Maybe you have been in this same spot or situation before. Your car brushes trying to park or move out from the wall, or maybe you find yourself in a serious accident with another driver, and the other driving is pushing for you to compensate him with cash payments. You might not be sure of what to do if this is your first time, and this why you should know when not to file an auto insurance claim.
All of this scenario might be pushing you to think of filing an auto insurance claim. Still, at the same time, you might be worried that filing an auto insurance claim might hike your premiums or even make the entire scenario even more complex and difficult. So the first thing that you need to do is take deep breaths because accidents are bound to happen.
The best thing for you to do at this point is to make sure that everyone involved in the accident is okay, and when you are done with figuring that out, you can start considering whether you should go ahead with filing an auto insurance claim not. Of course, insurance companies would always tell you to report any incident to at least protect yourself.
It is best to follow this advice if the damages involved are severe or another driver. This will provide you with further protection if the other party wants to seek damages or if injuries start to develop or surface. There are some instances where filing an auto insurance claim isn’t really necessary.
We want to walk you through some of these instances to allow you to decide if you prefer filing for an auto insurance claim or just paying it out of your pocket. Check them out below;
When Not To File An Auto Insurance Claim
If It Is Just You Involved In The Accident
If you end up denting your car yourself, there is really no reason for you to file for an auto insurance claim as there are no further medical costs or threats of extended damages. However, there is something called liability insurance, and in most states, it is required by law as it would not cover any damage caused to your own vehicle by you.
In the case of collision coverage, this insurance claim might cover the damage to your car only if you run into another vehicle or another object. Still, if you have no collision coverage, you will pay for the damages done to your vehicle by yourself.
If The Amount Or Extent Of Damage Is Minimal
Even if your insurance policy contains collision coverage, you can also decide to let go and forget the process of making an auto insurance claim if the damage done to your car is negligible or minimal. If the cost for damage is lesser, then you should consider paying for it out of your pocket instead of raising your monthly premium.
Let’s say you end up scraping your car while trying to park your car in the garage; if the deductible would cost five hundred dollars and the cost of repair is four hundred dollars, then why not just go ahead and pay it out from your wallet?
Possibility Of Increase In Auto Insurance Premium After Making A Claim
This isn’t certain because it depends on several factors, and this factor includes your claim history policy and driving records. You are likely not to see an increase if this is the first claim you are making, and you also have accident forgiveness. On the other hand, it is also possible for you to be struck with a premium increase.
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