Most people buy car insurance thinking about a major accident. They want to protect themselves and their vehicle if they get into a car crash. However, there is a lot more to auto insurance than covering the big crash.
Minor fender benders occur by the thousands every day, resulting in minor damages that can have big consequences to your auto insurance premiums. Every time your auto insurance company has to get involved with a claim, you can bet your going to be affected. Maybe with higher premiums, or in some cases even being denied coverage after a certain number of claims.
Therefore, many people seek to settle a minor car accident without insurance. Settling a car accident without insurance can save money in the long run, but it does have its own risks.
Read on to learn about the pros and cons of settling a car accident without insurance.
Your Responsibilities
Remember, you should always notify your insurance company about an accident, even if you are not going to file a claim. As part of your policy agreement, you agree to keep the company up to date on any accidents that result in property damage or injury.
Settling a Car Accident Without Insurance
Especially if the damage is minor, you may consider settling things without filing an insurance claim that will raise your rates. How do you do this the right way?
First, make sure you collect personal and insurance information from everyone involved. Information to gather includes:
- Drivers’ names, addresses and phone numbers
- Vehicle owners’ names, addresses and phone numbers
- Witness names, addresses and phone numbers
- Vehicle information including year, make, model, license plate
- Insurance information for all parties involved
- Injuries to yourself, passengers or others in the area
- Damage to vehicles or property
- The location of the accident or incident
- The traffic and weather conditions
- Any construction or other disturbance
Make sure to take photos of everything in the area and of all the damage.
When You Should Not Use a Private Settlement
There are many cases when settling a car accident privately is a good idea. But there are times when you might want to go through your insurance company and file a claim. Here are some guidelines for when you should absolutely use insurance:
- Serious accidents
- There are personal injuries
- The other driver is not cooperative
- The other driver offers you cash on the spot
If the reason you don’t want to file a claim with your insurance company is because the claims process is so horrible, it may be time to get a new insurance company.
InsuranceWins can help you shop around. We’ll set you up with several auto insurance quotes from well-known insurance companies. You can use these quotes and compare the claims processes of each company. Finding the company that works for you is half the battle when it comes to insurance claims. Get started now to find a company that fits your needs.
