Best auto insurance companies in New Jersey? Actually it’s depends on lots of factors. Most of the best insurance companies have very competitive price, better customer services and lots of amazing coverage options. You see lots of ads on TV and peoples are very happy with their insurance company. But this is just a magic show and they are playing their tricks. So don’t fall for these tricks.
So with my experience and lots of research, I have the list of best companies, which I will recommend to my family and friends.
Best Insurance price in New Jersey
Everybody knows that premiums are going high all over the country not only in New Jersey. I have a research, and according to this, auto insurances rates rose more than 5% from March 2015 to March 2016. But that’s not it. It not stops here. It’s much worse than that. Another research showing that from last two years, premiums rose about 10%. So it’s very difficult to find best auto insurance companies in New Jersey. But not for me, I have spent lots of my time in this industry and lots of time with my research.
So why are the price going high and how you can you get a best insurance rate is all here in this article.
Why you paying too High
These are the main reason why are you paying high.
- Better New Jersey job market means people driving more and more. That means more and more accident. According to a report by National Safety Council, accidents rate are rising every year. According to this study accident increased 8% from 2014 to 2015. So this is also a very big reason.
- Speed limit plays a very important role in accident and insurance price too. There is lots of state which have increased their speed limit from 70 miles per hour to 80 miles per hour and after that 20% accident rates increased from last two year. So speed limit plays a great role here.
- Overall an American pays average 30,000 for his new car. If you have expensive car then your insurance also be very expensive. So it’s also depends on what kind of car you driving. If you have red colored expensive car then you have to pay more for everything.
So you can see price is increasing very year. So what you can do to get the cheap car insurance in New Jersey and how can you find a find Best auto insurance companies in New Jersey.
How to Get Cheap Auto insurance companies in New Jersey
I know price are high and increasing every year, but that doesn’t mean that you have to pay more then what is actually price and you will also learn how to buy and cheap car or auto insurance in New Jersey.
Follow this process to get the best insurance.
- Find Best car Insurance Company. Yes this is very important; I mean I will help you with it for sure. Check their online review, talk to people on some online forum and check out company online details as much as you can. Because this step will help you to lower your premiums.
- After filling contact us form, insurer will start calling you and will offer you the most recent insurance policy and they will help you with all kind of problem or doubts you have regarding to your model no. or car. Insurance broker is also an option here they will offer you lots of insurance policy and you can choose one according to your comfort. This one is one to see all the options and comparison in multiple policies.
- Now it’s time to compare the quote with each other now take all the quotes with the same price so you can compare them with each other. Don’t get over excited if a bad company offers you a good quote I strongly recommend you to go for good company rather than a poor company with good quote. If you want that your insurer will help you when the time is not right then not choose the poor company.
- Very basic rule is to leave your comprehensive and collision if it exceeds to 10% of your vehicle price. Leave it and get liability coverage only.
Discount from Auto Insurance Companies in New Jersey
- If you have antitheft device.
- If you are a student.
- If you have more than one policy from the same company.
- No tickets.
- If you have defense driving course.
- Long customer with the company.
- No accident from last 3 years.
- Student with good grades.
So here is finally we are at our most important point of this article. Price plays very important roles while you choosing an insurance policy. But don’t choose a cheap policy I recommend you to choose a better policy even if you have to pay more money. Because it will be really bad when you will claim and they will not care for your experience with them.
Here is the name of the Best Auto Insurance Companies in New Jersey
- State Farm is the one of best car insurance companies in New Jersey and their customer experience is the best, no company is better than State Farm if you talking about the customer experience. I’m amazed by their claim handling process and smooth customer services. It is very easy to contact them or talk to their agents even you can send a pic of your damaged car through their App. Compare to other insurance company they don’t allow you to talk their agents or let the agent help you when you file any claim. This will help you to stay away from the very painful process.
But there are some points they miss so you better know about them. They miss few driver discounts so whenever you buy any insurance talk to them by these driver discounts. Also they not provide you the new car replacement coverage. These are not very important for everyone but can be deal breaker.
But no one handle they claim the way they do, 18000 agents nationwide. App to help you immediately, you can share the pic of your damaged car with them and then they will help you with everything. Other firm just provides you basic but State Farm they will help you with their best abilities. They have best rating by customers. They also have best tool to get the quote online. You can even compare the quotes with each other. This is very simple process and a click away and also tells you all the coverage options too.
- Amica is my favorite one, I want to give it to first place but there is lots of research giving to two, so I also decided to give it the Second place in my list. It has second highest rating from customer for their customer satisfaction services. You compare 20 other companies and Amica get the second place for their customer service that means a lot. It means they have a very long list of satisfied customer.
Amica is trustworthy insurance company. According to a report there are only few customers who have faced a little problem with claim process. Although quotes process is bit slowly, it if you call them or contact them online they will send you a basic quote and it will take 30 minutes to get the updated quotes from them. Amica missing some driver discount which they must provide to their customer like military discount and some others too. They are not enough resource online to help the customer on Amica site. In some policy you need some answers, you have doubts then there is not enough help online. So this is also a disadvantage.
In J.D. satisfaction survey Amica score perfect in 4 services out of 7. This is good news and an achievement too. They also have stable rating everywhere. If you compare it with other company then they don’t have body shop restriction, but most company do. They also have a coverage called platinum coverage choice; it’s a bit expensive but covers lots of property in it and also if you are a good driver or not got any tickets then you will get some reward points. They offer all drivers and all kind of vehicles for their insurance. This is not offered by the most insurance companies.
- The Hartford is 10 largest auto insurance company but it surprise it’s customer with their services. They also have very beneficial policy list like how much you drive the car and new car replacement program also. This is the only company which scores perfect 100 in car insurance discount.
With these kinds of policy and discounts according to some reports, customers are still less than average satisfied. It also has 2 stars rating which is not very good for its customer interaction.
Like Amica they also don’t have much online education source. You can see there is so much competition and they have big competition but still not much help online. People want transparency. So if they have some doubts or questions they can read online.
They have mechanical repair policy according to this policy they will cover the fee of mechanic and repair. This is the only company which has this coverage policy. They not only give you discount and good policy list but also give you benefit of policy selection. These are very nice option they offer to their customers, they also give you on road help services.
Once again I like to mention this point that they get 100 out of 100 in preaches service.
- Progressive car insurance is also a very good choice and they deserve to be in Best auto insurance companies in New Jersey. They will give you all their quotes for free and if you tell them your budget they will quickly provide you the best car insurance quotes.
Website is also very easy to navigate and claim process is also very easy and simple. They also provide you the roadside help if you are on travel or need repair. They also give you multi insurance policy discount.
They provide lots of online assistance also. They install their tools in your car and it and this device will collect the all details. How much car you use, what time you go for ride how many times you use the break and if your statistics looks good then you can get discount up to 10%. But this device is not for every state. They have an app also which you can use for roadside assistance, upload photo of car damage and can pay for your policy.
You can use Progressive comparison tool to compare the quotation with all their quotes and also with their competitor insurance companies. Progressive is the only company which allows you to compare your policy with the other companies.
There is also advantage and disadvantage of Progressive car insurance. They do not have too much coverage options so customers not find it very helpful and because of it they get negative reviews. They have their device which helps them to understand your driving skills. How many times you use break, what is your driving time, you drive a lot in the night time. So they can give you some discount if they get the result that you are very protective with your car. But some people feel like that a big brother is watching you, like somebody spying you them.
- USAA is the option if you or were the part of US army. There is no better then USAA if you are the part of US army. This is the 3rd most rated car insurance company in New Jersey. They have a little tough quotation process but it this is all fine when you get the best policies for you. If you leave the quote process then you will get the surprisingly amazing quotes for you.
In some very important reports USAA scored perfect 100 and its top rated company. According to A.M. rating USAA get the most stable rating in USA.
But there are some points that you will not like and that is this is only for US army members and their family. They don’t provide some key coverage. They are very important coverage options like GAP insurance and car replacement coverage.
So these are the Best auto insurance companies in New Jersey. But here is also some option which you can use to get the best car insurance quote from above companies.
Always remember if you buying cheap car insurance that doesn’t mean it’s best auto insurance company in New Jersey or best car insurance. According to me, first, you need to make a list of what you want or what you need in insurance policy and then start contacting to other, call agents and ask for the quotes from the companies. After you done with your all checklist of your need, search for the best insurance companies for car insurance then start contacting them.
You are living in New Jersey, then you have to pay more then what is nation paying right now. New Jersey is crowded state that means there are more chances of accidents, that’s why premiums are high here.
In a report, New Jersey is very expensive for car repairing and because of these factors insurance policies are very expensive. For the same insurance policy you will pay less if you are in another state.
So these are the top points to know about best auto insurance companies in New Jersey. Please this article so your friends and other also get the right information before buying the insurance.
- August 19, 2016
The car accident claim is the claim from the injuries which is caused by the negligent driver. In most of the cases the injured party is looking to receive the compensation for the expenses which is related to the accident. Keep in mind that the nature and the value of the car accident claim is different from case to case. There are many factors which will influence and how much the defaulter driver has to cover. If you are having the serious car accident injuries then you must contact to the experienced personal injury lawyer. The qualified lawyer is having the knowledge of the local laws and can help you to determine if you may have the valid claim for the lost wages or medical expenses.
Here are some factors that could affect your car accident claim:
- Medical attention- if you are having the serious injuries in the car accident then it is very important to consult the doctor or go to the emergency room as soon as possible. It is very important to have the treatment or therapy for the injuries before they become serious. It’s sure that the judge will look your claim if you delayed to visit the doctor.
- A police report- A police is valuable document in case of the car accident claim. It will provide you the comprehensive as well as the credible information regarding the accident. It also contains the details about the law enforcement officials who are assisted at the scene. If you are claiming through the insurance it is like the representative from the insurance company which will verify all the claims with the attending officer who is listed on the report.
- Pre-existing injuries- if you are having the pre-existing injuries then you must have the scans and x-rays for the injured regions. The experts will compare the scans from before and after the accident. From this they will able to determine the extent of the new injuries.
Tips for filing the car insurance claim
If you are driving the car and get in the car accident or have another incident which damages your car then you must follow some steps to file the claim with your car insurance company to receive the reimbursement. The types of claims also include the bodily injury claims for medical expenses and the property damage claims for the vehicle repair and the stolen property.
When to file the claim
After the accident contact to your car insurance company as soon as possible because you need to file the claim for your vehicle if it is:
- Damaged from the non-accident related events such as fire or severe weather.
Remember that the phone number of your insurance agent or your insurance company is listed in front of your insurance card. You can also find it online or on your actual policy documents.
The information which you will need
When you talk to your insurance company to file the claim then make sure to provide the necessary details:
- Your full name and your policy number
- The start and end date of your insurance policy
- The date and time of the accident
- The name, address and contact number of the driver, passengers and the witness.
- The driver license of all the driver
Make sure to take the pictures of the damages and note down the personal harms which you notice. Your insurance company also requires you to complete the statement which details the events of the car accident such as the weather condition, time when the incident occurred.
Basic steps to file a claim
Once you talk to your car insurance company after that you have to go through the following steps:
- The case will be assign to the professionals by your car insurance company who will work on your claim
- Discuss about your coverage and the situation after meeting with your claim professional
- Some evaluation can be done by the claim professionals which include inspecting your car, examining the evidence of the injury claims or any initial payment.
- Resolution of the case include the appropriate payments
- Closing of the case
You are responsible to protect your own property and your car, insurance company wants you to make some temporary fixes for your car when you are waiting for the car repairs. As it can help you to prevent the further damages. Make sure not to make any payment for the repairs if you are not approved by your insurance company because those payments will not be reimbursed. Always keep the receipts of expenses as you fix your car.
Coverage for the bodily injury claims
If you are not defaulter for the accident then you are covered by the other driver bodily injury liability coverage. If you live in the no fault state then you can pay for your own damages from your own personal injury protection coverage (PIP). There is also optional medical coverage which will help you to pay for your own injuries which include:
- Medical payment coverage- this coverage will help to cover the cost of funeral costs, injuries which is suffered by your passengers or any injuries to you if the car hits you.
- Uninsured/underinsured motorist coverage- this coverage will helps to pay for the injuries which occurred in the accident with the driver who has no or little insurance to cover your costs.
Keep in mind that before buying the medical coverage or increasing your minimum deductibles firstly consider your own health insurance to cover all your injuries.
Handling a bodily injury claim
When you get injured in the car accident there are some steps which can make you the process of dealing with the personal injury claim easier. Don’t forget to:
- Click the picture of the accident scene as well as your injuries
- File the report to police and ask for the copy
- Visit the hospital immediately
- Note down everything which is related to your injury such as any activity which you miss due to injuries
- It is mandatory if you are going to file for the lost wages claim
- If necessary hire the attorney
Always remember not to admit the fault at the scene
Property damage claim
The ability to file the claim for your car repairs depends on the cause of the damages and the coverage which you have. The liability property damage coverage is mandatory in every state but it doesn’t cover your own car. It will only pay for the damages which you cause to other driver vehicle in the accident. The types of coverage which pay for the damages to your car are:
- Collision coverage will cover the cost of damages of your car after the accident
- The comprehensive coverage will cover the cost of the damages to your car which occurred from the events that are not related to the accident. For example vandalism or severe weather.
The coverage which covers the property damage includes:
- The uninsured and underinsured motorist property damage coverage will help you to get the reimbursement if you get in the accident and other driver who causes accident doesn’t have the insurance.
- The GAP insurance coverage will cover the difference if you are having the car on loan or leasing your car if it is declared as the total loss.
- Windshield and glass coverage will replace and repair the windshield, mirror which gets damaged in the accident.
First party claim vs. third party claim
There are two types of insurance claims which are first party claim and the third party claim. The first party claim is which you file with your own insurance company and the third party claim is which you file with other person insurance company. Many insurance holders having the coverage for the third parties who get injured by their own fault.
The type of claim which you file will depend on who is the defaulter in the accident and the type of accident that occurred or the extent of your insurance coverage. For instance if you get in accident while driving your car you must probably file the first party claim with your insurance company. On the other hand if you get injured by the car while crossing the road then you need to file the third party claim with the other driver car insurance company.
Denial of claims and the appeals process
There are number of reasons when your claim gets denied. For instance when you have waited too long to file your claim and failed to submit an independent medical examination. The type of accident in which you were involved in is not under your insurance plan.
If your claim is denied you will get the notification from your insurance company. The appeal procedure is different from company to company. You can also go through your policy if you have any query regarding the appropriate steps. If your appeal gets denied then you can consult with insurance attorney.
How much compensation you can claim for the car accident injury
The amount of compensation which you can claim for the car accident injury is different with many types of accident claims because the every car accident is not same. Talking to the insurance company representative will help them to determine what injuries you have suffered from the car accident. After the phone calls they can estimate what car accident compensation you are entitled.
Use the witness statement to support your car accident claim
The witness powerful is very powerful evidence of the fault. The third party witness is independent or unbiased. The statements of the drivers or their passengers whose statement are influenced for their own interest but the independent witness don’t have any personal interest. In case of your personal injury claim you must prove your injury which is caused by the negligence of another person which is also referred as legally responsible for the accident. Just secure the statement of the witness as the evidence which help to prove your case.
The effective evidence in car accident claims:
- Police accident reports
- Visible property damage
- The photos and videos
- Medical reports and receipts
- Statement of drivers and passengers
The eyewitness to car accident may be:
- The drivers and occupants of the other cars who is involved in the accident
- People who gets stopped to the render aid
- Road and the utility workers
- Any passersby
Immediately after the accident just grab the camera, pen to note down everything related to the accident. If you don’t have the digital camera you can use you phone camera. Try to approach the people who is the witnessed of what happened. Ask the people who saw the accident and ask them to describe of what they saw or heard.
The statement of witness is very helpful for your claim. Remember that your witness will show up in the court to testify if your case goes on the trial. If you have more witness then your case will be stronger. The claim adjuster will take all statement of the witness seriously. So try to gather more as possible.
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If you get in the car accident then you call for the accident claim and after some days you get the settlement letter from your insurance company. The amount of the settlement is less than which you are expecting and even less than which you need for the replacement vehicle. When it comes to calculate your settlement then the insurance companies is not having the precise mathematical formula because every case is different. So they use the variety of factors to determine the amount of compensation which they are willing to pay on the car accident claim. The factors include the property damage as well as the personal injury.
Settlement factors for the damaged vehicles
If your claim involves the damages to your car then your settlement compensation will be the cost of the repairs and replacement for the damaged items. For instance if your bumper gets damaged then your settlement compensation will be the reasonable cost to get the bumper repaired and replaced. Remember the exemption for this rule is that if the replacement or repair cost exceeds the value of the car then your insurance company may decide that your car is the total loss. The replacement cost is generally based on the depreciation but not on the cost of the new vehicle. It means that the amount which you get is not enough to purchase the replacement vehicle.
Settlement factors for injuries
If you get injured in the car accident then this case is separately negotiated from your property damage. For instance if your bone gets fractured then you will get an extra settlement compensation as compared to the accident when the injuries did not occur. The compensation which you receive from your insurance company will be determined from your medical bills and your medical reports. The medical reports will influence the amount of the compensation which you receive for the pain and suffering.
Settlement for pain and suffering
Pain and suffering is the amount in addition in your medical bills to compensate for your past and future discomfort which is related to your injury. You need to complete your medical treatment and be released by the doctor and after that submit your personal injury claim to your insurance company.
If our doctor anticipates you for the future treatment and your settlement includes an estimate, discount to the present value which will compensate you for the future medical treatment. There are other factors also which will influence the amount of the settlement. For instance if you have the permanent disfigurement from the accident it can leads to the additional compensation whereas the serious injury will results in the higher settlement compensation. If you are having pain after completing your medical treatment then it will also warrant the additional compensation. Before accepting the settlement offer you must consult with the attorney who is specialize in the personal injury law.
Keep in mind that you will get only one settlement letter from your insurance company. Submitting your claim before all treatment will completely waive your rights for any future compensation. If you get agreed on the settlement then you can’t go back to your insurance company and request for more money.
Injury claim calculator
The claim calculator is used to estimate the reasonable settlement after incurring the personal injury like auto accident or any fall down injury.
- Medical expenses
Input your total medical payments
- Property damage
If you suffered from property damage in the incident like motor vehicle accident then input that value here.
- Lost earning
If the injuries caused you to the out of work then enter the total lost earning here.
- Future lost income
If your injuries or the treatment cause you for further lost wages then enter the estimate here.
- Estimated future medical expense
If your injuries cause you further medical expenses then enter the estimate of those expenses here.
- General damages multiplier
Used to estimate the total general damages in case of the injury. The more pain and suffering the higher will be the value.
Now the results based on the data entered above:
- Economic damages
The total of your damages and dollar loss.
- Non-economic damages
Compensation for your pain and the suffering which is based on the multiplier chosen.
- Target settlement
Special damages – bills and the financial costs
We all know that every case is different. The courts and the insurance companies are using some sort of the equation to determine how much the personal injury claim should be. To find out the right number they gather the list of all the expenses which incurred from first injury then add in more factors to arrive at the final compensation amount. The part of the equation is very easy. A total sum of every financial expense which was the direct result of the accident is calculated. It includes:
- Medical bills
- Damaged and lost property
- Hospital stay
- Cost of the medication
- Lost wages
- Cost of the medical equipment
- The expenses paid out of pocket.
If these items are added together it will give you the starting dollar amount. Keep in mind that these items are the first half of your overall damages.
General damages – pain and suffering
Another half of the equation is harder because it is difficult to assign the dollar amount to the pain and suffering. General damages of the suffering are also result of your injury. The general damages include:
- Physical pain
- Loss of the enjoyment
- Loss of the consortium
General damages multiplier
The general damages is not calculated using the bills so to create the sum total the insurance companies and the courts turns the general damages into the multiplier for their compensation formula. The multiplier can vary anywhere from 1.5 to 5 it all depends on the general damages. The general damages are for the victims, if the higher the multiplier will be then it results in the higher payout.
The compensation formula is:
Special damages$ * general damages multiplier (1.5-5) = total compensation paid$.
Each case is different
It is very important to know that the each and every case is different and many insurance companies will not want you know that they are using the formula to calculate your payout. It is always the worth to hire the personal injury lawyer who will help you to gather all the information which you need for the calculation and for the highest compensation payout.
Economic and non-economic damages
After entering your data hit the calculate the two dollar figure which you see the estimated total compensation field represents the two main types of damages which are responsible in many car accident cases that are economic damages and non-economic damages. The economic damages are easy to calculate through the documentation prove which also includes the medical expenses of past and the future also includes the lost incomes of past and future as well as the cost of getting your vehicle repaired. The non-economic damages are tough to put the dollar figure on things such as the pain and suffering, the emotional impact of the accident which results in injuries.
Calculating the settlement value of the car accident claim is not the easy process but it is possible of having the rough estimates of the damages by examining the number in your case. So gather all the records related to claim all together such as the medical bills, vehicle damage estimates and enter your information in the calculator. The amount you get is the rough estimate of the economic and non-economic damages which is involved in your case.
Remember that there is no universal formula which can tell you what your car accident case is worth. The settlement of the injury claim depends on the art of the negotiation. The calculator will provide you the rough estimate of the compensable damages in the car accident claim but it is not the substitute for the legal advice. Just be sure to enter 0 if the categories of the damages don’t apply in your case because the blank fields in the calculator will cause the trouble.
What to consider when calculating your demand
The very basic method to calculate the pain and suffering settlement is just to use the multiple of your actual costs. It includes the medical and the therapy bills, lost wages as well as the property damage. The actual costs are known as the special damages. The pain and suffering is the separate category which is known as the general damages. The amount or figure of your special damages is straight forward task. You just have to add all your bills and the receipts. The figures which come out represent your pain and suffering.
Pain and suffering is separated in two categories:
- The current pain and suffering can be endured from the time of the injury through the completion of the medical treatment and the therapy. After the treatment it ends at the same point. Its duration can be easily measured.
- The current and future pain and suffering is what is endured from the time of the injury and after the medical treatment its future is indefinite. Its duration is unknown and can’t be measured easily.
While calculating your settlement demand firstly you have to consider in which category your pain and suffering falls into. Your demand will be lower if your suffering is limited to the time between the injury and the completion of your medical treatment. If it is indefinite future then your demand will be higher.
Keep in mind that you can’t just demand the large amount of money for your pain and suffering. For that you have to provide the reasonable basis and the evidence to justify your amount. If you are unable to do that then your demand will be rejected. At the time of responding to your settlement demand many adjuster are expecting to add the small amount on top of the special damages just to cover the pain and the suffering. So don’t be the inexperienced claimant to accept any amount and move on.
Using of the multiple method
Many attorneys and the adjusters calculate your pain and suffering reimbursement by using the multiple methods. This method takes the total amount of your special damages and multiplies it by anywhere which is from 1 – 5 times it can be higher in case of the serious injury. The multiple can be increased or lowered but it depends on:
- The pain and the discomfort
- The severity and its duration
- Any persuasive abilities
Any soft tissue injuries or the minor sprains are multiplied by 1 ½ – 3x medical bills. The broken bones can be range by 3-5x medical bills. The permanent injuries or any brain damages is seen as the special multiplied which is greater than the 5x. Remember that the serious injury cases always require the attorney representation.
Are you afraid of making the auto insurance claim will raise your rates then this fear is fully justified. As the premium rate will increase to 41 percent on average just after making one claim of 2000$. That’s will be about 370$ annually. Remember that the premium can haunt you for many years. Auto insurance is one of the things which people buy for decades and hoping that never to use. Many drivers avoid filing the minor claim after the accident because they are having a fear of rising amount of premium. So always shop around for the coverage either with the existing insurance company or the new insurance company. This concern don’t stop after the accident whereas many policy holders worry about the moving violations which include the speeding tickets all such things if in your record can increase the rates for years.
How much insurance rates go up after the accident
If you get in the accident which is caused by the other driver then insurance company of other driver will pay for your damages. Remember your own rates are not affected. If you are legally responsible then it will surely increase your risk profile because at that time your insurance company has to pay for the damage which also includes the medical expenses which is caused to others by your mistake.
Increasing rates of insurance are very common after the accident. So assume automatically that your rate will increase just after the single mistake. If accident occurred and it seems that you are not the defaulter then your premium will not change. At the time of buying the insurance policies always consider those insurance companies which are offering the accident forgiveness because this perk will not cost any extra amount but it prevent your rates from going up after your first accident or mistake.
How the auto claims affect the auto insurance rates?
Many drivers are hesitating to file the claim with their auto insurance companies because they have the fear that their rate will increase automatically. Sometime your car insurance rates increase but it depends on your car insurance companies, the situation of the incident or whether you are having the accident forgiveness in your insurance policy. No one can predict the increasing rates after filing the claim.
Accident specifics and your rates
Here are some factors which are considered by your insurance company at the time of determining how the auto accident will affect your insurance rates.
- The severity of the accident- the damages caused by the accident can be range from the scratch in the paint to the totaled car. If the amounts of the damages are high then it can surely lead to the higher rate because the insurance company has to make the larger payments.
- The at fault driver- if you are legally responsible for the accident then the car insurance rates will increase. If other driver is responsible for the accident then also some insurance companies will increase the rate of your premiums because you are likely to get in another accident which is posing more risk to your insurance company.
- Your value to the company- remembers that the safe drivers are always the cheaper for car insurance companies to cover. If you are having the safe driving record and you have been with the same insurance company for a long time then you will see less increasing rates in your premium than someone who is having the poor driving record. Some insurance companies are offering a accident forgiveness for the good drivers which means your first accident will not increase the rate of your premiums.
Auto theft and your rates
If your car or any equipment is stolen then you have to make the claim to recover that costs because your insurance company has to pay such loss and you will see the increasing rate in your premium. Keep in mind that if you are living in the area where the crime rates are high then also you have to face the high rates in your premiums. You are presenting the more risk to your insurance company if you become victim of the auto related crime. Higher risk means the higher rates. To file the claim for the theft you need the comprehensive coverage.
Your insurance company and your rates
Every insurance company has its own policies which determine the effect of your car insurance rates in case of the accident, theft. For instance some company will increase your premium for any claim if:
- Damage occurs as little as for 2$
- The accident was not your fault.
Whereas some companies will not increase your rates if:
- You are not responsible for the accident
- There were only the small cost of damages
- You are having the good driving record
- It was your first accident or mistake
Policies of accident forgiveness
Many insurance companies are offering the accident forgiveness to their customers or a client who is having the good driving record. The accident forgiveness program allows the good drivers to have the one accident which will not increase the rate of their premium. Talk to your car insurance company and ask whether they are providing such program or not.
The importance of filing the claim
When you get in the accident or your car is stolen then do not avoid filing the claim because you are worried that your rates will skyrocket. The increasing in the auto insurance rates is not always permanent. Many companies increase the rates temporarily which will drop each year if you don’t get in another accident. Within few years your insurance rates can return to the pre accident level.
Always consider the policies of your insurance companies and the details of the accident to determine whether you want to file the claim or not. Filing the claim will allows you to:
- Present your side of the story
- Your insurance company will investigate the accident
- Always use your coverage to pay for your damages or injuries or for the other party.
Why car insurance rates go up after the accidents
When you get in the accident then rate of insurance premium will increase for sure. Your surcharge will depend on your state and on your insurance company. Sometimes you see that your rates increases even you didn’t cause the accident. The insurance companies are the risk averse. When you get in the accident you are viewed as the higher risk. Remember that the increasing rate due to the accident and the amount of the increase is different by every insurance company.
Handling the increasing rate
It is very important to know the details of your car insurance policy. When you are buying the car insurance policy doesn’t forget to ask about which situation will lead to the increasing rates. If you are handed the surcharge then discuss your options with your insurance company. You can also keep your premium low just by increasing your deductibles if your surcharge is unavoidable. If you think that your premium is too high to handle then you can shop around to see and can find a better rate with insurance company as every company has its own rate.
How much insurance premium goes up when claiming for a non-collision accident?
First of all you need to be very careful. There are two types of the property damage coverage on the standard insurance policy, comprehensive and the collision. The non-collision implies that you are referring to the comprehensive claim. The collision accident occurs when your car hit anything which include people, vehicles or any property but the only exception is that if your car hit animal. Keep in mind that if you forget to put the parking brake and your car rolls down and crashes into the pole then it is still the collision claim. When it comes to the insurance premiums then these claims are also treated in the same way.
The comprehensive claim is something that could happen with your car other than hitting others. Theft, falling object, fire or natural disasters all such things are covered under the comprehensive coverage. Damages caused by the animals are also covered under this coverage.
Remember the rating factors for the insurance policies are different from state to state. In California the claims and moving violations are assigned on point value between 0 to 2. Each point is equal in weight which affects the insurance premium.
How much rate increase after the speeding ticket
If you are having the speeding ticket in your record then you are considered as the risky driver by your insurance companies.
- After one speeding ticket: the rate will increase from 100$ to 150$ a year. Some insurance companies will increase the rates by hundred dollars a year.
- After two speeding ticket: many insurance companies will charge slightly more after the second offence. Some insurance companies charge harsh penalties after the first offence than after the second offence.
- After three speeding ticket: after the two speeding tickets you have to pay 200$ to 1000$ a year more for the insurance.
In many case the speeding ticket will influence what you are paying for the insurance. In many cases the rates are increases after each and every ticket. Keep in mind that the moving violation can also affect the rate of your car insurance.
Examples of minor moving violations:
- Rolling stop
- Illegal use of the carpool lane
- Equipment violations
- License restriction violation
These minor violations will not show up on your insurer radar. But having too many penalties points on your record will not look good to your insurance company. When they see your driving history they will surely determine the higher rates.
Examples of the moderate and severe moving violations:
- Failure to the yield
- Illegal turning
- Hit and run
- Driving without the insurance
- The street racing
These violations can add the serious points to your driving record which results to the increasing insurance ranging from the mild to the extreme. Don’t forget to compare the rates of different insurance companies because the rates of one insurance company might be far different from another insurance company.
A strategy to save the cost of your insurance policy
Try to understand the logic behind filing the claim in the event of the larger loss. You must also need to know how to save few dollars on your auto insurance premiums. Don’t file the claim in the case of the minor loss because having the low deductible in your policy makes the no financial sense. If you are planning to pay the 500$ to 1000$ for the damages from your own pocket then set this amount aside in the interest of bearing the saving account and increase your insurance deductibles to match the number. The increasing deductibles will leads to lower your insurance rates.
To avoid your rates from going up you just have to be more careful driver. Try to keep your loss history report clean. Don’t file the small claims as it is not the point of the insurance.
Car Accidents Insurance Claim Time Limit
If you get in an accident and your car gets damaged then don’t wait for long to file a claim with your insurance company. Car accidents are having the effects like injury, death. Don’t wait too long to file the claim. It is very important to maintain the good communication with your car insurance company.
Here are some do’s and don’ts which you have to remember throughout your claiming process
Car Accidents Insurance Claim The dos
After the accident do call your insurance agent or your insurance company as soon as possible. Before going to the doctor or going to home talk to your insurance agent. Must review and try to understand your coverage before calling to your insurance company or agent. Go through the coverage and exclusion section of your policy. Make sure to keep the detailed notes of all your conversation which you had with the insurance company representative and get the name, phone number of the person you talk and don’t forget to include the name of their supervisor. Do consider whether your insurance coverage is under any other insurance policy because many peoples have more than one policy which might cover the claim. Don’t forget to click the pictures of your damaged vehicle, the accident scene and even your injuries.
Do be honest and loyal with your insurance company even if it is embarrassing. It is always better that your insurance company must know all the facts. If you give the false statement to your insurance company then it might invalidate your insurance policy and also denial of your coverage.
Try to understand the difference between the replacement coverage, depreciated and the actual cash value. If your policy is providing the replacement coverage then don’t settle the personal property loss for the actual cash value. You are required to replace the lost items before getting the full reimbursement if you are having the replacement cost coverage.
Car Accidents Insurance Claim The don’ts
Don’t give any written or recorded statement to your insurance company if you are not sure that you understand your coverage. Always remember that don’t allow your insurance company to record your telephone conversation. You can also consult the attorney if you are having any doubt. If your insurance company is offering you the appraisal of the losses then don’t accept it immediately. Many insurance companies try to get you to accept their estimator which is low. Until you obtain the legal advice don’t sign any document. Before signing any document you must consult to the attorney.
Don’t ignore the time limit which is set in your insurance policy. As many policies required the signed proof of the loss with in the set time limit. Be sure to comply with this requirement otherwise you get the written document from your insurance company. many companies allow only the one year from the date of loss in which you have to bring the legal action if your claim has not been adjusted. You can also consult to the attorney if you are not satisfied with the claim settlement within 11 months after the loss. If you get fail to do so then you might lose your right to sue.
Do you have any valid claim for the damages?
Car accident is the leading cause for the personal injury claim in the US. The minor accidents are resolved by your insurance company whereas the serious accidents or even the death are handled by the experienced injury lawyer. If you or your family members are injured in the car accident then your claim reviewed is absolutely free by the experienced accident attorney.
Statute of limitation and car insurance
You have the certain amount of time when you get in the car accident to file your claim and get it settled. Now let’s see how the statute of the limitation can affect you and even your car insurance claim.
Statute of limitation defined
The statute of the limitation is used by the legal system to define the time limits for the claim and for other legal action. These time limits are different from state to state. For instance in California you have the following amount of time to file the case regarding the auto insurance:
- 2 years for the case which involve the personal injury
- 3 year for the property damage.
Why statutes of limitations are enforced?
Statutes of the limitation are imposed to ensure the fair case. Setting of the reasonably deadline for the lawsuit is good enough because the over time:
- Memories get fade
- Evidence may get lose
- Witness move away, disappear or die
Statutes of limitations and accidents
The car accident claim for the minor personal injuries and damages to your vehicle or any other property is covered by the basic statutes while in many states it range from 2 to 6 years with some exceptions. If person dies in the car accident then the claim can be escalated to the wrongful death which might be a longer time limit in many states.
Handling the initial claim
When you get in the car accident then there is a chance that you are dealing with the claim adjuster and with the insurance company of the defaulter driver. You must report about the accident to your own insurance company. Your claim for the compensation will be covered by the other driver liability car insurance policy. if your policy includes the coverage for the uninsured and underinsured motorist then you can make the claim with your insurance company for the difference between of your claim amount up to the amount of coverage which you purchased as well as the limit of the other driver coverage. If it is insufficient then you can file the lawsuit against the:
- Other driver insurance company
- Other driver
- Your own insurance company
Working with the lawyer
If you are worried about the statute of the limitations then consider your working with the lawyer. A lawyer can help you to work with the insurance companies, helps in filing your personal injury claim with the court and also works with through the details regarding the statute of the limitations.
Claim against the government
The driver who is at fault in the car accident remembers that the statute of the limitations is different from those which are specified by the state law. In many cases the time limit are shorter for the government entities. Remember that when you are making the claim against the government agency before that consider retaining an attorney from the beginning.
If you decide to claim on your insurance what will happen?
If you are deciding to claim on your insurance then your insurance company will send you the claim form. You have to fill that form enclosing the evidence which will provide support to your claim. For example photos taken at the scene of the accident from your phone. Before sending the form back to your insurance company makes the copy of that form. If your vehicle is damaged very badly then the claim assessor will be sent to you as soon as possible. They will estimate the repair cost and provide you the list of the garages which are approved. Keep in mind that doesn’t take your car for the repair before this visit because insurance company can refuse you for the payments.
What if your car is written off?
If your car is written off then your insurance company will pay the sum equal to the value before it was damaged or stolen. If you feel that the value which is put on your car is too low then you can talk to your insurance company and still if you are not satisfied you can take your case to the financial ombudsman service (FOS).
Take a time to get it right
Sometimes you might feel the pressure to file the claim immediately so that your insurance company will not deny your claim but you don’t need to be worry about that. Try to file the claim quickly as it is the advantage of the insurance company because the quickly filed claims results in the lower payouts which are good for their bottom lines. Some guidelines are different from state to state but generally you have 2 to 4 years to file after the accident.
The effects of the accident don’t appear at the same time. You may discover the damages of your car that wasn’t appear when you first filed or sometimes the little ache in your neck turns to be something serious. You can also file the additional claim with your insurance company. At that time you may have the 90 days to a year after a loss so check with the insurance company just to be sure.
Is it ever too late to file a claim with your auto insurance provider?
In many cases the auto insurance is actually the technically which is never too late to file an auto insurance claim. Firstly you have to make one thing very clear that file the claim as soon as possible or at least talk to your insurance company just after the accident. There is no downside to file the claim whether you get in the car accident. Many insurance companies don’t put the specific time limit on their policies that in how much time you have to file your claim after the accident. Many policies state the claim should be files as soon as possible and promptly but usually this theory is not further clarified as a year later it is still the as soon as possible. When we talk about the medical problems after the accident then try to wait for weeks but not months before filing a claim. In case of the personal injury protection (PIP) then you have about 2-3 years’ time limit to file.
Will all this affect the cost of next year car insurance?
If you have made the insurance claim then keep in mind that you have lost some or your entire no-claim bonus. It will inflate your next year cover so it is very important for you to shop around to get the best deal. Many insurance companies use the data analysis to determine the risk which can affect the cost of the insurance even if your no-claim bonus is protected. Remember that once you are involved in the car accident then it’s more likely to happen again which means surely you have to pay more. Using a car insurance comparison tool is the worth way to find the cheapest deals which offers the variety of the insurance providers.
There are many types of damages which you may claim if you are having a sustained car accident injury. Claim for medical expenses is chief among all but you may also claim damages for the lost wages, pain and suffering or loss of affection which is also called as loss of consortium.
If you get in a car accident the injuries may be minor such as few cuts or serious injuries such as paralysis or permanent disability. Remember that some injuries will not produce symptoms at first but you may need medical care later. So it’s very important to go through the medical examination immediately after the car accident. The medical expenses are arising from the car accident which includes the following:
- Ambulance fees
- Consultations with the health care professionals
- Accessories such as the heat pads and crutches
- Permanent disability
- Physical and cognitive therapy
If your doctors think that you need an additional medical treatment or any therapy at the time when your claim is settled then your attorney will calculate the likely costs. Doctors and health care professionals will help with these estimates. If a driver is legally liable for the death of another driver then the surviving family could file a claim for the wrongful death.
Pain and suffering
The pain and suffering is also defined as the mental and physical distress which may seek damages. These damages are based on the type of injuries. The pain and suffering also includes the mental and emotional damages which occurred after the accident. Many states allow the plaintiffs to include the pain and suffering damages for the general loss of life. Always remember that all states don’t award the damages for the pain and suffering in same way.
After the car accident some injuries may cause you to lose your earning capacity. It also includes an inability to work due to some physical therapy sessions. The time you spent in the hospital and problem with the mobility. You have to prove that your injuries have diminished your ability to earn money in the future. Your insurance company will consider the factors such as age, occupation, skill, and the life expectancy.
Wrongful death lawsuits are brought by the surviving family whose family member have been killed in the accident by someone negligence or by the intentional act. A family member can bring a wrongful death action. The spouses are allowed to bring the action in every state whereas the parents can bring the action for their minor child. Note that the rules are different for the adult children when parents sue for the wrongful death as well as even for the cousins or any other relative.
Loss of companionship
The family member can brought this action for the individual who has been killed in the accident. It will help to compensate to the family member for the loss of relationship of the family member.
Economic and non-economic damages
The categories of the damages are divided into two different types of damages:
- Economic damages
- Non-economic damages
The economic damages are those damages which are awarded as the direct result for the actual financial loss. For example medical bills or lost wages are the economic damages because you can add up the dollar amount for such losses which is sustained by the plaintiff.
The non-economic damages are those damages where you can’t point to the financial cost to the plaintiff. The non-economic damages include the pain and suffering and the emotional distress.
Types of car insurance coverage for the personal injury
Before seeking for the compensation you have to understand the types of car insurance which covers the personal injury. It only depends on your policy and the nature of your car accident.
- The driver’s bodily injury liability coverage. It will apply when the accident occurred due to the negligence of the other driver. Remember that your own liability policy will not cover you.
- Personal injury protection (PIP) it is also called as the no fault insurance. The personal injury protection insurance will cover your medical costs up to your policy limits even if you are the defaulter.
- Medical payment coverage will cover the cost of your medical expenses. This policy is very similar to the personal injury protection (PIP) insurance. Keep in mind that the medical payment will only cover your medical bills but the PIP will cover the funeral expenses or any loss related to the services.
Factors that affect the compensation for the personal injury
Make sure that after the accident immediately contact to your insurance company because you have the less amount of time to have your claim settled. Your insurance company will assign you the claim adjuster which will proceed your claiming process. The claim adjuster will review such factors:
- Your police reports
- Witness testimonies
- Photographs which are taken from the crime scene
- Statement of the other driver or passengers
Damages in personal injury cases
The damages in the personal injury case are referred to the cost of your injuries. The injuries which are sustained in the accident are:
- Direct financial costs
- Indirect or emotional cost
The compensatory damages are very common which include the following:
Specific damages- the specific damages refer to the specific valued amount which is related to the accident injuries and loss these include:
- The cost of the medical bills
- Any loss of property
- Lost wages
- Loss of the earning capacity
General damages- the general damages are those damages which are not calculated easily. It includes:
- The pain and suffering
- Emotional distress
- Loss of the consortium
- Loss of the extremity
If the defendant was legally responsible for the accident then you may get the punitive damages which are imposed by the court to punish the defendant. Make sure to talk to your insurance agent if you have any query about the damages.
How the plaintiff action affect the damages award
- Comparative negligence- if you are the defaulter for the accident from which the injuries caused then there might be a chance that damage award will reflect that. Many states are adhering to the comparative negligence which links the damages to the degree of the fault in case of the personal injury.
- Contributory negligence- some states are following the concept of the contributory negligence for the personal injury. In this case you will not able to recover the compensation if you are partial defaulter for the accident.
Claiming compensation under third party motor insurance
The comprehensive motor insurance policy is having a bundled insurance policy together which includes the third party insurance and the own damages cover. Some policies come with built in personal accident cover. The own damages and personal accident insurance policy will cover your accident losses such as personal injury or any damages to your vehicle, disability or any death. The third party insurance policy is mandatory for all vehicle owners according to the motor vehicles act. The third party insurance policy is also known as the act only insurance. Keep in mind that your third party will not cover your vehicle or even you it will only cover the legal liability damages.
In the third party insurance policy the first party is the insured whereas the second party is the insurance company. Remember that here the third party is the third person. Under the third party insurance policy the third party can file the claim for the compensation of the injury, death or any damage to the property which is caused by your car. At the time of the claiming compensation the third party can sue you or even your insurance company.
Putting a dollar amount to your claim – the settlement formula
If you are placing the dollar value to your claim can be a challenging but if you are dealing with the insurance company to settle your claim will not be complicated. The money which you spent on the accident is paid by the insurance company. The pain and suffering or the emotional distress causes by the injury involve more negotiation. Many insurance companies are using the formula to help the pinpoint of the reasonable dollar amount for the pain and suffering.
The formula can be look like this: the total medical expenses or any special damages are multiplied by the number which reflects the seriousness of the injury to obtain the figure which reflects the general damages such as pain and suffering or emotional distress. The special damages, general damages or the lost income are added together to create the figure which begins the negotiations for the settlement of the claim.
For the minor injuries the calculation is made like this:
The total medical expenses * 2 = general damages
Total medical expenses + general damages + lost income = settlement offer.
Your own carelessness can affect your recovery
If you are the partial defaulter or mostly at the fault for the accident the insurance adjuster will decrease your settlement offer by the percentage which reflects your own responsibility for the accident. But if the other driver is defaulter for the accident completely then your settlement will be 100% for all the damages or lost income to be negotiated.
There are thousands of car accident claim every year. For getting the most out for your car accident claim from your insurance policy then you are required to know a little process and about the people involved. The time period after the accident is filled with an overwhelming amount of the stress. Having the patience during this time you can easily navigate the claim process.
Responding at the scene of the accident
- Stay calm- to increase the amount which your insurance company will pay to you for your claim for that it is very important to pay the attention at the scene of the accident. After getting into a car accident there might be a stressful situation but try to stay calm.
- Check if anyone is injured or not- if you or other driver is injured in car accident then help as much as you can until the ambulance arrive. Remember that the injured party could sue you if you are not helping them in case of the car accident or if you are a defaulter.
- Call the police- make sure to call the police or other driver has called the police. Talk to the police and give them the honest statement about what happened with you. The insurance adjuster will talk to the police if there is any query on the fault. If you don’t call the police after the accident it could surely reduce your insurance claim amount.
- Do not argue with other driver- if you believe that the accident is caused by the mistake of other driver then also don’t argue with them. If you are arguing with the other driver it will surely get the best of you will not fix your car. It will also make the other driver angry and they can out the blame of the accident on you. There might be a chance that other driver will not cooperate with the insurance company.
- Get the information of other driver- if you want to be compensated by the other driver then try to get the following information:
- the name as well as license number of the other driver
- the type of vehicle and license plate number of the other driver
- the name of insurance company of the other driver
- Insurance policy number of other driver.
- Check the insurance policy of other driver- after the car accident there is two or more auto insurance companies are involved in the claiming process. The driver who is involved in the car accident there will be insurance company for them. Remember that the insurance policy of the other driver isn’t expired. If the insurance policy is not under the name of the driver then get the name and contact information of the insurance policy holder. You can also use the contact information to get in touch with the insurance company of the other driver and after that you can start a car accident claim.
- Keep the record of the accident- after the accident note down the every detail of the accident. Make notes like how you believe that the accident happened or any other detail which you remember from the crash. For instance note down about the road condition at the time of the car accident and what you were doing at the time when accident occurred. Click the photos of the accident scene. You can also show this to your insurance company. You can easily use your phone camera to click the pictures. Get the name and contact information of the witness if any.
- Find witness- find the people who saw your accident just to confirm your story. Talk to the witness and ask them to give the statement to you and to the police. It is necessary to get the contact information of the witness.
- Go to the Hospital- get yourself checked by the doctor so that you can document about the injuries which you received in the car accident. You must verify with the doctor if you think you are not injured. Many insurance companies are using a software system called colossus to determine the value of your claim. This system is based on the contents of your medical records and you are assigned the severity points for your injuries just to determine the claim value. The easily verified injuries are given the higher value like broken bones. The soft tissue damages such as the strains or sprains are having the lower value. After the accident if you don’t go to the hospital immediately then your claim will be having a lower value.
- Ask the doctor to evaluate you about the accident related injuries- there is certain type of injuries which will increase your settlement. These includes:
- Radiating pain
- Keep the track of all expenses which is related to your accident- always keep the track of all expenses which is related to your accident because it is very important to document all the cost or expenses which are occurred in the accident. Try to keep all the documentation which includes receipts, reports. Put all the papers all together in a file so that it’s easy to find when you need them. Keep the track of the people to whom you have spoken. If you are planning to claim an expense which is a part of the damages or loss from the accident then you have to provide the documentation of the expenses.
Tips for getting best claim settlement
Have a settlement amount in mind- before speaking to insurance adjuster about your demand just decide on a minimum settlement figure within the range which you are going to accept. That figure is your own information so don’t reveal to the insurance adjuster. If you are having a bottom line in your mind it will help you once the figures and discussion start going. Remember that don’t make the snap decision if insurance adjuster makes take it or leave it offer on the phone as you know whether it meets your minimum level or not. If the adjuster figure out some facts which is not considered by you but it will make your claim weaker at that time you have to lower your minimum figure. But if you discover any evidence which makes your claim stringer then you can revise your minimum to upward.
Do not jump at the first offer- it is a standard tactics of the insurance adjusters to begin the negotiation with the very low settlement amount. With this tactics the insurance adjuster is trying to find out whether you understand what your claim is worth. They also see that if you are impatient to get the any amount of money. When the first offer is made your response depends on whether it is a reasonable offer or not it is a simple tactics of the insurance company to see if you know what you are doing. If you think the offer is reasonable then you can make a counter offer which is little bit lower than your demand letter amount.
Emphasize some emotional points in your favor
During the negotiations mention some emotional points which will support your claim. For instance sent some strong photo of the smashed car or any severe looking injury to the insurance adjuster. If you found the bottle of beer or whiskey in the car of other party then you can refer this for the possibility of the use of alcohol. Just remind to the insurance adjuster if there is any similar accident occurred in the similar way at that location. All such things are very powerful in getting an insurance company to settle the accident claim.
Wait for the response- if you are having a new offer from your insurance adjuster then don’t reduce your demand more than once. It is not the good bargaining if you reduce your demand more than once without intervening the increased offer from the insurance adjuster. If the insurance adjuster comes with more reasons for the lower offer then try to go over each one in detail. Once you deal with the arguments of the insurance adjuster then either you will get the reasonable offer or not getting the reasonable offer. So always try to put some additional pressure on the insurance companies.
Know when to engage an attorney
If you are demanding for the compensation for the serious injuries or pain which is beyond a few thousand dollars and your insurance adjuster is don’t taking the claim seriously at that time you want the attorney to work on that.
If you are claiming for the future damages or any cost of the medical treatment which you will need later then at that time you want the attorney to work for you in the settlement effectively.
Put the settlement in writing- when you and your insurance adjuster gets agree finally on a number then try to immediately confirm your agreement in a letter to the adjuster.
No pain and suffering is a no fault insurance claim
Many states in the U.S. is following a standard fault based liability system after the car accident in which one person who caused the accident is deemed to be the negligent and financially responsible for all the damages which results from the accident. There are many states which follow the no fault system. In that states you can’t make a claim for the personal injury. You cannot collect the compensation for the suffering and pains unless your medical bills cross the certain amount of dollar threshold which is different from state to state. Some states require meeting the claim of serious injury threshold which is also different from state to state. If you prove someone negligence caused you harm then you can recover the compensation from that person including the sufferings and pain.
If you use your collision coverage then what about the deductible
In this case you are out of the deductible until it can be reimbursed. Your insurance company will recover the amount of the deductible from the insurance company of other driver if the liability is resolved and your attorney can include that with your damages. So try to recover more part of your case.
How car insurance companies investigate accident claims
When you file the claim to your car insurance companies then the claim go through the process that leads to the settlement. The correct way that your car insurance companies handle your accident claim will depend on the following:
- The nature of the accident
- Own policies of your companies
- Whether the car accident involve property damage, injuries or both.
Some steps are common to most claim investigation. These are:
Immediately after the claim is filed
When you file your claim then your insurance company will assign you the claim adjuster to your case. The claim adjuster will review your policy to make sure whether you are covered or not. The adjuster will also contact you to ask more information about the accident. During the investigation process the adjuster may:
- Ask you to send the copy of the police report for review
- Make contact to other driver
- Talk to the listed witness
- Visit the accident scene
- Inspect your car for the damages
- Click pictures of your car
- Talk to your medical providers for the information regarding to your injury expenses.
Medical repair and vehicle repair
Your insurance companies will cover the cost of your injuries and the repairs until the fault is determined and after that they will negotiate with the other driver insurance company to decide who will pay in end. The process of the initial payment is indemnification which means the coverage for the damages and losses. If other driver is legally defaulter then your insurance company will ask for the payment from his insurance company through the process of the subrogation.
There are many options when it comes to getting the repair of your vehicle:
- Using an approved body shop- your claim adjuster will suggest you to take your car to one of your car insurance company approved body shops.
- Getting the quote- the claim adjuster will ask you to go to the several shops of your choice or obtain the quotes to compare.
- Choosing your own repair shop- you can also get your vehicle repaired at any location which you choose. But you have to pay the difference between the shop estimate and the amount which is determined by your insurance company is a fair price.
If your claim includes the medical expenses from the injuries from the accident then your claim adjuster will see the evidence of your medical bills. The adjuster will ask you to sign the document which grants permission for your car insurance company to access the medical records. Always remember that before signing the document you can talk to your personal injury attorney whether signing this document is good or not. Because sometimes when they access your records the information in your medical history may also lower your claim.
Review your side of the story
Make sure to provide as much as information you can so that you can get the best possible settlement. The claim adjuster will request for the recollection of the events. You have to submit the following to your car insurance company:
- Your policy number which can be found on your insurance card
- Date of the accident
- The location of the accident
- The name and information of the party who is involved
- Name of the police department who is involved and the police report number if it is applicable
Determination of the fault
The role of the insurance adjuster is to determine the fault. In many states the driver does not need to be 0% or 100% defaulter. The claim adjuster will decide that you are a partial defaulter. For instance if you are 60% responsible and other driver is 40% responsible then your insurance company will pay 60% of the settlement whereas the other driver insurance company will pay the remaining 40%. In some cases the full amount is paid by the car insurance company of the driver who is having the majority of the fault. Talk to your insurance company agent if you have any query.
Review of claims
At the time of reviewing claims the claim adjuster will look the evidence such as:
- Medical records
- Evidence of the property damage
- Proof of the lost wags
Role of the social media
The claim adjuster will investigate their claimant. At the time of reviewing your claim history the car insurance company will like to look you up online. They may go to the Facebook, twitter or any other social media sites which make them sure that you are not lying to them. For instance, if you are claiming for the car damage for an accident on Monday morning and you upload a photo of you with your car intact on Tuesday then your insurance company will recognize you as a fraud. The car insurance companies are having the special investigation unit (SIU) which investigates the suspected fraud. You can protect yourself on social media by:
- Set your privacy setting in which only the approve people can look your pictures
- Try to avoid posting the pictures or anything related to your accident online
Options to resolve the claim disputes
If you are not happy with your settlement offers then you have some more options:
- Take your claim to your claim adjustor supervisor
- Hire the attorney
- Small claim court
After the accident understand the claim process
If you are involved in car accident and you need to file the insurance claim then firstly you have to understand how the claim process work. In case you are involved in the car accident which involved injuries and property damage then you must file the claim to your insurance company. Here the information will help to guide you through the process of claim settlement.
Report the accident to your agent or insurance company
If you are involved in car accident which involved injuries or property damage then first thing you must do is to inform to your agent or your insurance company. If you don’t report about your accident within the reasonable time then your insurance company will not have to honor your claim.
Have facts in hand
The agent or any representative of your insurance company will surely ask you some basic information. Make sure to give more information to them when you call them:
- Insurance policy number and the name of the registered owner
- Make, model, registration and the license plate number of the car
- If driver is not the registered owner then give the name of the driver and license number
- The date, time and location of the accident
- The number of passenger who is involve if there is any
- Your description of the accident
Read your policy
It is always a good idea to read your policy thoroughly. It will provide some details regarding your insurance coverage. You may get to know your rights and responsibilities under the contract. If you are not having the copy then asks about the copy from your agent or insurance company. If you know the details of your coverage and your responsibilities then the claim process will be easier.
What happens when you file your claim with your insurance company?
The insurance company will assign you the claim adjuster when your claim is reported. In many cases the claim adjuster wants to meet you personally while in some case they handle it over the phone call. You are required to complete the claim form which is also known as the proof of loss form. How much claim is covered by your insurance company it will be determined by the claim adjuster. Claim adjuster will explain you the coverage which is provided in your policy and will guide you through the entire claim process.
How does insurance company assess your fault?
In case of the car accident someone is always determined to be a defaulter whether fully or partially. The insurance company will determine the degree of fault which is going to be assigning to each driver. The fault determination rule and the insurance act which is made under the insurance act will determine the fault of the car accident. The fault determination rules are the regulations which are in the place which help the insurance companies to provide customers with the prompt claim handling treatment. After reporting about an accident to your insurance company the company will investigate the circumstances of the accident and after that they make the fault decision which is based on the fault determination rules.
How does at fault accident affect you?
A driver can be anywhere between 0% to 100% at default. If driver is at fault more than 0% then they will have at fault accident in their insurance records. Remember that your premium will go up at the of renewal when you are found more than 25% at fault for the accident. To confirm about your rates how it will be affected then talk to your agent or your insurance company representative. Remember that if you are lending your car to someone then you are also lending them your insurance. The person to whom you lent your car and they met in an accident and found to be more than 25% at fault then that accident will go in your insurance record which will surely increase your premium.
If you have the comprehensive coverage
If you are having the comprehensive insurance policy then you can claim from your own insurance company but there is a chance that you can lose your no claim bonus if the insurance company doesn’t recover the amount from the other driver insurance company. You can also claim form other driver insurance company for the injuries and losses which is not covered in your own policy which is known as uninsured losses. Try to keep your losses to the minimum and keep the evidence of them. If you hire another car it must be similar to your own car. To make the claim get the form from your insurance company and fill it and ask to give the details of the accident and other driver policy number from the other driver insurance company. If you can send the witness statement then send it to your insurance company. Just make sure to keep all the documents as well as letters.
What type of damages you can collect?
If you are making claim only for the property damage then there are some different type of damages which you can collect which are:
- The vehicle damage
- Personal property damage. The compensation for the items such as computer which is in the car and get damaged in the accident
- Rental car- many insurance company will reimburse you for the rental car at the time when you need when your vehicle is being repaired
- Out of pocket expenses- which mean if you hire a taxi to get to the home from the accident scene or from the police station.
At the time of selling a car you don’t have to pay for the auto insurance on that car after the transaction has gone through and the title is transferred. If you are purchasing a new or different car then make sure to insure that vehicle from the onset. At the time of selling a car you need time to for the cancellation of the insurance policy or the insurance transfer so that you are never driving an uninsured. Always remember that auto insurance cancellation is an easy process which doesn’t have any penalty on your credit score.
Contact to your insurance company
The first thing you must do is to contact to your insurance company. The most effective way is to do is by calling them. Tell them your plans and the exact date on which you would like to cancellation of the insurance policy. For the proper cancellation of your insurance policy you have to send the insurance cancellation form. The letter contains the detail of the cancellation order. Make sure to read the terms and condition of the cancellation letter after that sign the letter and return it to your insurance company.
Align your dates
If you are selling your car then there is chance that you are buying another car. If there is no lapse in the coverage then align the date for the cancellation with the date of the purchase so that you are always insured. Remember that to inform your insurance company for the exchange of the vehicle. So if you are cancelling the one policy and begin another policy make sure that your dates are matching up.
When to cancel
There is no set amount of time that you give to your insurance company. Always provide the at least the one week of notice to your insurance company so that your request has the time to processed. At the time of selling a car you don’t have an idea when your transaction is going to be complete so don’t forget to set the date of the cancellation to the day after.
What not to do
The one thing you should not to do at the time of selling your car is letting your insurance company cancel the insurance policy as a result of you not paying. If you decided not to pay your monthly installments for the month in which you sell your car then it will not even expose you to the period of being uninsured buy it could have the negative effects on your credit score. The best way is to inform your insurance company or give the formal notice about the cancelling of your insurance policy. In case you paid your premium in full or make the payments then you are entitled to a refund after some necessary steps. Cancelling your insurance policy is very important at the time of selling your car. Follow the right procedure you will insure in which you are covered up until the time of transfer of the ownership is complete and you will get the partial premium refund. From this there will be no negative effect on your credit score. Make sure to give your insurance company at least the five business days to allow them to cancel your insurance policy.
Owing money on the cancelled insurance policy is a very common situation which people feel by their insurance company. You need to know how to avoid the unexpected bills on your cancelled insurance policy which may damage your insurance score. Here are some common insurance mistakes which may leads you to the higher car insurance rates.
- Make sure that your state knows you are no longer the owner of the car
When you sell your car then you allow the new buyer to drive your car with your license plate that you sold. If you are still the registered owner of the car then you are liable for its use. There is a proper procedure to change the registered ownership and the legal responsibility of the car which is varying by the state. The owner of the car has to fill the form in order to change the registration of the car in to the new owner name. Don’t ever trust the new owner to change the registration of the car which you sold. Before selling your car make sure that your state knows that you are no longer the owner of the car and you will not hold any responsibility for the use of the car which you sold.
- Avoid the problems and the costly mistakes when cancelling the insurance on the car which your sold
Cancelling the insurance policy at the time of selling the car is straight forward for the insurance company to handle it for you. The most important thing to do when you are selling your car is to get the bill of the sale which will identify that the car is sold, about the new owner, the seller and the date of sold. If you are having this document then you can able to cancel the insurance policy after the sale. When your car insurance company is having the copy of the bill of sale which proves the date of sale then your insurance company has to cancel the policy after the sale. If you are paying for the auto insurance coverage after the sale date then you will get your money back.
Many insurance companies allow you to give the written and signed cancellation request by the fax, mail or by sending your agent. Whereas some insurance companies allows the cancellation request by the phone. The procedure for cancellation of the insurance policy is different from company to company. If you are having any query asks your insurance agent how to cancel your car insurance policy. Make sure to keep the copy of the cancellation request and the bill of the sale. Always keep the notes of what was mailed when and to which office the confirmation replies received.
If you mail directly to your insurance company to cancel the insurance policy or if you are not having the local agent then allow 10 business days to your insurance company from the date of mailing. So that your insurance company gets the enough time to process your mailed cancel request. If you mail to your local agent about the cancellation of the policy then allow them 2-3 business day after the mail delivered. You can also call them to make sure that they get the mail or not.
After mailing to your insurance agent or company if you don’t get any mail or any written confirmation then make a phone call and ask them when you will get the confirmation about the cancellation and don’t forget to ask about the premium if it is being refunded or not. Still if you don’t receive the confirmation and you make a call second time then talk to the supervisor and they will advise you to file the complaint to your state insurance department. If your insurance companies get the mail and they signed your cancel request then your insurance company will cancel your insurance policy in a reasonable time.
Every time when you are speaking to your insurance company or the agent note the name of the person to whom you spoke, what was spoke as well as the date and time of the call. Many times the cancel request of the customers is handled without any problem. But sometimes the problem happens. Make sure they receive the mail regarding the cancel request so that they cancel it on the right date and bill you or refund you properly.
Some insurance companies may charge the cancellation fees if the customer request them to cancel the insurance policy before it renews. If your vehicle is sold then the fees will not apply.
Reasons to cancel the auto insurance policy
There are many reasons to cancel the current car insurance policy. For example:
- If you are getting rid of your car
- If your vehicle is being restored
- If you are planning to donate your car
- If you are no longer satisfied with your current provider
- Having the major life changes such as the marriage or death of the person in your policy.
Consequences of letting your car insurance lapse
All states required to show the proof of your financial responsibility when you get in an accident. Car insurance is the best way to fulfill your requirement. If you are cancelling your insurance policy without putting the new car insurance policy in place then surely you can face:
- The fines and penalties for driving uninsured
- You are liable for all the personal injury and the property damage incurred in the accident for which you are legally responsible.
- Higher premium in the future when you are going to sign the new policy
- If your insurance lapsed on your record then you are seen as a high risk driver and will face the higher insurance rates.
Always take the proper steps to cancel your policy and make sure you can get your new policy with no negative effects.
How to cancel car insurance effectively
- Let your company know when you want to end your policy- don’t cancel your policy without informing to your insurance company. If you inform to your insurance company then there might be an opportunity for you to get a discount. In case if you don’t inform them your insurance company will continue to send the letters or bills. For the non-payment they will report that to your credit agencies and after that surely you will face the higher insurance rates.
- Follow their lead- the insurance companies are handling the cancellation request differently. Some may ask you to sign the company document and formally indicating the desire to stop the coverage. Whereas the other companies want you to write the letter which will stating your intent and talk to the agent. An insurance company has established the ways to deal with this matter.
- Ask for the refund if you have the weeks or months left on your policy- if you are canceling your policy for the unexpected reason such as the death in the family. If you already paid for the full year and there is time left in your policy then you are entitled for the refund.
- Contact your lienholder- if you are still making the payments for your car then you are usually maintain the certain coverage such as the comprehensive coverage or the collision coverage. Make sure that your lienholder knows that you are changing the auto insurance policy.
- Cancel automatic payments- if you are using the electric fund transfer then make sure to stop those payments.
Car insurance is expensive but if you are an aggressive driver and you are having a bad driving record then it will cost you more. The most states in U.S uses a point system to codify the violation and keep the track of your how terrible driver you are. You will get points from your insurance company for the moving violation when you do something illegal or dangerous while driving a vehicle whereas the parking ticket or busted tail lights will just come with the fines. Tickets which are issued under the insurance act or highway traffic act will appear on your driver record and it will surely affect your insurance rate. The car insurance rates between the car insurance companies can vary by hundreds or even in thousands of dollars. The simplest way to find the insurance companies which offers the lowest prices is to do the online search for the rates. The insuranceHotline.com is offering the free rates search for the consumers so that they can get the insurance quote.
The tickets are divided into 3 classifications such as: minor, major and the serious convictions which include the criminal acts. All the tickets are having the demerits points which affect your insurance premium as well as your driving record.
The parking ticket will not affect your driver license or your insurance record. The only disadvantage of not paying the parking ticket is that you will be unable to renew your license plate which means that you are not able to get the renewal sticker if you don’t pay the parking tickets.
Minor, major and serious conviction:
Here is the list of the ticket classification and the different types of the minor, major and the serious conviction which will affect your insurance premium:
- The defective brakes
- Driver license violations
- Failing to share the road
- Failing to signal
- Failing to use the seatbelts
- Failing to yield a pedestrian
- Headlight offences
- Fail to produce the evidence of an insurance
- Fail to carry insurance card
- Improper turn
- Improper passing
- Following too closely
- Improper towing
- Unnecessary noise
- Unsafe vehicle
- Wrong turn on one way road
- failing to report about an accident
- forget to report about the damages of the highway property
- the insurance offences
- any wrong statement of the insurance
- operating the motor vehicle without the insurance
- driving without insurance
- produce any false evidence
- Speeding in the construction zone will double your fines and points.
- Criminal negligence
- Dangerous driving
- Failing to obey the police
- Failing to remain at the accident scene
- Driving under the suspension
The drivers having the zero demerit points can accumulate the point of the convictions. The demerit point stays on your record for 2 years from the date of conviction. Having too many points can cause the suspension of your license. The demerit points are assigning by the ministry of the transportation. These demerits points will determine whether the driver license is going to be renewed or driver needs to be re tested.
Demerit point for the speeding ticket:
- 16 to 29 km over the limit = 3 points
- 30 to 49 km over the limit = 4 points
- 50+ km over the limit = 6 points.
As a fully licensed driver:
- Getting a 6 demerits points the insurance company will sent you the letter of warning
- Getting the 9 points then you have to go for the interview to discuss about your record or give the reason why your license should not be suspended. If you don’t attend the interview then your license may be suspended.
- After having the 15 points or more than your license will be suspended for 30 days. You can also lose your license for 2 years if you fail to surrender to your license.
After the suspension of your license you are required to complete the driver reexamination road test. The point which you will receive in your record is reduced by seven. Remaining points make you to go for the interview level. Again if you reach to the point 15 then your license will be suspended for 6 months.
Demerits points usually have no bearing on your insurance- according to your insurance company the ticket is the ticket whether it is a demerit point or not. It will surely affect your insurance rate. The suspension of your license will severely affect your insurance rates. If you fail to give the valid reason for needing your license or fail to attend your bearing then your license will be suspended.
The parking ticket can put you in the high risk in the auto insurance market. The insurance company will not directly rate the parking ticket. If you don’t pay for the parking ticket or pay them late then it could invalidate your driver license. As a result many people drive with the suspended license without even knowing. Driving with the expired or suspended license is illegal. The insurance company has a right to deny your insurance claim.
Traffic tickets and car insurance rates
When the auto insurance companies are determining your premium then one of the biggest factors they look is the history of the traffic tickets. If your driving record is showing more violation or the speeding tickets then your insurance company will see you as you will more likely to get in an accident. No one can predict how much your car insurance will go up after the ticket but your rates will surely go up with the higher number of the traffic tickets.
The impact of tickets on your premium- every insurance company has its different policy when it comes to the traffic tickets. For instance, one company can increase your rates for 2 years or another company will apply the surcharge which can be removed after a months or a year only if there are no more speeding tickets or the traffic violation on your driving record. If you are a long time customer and you maintain a good driving record then one ticket will not affect your car insurance rates. One speeding ticket will not increase the cost of your car insurance rates.
How the severity of the violation affects your rates
The adjustments of the premiums for the moving violation are different among the insurance companies. You can see the see the increasing rates for the serious conviction in your driving record. For example:
- If you are driving with the broken headlight then you will get the low impact ticket
- The over speeding at 10 miles over the speed limit then you can have the moderate effects on your car insurance rates.
Speeding tickets- if you get the ticket for the speeding then how much you were exceeding the speed limit will matters. The driver who gets the ticket for driving 15 miles above the speed limit will see that their insurance rates will increase more than the driver who gets ticket for going only the 5 miles above the speed limit. The higher auto accident rates are linked with the excessive speeding which makes you the bigger risk driver in the eyes of your auto insurance company.
Traffic tickets from other states- if you get ticket while driving outside your home state still you will face the increasing cost in your car insurance. Many states take a part in a program in which they share the information between the states regarding the traffic tickets or the moving violation. After getting the tickets your insurance company will decide whether these violations will increase your insurance premium or not. Many states are using a points system through which they will assign you the points for the moving violation which you will receive. The higher point values are related to the serious moving violations which stay on your driving record for the longer time and it will affect your insurance rates. The more points in your record then there will be more increasing rates.
Avoid the higher car insurance premium- the traffic tickets have the impact on your auto insurance rates. Remember that don’t admit the guilt when you receive the ticket because if you admit the guilt you won’t able to contest the ticket on a later date. Always keep in mind that the signing the ticket doesn’t mean that the admission of the guilt but paying the file is the admission of the guilt. Don’t pay the fine for the traffic ticket if you haven’t decided to contest the ticket. It is always a good idea to call your insurance company or the agent and ask how your ticket will affect your rates before making any decision regarding your ticket.
In many case the traffic ticket will get erased from your record so that it won’t affect your car insurance rates anymore. Such options are:
- Enrolling to the traffic school
- Taking a defensive driving course
Many states will allow you to complete the online course so that it will help you to get your ticket erased from your driving record. The best way to avoid the expensive premiums is to get the good car insurance rates and to obey all the traffic laws and most important to drive safely to avoid the violations and the accidents. Maintaining the clean driving record is the best way to get the cheap car insurance.
In their life every driver will get the parking ticket. If you park the car in the wrong place then you have to pay the fine. Parking tickets don’t have the long lasting effect on your insurance policy. We all know that the driving record has the impact on how much premium you have to pay. If you are a safe driver then your rates will be lower or if you are a high risk driver then your rates is higher. Remember that when you get in an accident or stopped for the over speeding after that your rates will be increased but it will not be done in case of the parking ticket because the driving record is affected by the moving violations. The parking tickets are on the stationary vehicles which is not considered as the moving violations and it will not directly affect your insurance policy.
The parking ticket is not having the direct impact on your insurance policy but indirectly it will affect the insurance rates. If you don’t pay your fines on time then it will be resulted as your license will get suspended. The time duration of the suspension is different in every state. Remember that the suspension of license will also affect your insurance rates. If it will happens many times then some insurance companies swill refuse to insure you. You have to pay the higher premiums. That is why always pay your fines on time and maintain a good relationship with your insurance company.