: Investopedia