Car accident claims - how you can get money from insurance

Car insurance is mandatory in most states in the United States, but this isn’t the only

reason it’s important you purchase it. A single accident could result in thousands of dollars

in damage, not to mention medical bills and other fines and having adequate car insurance

coverage can protect you from having to pay these costs yourself. However, many people

find themselves in a predicament where they get into an accident, make a claim, and

despite having what they think is adequate insurance coverage, have to pay for the

damages themselves. You can take measures to ensure that your car insurance claims are

approved. Firstly, you need to understand exactly what your policy includes or bars, right

down to the fine print.

1. Liability:

The basic insurance coverage is liability, which covers third party damages; i.e. if

you get into an accident where the other party is at fault, you can receive

compensation from his/her insurance company under liability. However, to ensure

you receive this coverage, you must pay attention to the following details:

a) Before getting behind the wheel ensure that you are listed and permitted to

drive the car by law, and will be covered by your insurance policy even if this

is not your own car.

b) Get the other party’s complete insurance information immediately after the

accident.

c) Collect evidence in the form of photographs and witnesses at the accident site

without a moment of delay so that there is no dispute that the other party

caused the accident.

While liability may be the minimum required by some states, it is advisable to go the

extra mile and get collision, comprehensive, Underinsured Motorist (UIM) Coverage

and Uninsured Motorist (UM) Coverage in addition, because liability alone will not

pay for damages to your own car or self. Also, if the other party is at fault, but does

not have insurance, then you will have to take care of the damages on your own

unless you have adequate coverage. This is why some states mandate Personal

Injury Protection and/or UIM coverage. Underinsured and Uninsured motorists

coverage takes care of damages to your automobile that were caused by another

un/underinsured party. PIP covers medical injuries, whether or not you are

responsible for an accident. For example, minimum requirements for Pennsylvania

car insurance include $5000 in PIP coverage.

2. Comprehensive:

Comprehensive insurance comes into play when your car suffers damages due to

something other than another car or stationary object, i.e., that which is not included

by collision. However, look closely at your insurance policy, because the fine print

may have clauses stating that you will not be covered for damages caused by

animals, flood or other acts of God. If your car is stolen, you can claim insurance

under comprehensive coverage. But again, your company may deny your claim if

you didn’t report the theft to the police immediately or left the keys in the car briefly.

So look out for such clauses on your comprehensive policy before signing the papers.

3. Collision:

Those whose car insurance coverage includes collision can make car accident claims

even if they themselves are at fault. Collision also covers damages caused if you

drive into an inanimate object such as a pole. However your claim may be denied if

an unauthorized person was driving your car at the time of the accident, if there

were more people in the car than there were seatbelts, etc. The way to avoid these

eventualities is to understand the limitations of your car insurance, and play by the

rules.

There are also several other things to keep in mind to ensure that your insurance company

approves your car accident claims:

1. Do not withhold information; in the event of an accident, your insurance company

may reject your claim if they discover that you lied to them or withheld pertinent

information from them at any point of time while you were insured with them. In

such a case, you would have paid insurance premiums for nothing.

2. Keep records of claims, receipts, and all paperwork pertaining to your car insurance.

3. Check with your insurers before making modifications to your car and inform them if

you decide to make any; often insurance companies charge extra or refuse to insure

certain modifications.

4. Find a reliable, reputed auto insurance company rather than going for the cheapest

company in the market. You should feel secure in the knowledge that your insurer

has the means and integrity to pay out when you file car accident claims.

5. Do not skimp on your car insurance coverage; you will only be able to file a car

accident claim if your policy includes and supports the damages incurred.

If you feel that your claim has been wrongfully denied, you have the option of filing a

complaint with your State Insurance Commissioner. Make sure you enclose a written copy of

the insurance company’s denial in your letter to the State Insurance Commissioner and

remember that your insurance company is required to provide you with said written proof.

If you neglect to read your policy properly, are dishonest with your insurance provider, or

scrimp on your coverage, you suffer the risk of having to take care of the damages on your

own, and in the bargain, having paid regular insurance premiums for nothing. But when you

buy car insurance, more than anything else, you’re paying for peace of mind and the

knowledge that you will not lose everything you’re worth in the eventuality of an accident.