Filing an Auto Insurance Claim

With the increase in auto accidents, auto insurance claims are on the rise. Consumers frequently file claims with their insurance agents and insurance companies for car crashes or thefts. This article will give you information you could use about how and why to file your insurance claim.

Taking It To The Road
Claims comprise of two types. 1) For vehicle loss or damage 2) A liability claim, for injury or damage to a person or his property caused either by you or not directly by you.

Say, you crashed a car and face a liability claim for damages and injuries incurred which could result in a lawsuit against you. In order to cover these two areas, most auto policies segregate the coverage into the following:

• Auto liability coverage covers damage to other party's property and human injuries.
• A Collision coverage covers damage to your vehicle.
• Other than Collision" or "Comprehensive coverage" covers payment to repair damages on your car caused by fire, theft, vandalism, natural disaster or similar events.
• Medical payments, termed "good faith" coverage, guarantees immediate medical payments for you, your passengers and other parties involved in the accident, regardless of who is at fault. This helps in getting the injured necessary medical attention.
• Uninsured and underinsured motorists coverages protect you for in injuries in an accident with others who do not have enough insurance or have no liability insurance.

Additional coverage for towing and temporary replacement vehicles are also available for your auto insurance policy. Adding clauses and conditions (endorsements or riders) to a standard policy will cover almost any contingency.

After An Accident
Contact your insurance agent after an accident. Your policy probably states that the insurance company be notified immediately. Any discussion on the subject with parties other than your insurance agent can alter your rights.

File a claim if you have incurred property damage or injury or liability. You would be required to fill out a claim form, which states the benefits you request to be paid for, pertaining to the terms of the insurance policy. Enter complete and accurate details to ensure a smooth process. Support your claim by supplying the insurance company with relevant documentation of "proof of loss" form, auto repair and medical bills, and a copy of the police report. Retain a copy of your claim and paperwork for future reference.

The payment made for the claim, by the insurance company, is subject to a deductible because on purchase of your policy, you agreed to pay the first share of the cost for damages. The rates are then adjusted and reduced accordingly by the insurance company for those who agreed. For instance, if your damaged car costs $2,000 to repair and you have a deductible of $250, you pay $250 and the insurance company pays the balance $1,750.

Conclusion
It is not compulsory to accept the deductible if you feel it is too low as the size of compensation is fixed according to the adjuster's analysis of your claim. It is beneficial to do a study before proving a higher amount is valid. Your insurance agent could help you reach a satisfactory settlement.

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