Door Scratched in Parking Lot – Should I File a Car Insurance Claim?

Reader’s Question:

My car got scratched by another car door. I would like to know what I need to do to have it fixed.

Michael

Miami FL

If you actually know who did the scratch on your car, you need to contact the police to file a report. They will in turn contact that person to try to assess the guilt. The next thing to do is to file it in court or with your insurance company and let them subrogate the claim against the guilty party.

If on the other hand you do not know who did the scratch and if you are not at fault, you need to coordinate with the at-fault party’s insurance company and file your claim and you won’t pay your deductible. If you have physical damage (comprehensive and collision coverage), you can file a claim with your insurance company. If you opt to file with your insurance company, you must pay the deductible and your insurance company will be the one to do the work in recovering damages which includes the deductible from the at-fault party’s insurance company. This is called subrogation. This is the amount your insurance company actually paid out plus your deductible amount. Most policies have a subrogation clause that allows your insurance company to get hold of reimbursement from the at-fault party’s insurance company for the charges of repairing your car.

Reporting Auto Accidents – Should You?

Reader’s Question:

If I get into an accident here in California, who am I supposed to call?

Karl

Sacramento, CA

The plan of action after any accident really depends on what kind of trouble you’ve gotten yourself into. It depends on how serious it was. Basically you have to file a bunch of reports to three places.

First, you should make contact with your auto insurance company. Promptly reporting the accident is important in times like these. You might be required to submit what’s called a Notice of Loss. If you are unable to do this promptly, this might be used as a reason to deny you of auto insurance coverage. So, if I were you, I wouldn’t take that chance. The reason is that it is necessary for your auto insurance company to collect as much information as they can, as soon as they can. You might be asked to sign some kind of authorization for them to be able to record the accident.

Next comes the police report especially when one of the two drivers or any of their passengers have been injured. You will also be required to file a police report when there is significant damage on any or both of the vehicles and it exceeds a certain amount set by the state. Basically, what you will be asked to do by the police will depend on the extent of the damage and injury. Call the authorities right away, so they can tell you how to proceed.

Finally, you must contact the California DMV or the Department of Motor Vehicles. If the total cost of the damage including injuries to people goes over $500, you will be asked to file an SR-1, 5 to 10 days after the accident happened.

Cheapest Auto Insurance After an Accident

Reader’s Question:

My car insurance rates have increased after my friend crashed my car. Where can I get the cheapest auto insurance after an accident?

Ian

Rockford, IL

Although it may seem unfair, but will have to pay for your friend’s dreadful driving, too. This is also the case when family members borrow your car and get into an unfortunate accident. This is because the insurance that will kick in to pay for the damages your friend or relative may cause will be the auto owner’s insurance, which in this case is yours. Unless you are able to prove that the car was taken without your permission, then you can expect an increase of as much as 50% in your auto insurance premiums.

However, if this is the first ever accident in your auto insurance record, then you can appeal to your insurer. In most cases, auto insurance companies will be willing forgive the first accident and not raise the auto owner’s premiums. You will need to ask about this matter from your local auto insurance broker, though, as companies have varying rating systems. Other auto insurance companies may forego the first time accident, while some insurers may not. Since your rates have increased, you should shop around for the cheapest auto insurance from different companies that cater to clients who may be considered high risk because they have records of traffic accidents before.

Car Insurance Estimate

Reader’s Question:

I’m currently on the lookout for new car insurance coverage (I’m dropping my old one because they’re ripping me off!) I’d like to know how I can find a way to get a car insurance estimate or quote so I have an idea what rates I can get. Any suggestions?

Nielson

Dutch Fork, SC

There are three ways that you can do this, all with varying levels of success and ease. 1). you can flip-open the phonebook and call-up every car insurance company you find, speak to agents, and get rate estimates. 2). you can go to an agency or office and hire a broker to search the best rates for you. 3.) you can take matters into your own hands and use the Internet to locate the latest rates and get a good car insurance estimate.

The best approach really is subjective but let’s put it this way, the first option is definitely time-consuming and hardly anyone who does anything relevant for a living can afford to spend that much time. The second option is faster but costs you and even then there is no guarantee that the broker has your best-interest in mind (commission?).

The third one is a fast and convenient alternative. You only need a computer and Internet connection. You just spend a few minutes putting some information in (e.g. age, zip code, type of vehicle to be insured, etc.) and you instantly get the latest car insurance rate quotes. Not only do you get a reliable car insurance estimate from many different insurers, you actually maximize your time and ability to find the best offers for you.

Independent rating agencies like A.M. Best and J.D. Powers are also great resources. They rate many different companies from various industries under categories like best customer service, best pricing, most financially stable, etc. This kind of information is usually available online for free and can help you choose the best-overall car insurance companies today.

Reporting Auto Accidents California – Who Do You Call?

Reader’s Question:

If I get into an accident here in California, who am I supposed to call?

Karl

Sacramento, CA

The plan of action after any accident really depends on what kind of trouble you’ve gotten yourself into. It depends on how serious it was. Basically you have to file a bunch of reports to three places.

First, you should make contact with your auto insurance company. Promptly reporting the accident is important in times like these. You might be required to submit what’s called a Notice of Loss. If you are unable to do this promptly, this might be used as a reason to deny you of auto insurance coverage. So, if I were you, I wouldn’t take that chance. The reason is that it is necessary for your auto insurance company to collect as much information as they can, as soon as they can. You might be asked to sign some kind of authorization for them to be able to record the accident.

Next comes the police report especially when one of the two drivers or any of their passengers have been injured. You will also be required to file a police report when there is significant damage on any or both of the vehicles and it exceeds a certain amount set by the state. Basically, what you will be asked to do by the police will depend on the extent of the damage and injury. Call the authorities right away, so they can tell you how to proceed.

Finally, you must contact the California DMV or the Department of Motor Vehicles. If the total cost of the damage including injuries to people goes over $500, you will be asked to file an SR-1, 5 to 10 days after the accident happened.