Five Things to Avoid When Filing an Insurance Claim

Unless you habitually wreck your car, you probably do not have a wealth of experience with filing auto insurance claims. You are not alone; most policyholders are inexperienced in filing car accident claims, which is why mistakes are so common. Although small oversights during the claims-filing process are unlikely to have serious repercussions, major mistakes could result in the denial of your claim in the worst-case scenario. Avoid that fate by reading up on the things you should never do when you file a car insurance claim.

1. Failing to notify the proper authorities. After a minor accident, the other driver may try to coerce you into keeping the matter private by not calling the police. Usually, drivers try this approach when they are either uninsured or do not want their car insurance rates to go up from a claim. Don’t fall for this plea or you’ll make one of the biggest insurance claim mistakes possible. Always call the police after an accident when appropriate. Otherwise, you could be left with a damaged car and an empty promise from the other driver.
2. Not exchanging information. In order to file an auto insurance claim, you will need to have the full information of all the drivers involved in the accident. Once everyone involved is safe, you will need to get each driver’s name, address, policy number, insurer name, vehicle make and model, driver’s license number, and license plate number. The last two pieces of information are particularly important if the insurance information a driver gives you turns out to be spurious. With a license number, you have a way of tracking the driver down.
3. Lying about your claim. Insurance fraud is a serious crime, and you will be prosecuted for it if caught. Additionally, your claim will be denied if you are untruthful, which means you will be out a lot of money as well. Never embellish your auto insurance claim or twist the truth in your favor. Insurers can conduct an investigation into the incident, and the truth almost always comes to light one way or another.
4. Waiting to report your claim. Most auto insurers have 24-hour insurance claim phone numbers that policyholders can use to initiate the claims process at any time of the day. You would do well to call this number as soon as you have addressed the immediate aftermath of the accident. The longer you wait to file a car insurance claim, the longer it will take for your insurer to pay it.
5. Not understanding your coverage. Read over your car insurance policy carefully before or immediately after you file your claim to learn exactly what is and is not covered. That way, if the insurer denies your claim, you can object to the decision if it is unwarranted.