Monthly Archives: March 2016
Anyone who has a car needs a car accident insurance. In most states, it is actually required by law. The problem arises, when choosing for what type of car accident insurance policy you should get.
Car insurance policy is based on various factors such as age, sex, car model and type of car insurance coverage you are looking for.
Before deciding on a car accident insurance policy, the first thing you need to know the extent of what you need. Some of scale may be required by law, while others are optional.
Here are some basic types of coverage can be obtained from:
o Responsibility – This is the cost for personal injury and property damage other people permanently after the accident, including medical expenses, pain and suffering, and missed wages. It also pays for damage to property and vehicles. This will only cover those costs, if you are to blame
o Collision – Pays for damage to the car, which is caused by collision with another vehicle or object.
o Comprehensive – Pays for loss or damage which is not the result of a car accident. This includes losses due to fire, flood, vandalism or theft.
o health care costs – Pays for your medical expenses regardless of who is at fault, as injuries caused in a car accident.
o Personal Injury Protection (PIP) – Mandatory some states, it applies to medical expenses the insured for injury to the driver who caused traffic accidents.
o Uninsured Motorist – pays for damage to the car, if one has no fault liability insurance.
o Under insured Motorist – pays for damage to the car, if he is to blame the lack of liability insurance.
o Rental Reimbursement – pays for damage to the rented car, which was in a traffic accident.
After realizing the types of coverage, you may consider these factors decide what type of car accident insurance policy you need.
o Know your state laws – you know what a car accident insurance is required in the state you live for the sake of completeness, 47 of the 50 states require all drivers to have liability insurance, and fifteen states require all drivers to purchase PIP.
o Know your options – you know what type of coverage you need. This is the key to choosing the right car accident insurance.
o Know your car – Ask yourself if your car was totaled or stolen, you can replace it? If not, then you may need a comprehensive and collision coverage.
o know about your other insurance – many people do not realize that other types of insurance such as health and homeowners insurance may cover damage caused by traffic accidents.
If you want money from your car accidents insurance claims, you will need to file a Third Party Claim against the other driver’s Property Damage Liability insurance. A Third Party claim is whenever you want to file an accident claim against another driver’s insurance provider. The driver and the insurance company are the first two parties; you are the third.
Usually, the liability insurance is enough to cover the cost of an average car accident.
Even if the other driver purchased your state’s minimum liability insurance requirement, you will find that it is enough to pay for your vehicle repair. For example, New York’s state minimum property damage liability insurance is for $10,000. Other states minimum requirements fall between $5,000- $25,000.
The first thing you should do is get a copy of the other driver’s insurance policy. This way you can check how much money you can potentially get from his/her liability insurance. The liability insurance will be listed as three numbers where the first two numbers are for bodily injury limits and the third number is for property damages.
For example, a New York State Liability insurance policy may read 25/50/10. You would read this as “$25,000 for each injured person with a $50,000 limit per accident and $10,000 for property damages.” Now you know the most you can get from your car accident property damage insurance claims is $10,000. You can then determine if this will be enough to pay for your vehicle repairs.
However, just because the insurance company can afford to pay for your damages, doesn’t mean it will. You still have to show the other driver caused your car accident. This means you have to collect evidence such as photographs, car accident reports, statement from witnesses etc. The car accidents insurance claims process can also take months to complete because insurance companies aren’t really in a rush to pay for your damages.
This makes dealing with another insurance company really frustrating and time consuming. To avoid this you can file a car accident insurance claim under your….
Collision coverage is an insurance policy with your own provider that pays for your car repair costs, regardless of who caused the auto accident. The benefits of filing under your collision coverage are that:
- You are guaranteed to get money for your car damages.
- You save time because you don’t have to collect evidence against another driver.
- The car accidents insurance claims process is smoother since you are dealing with your own insurance company, instead of another insurance provider.
The whole process can be completed quickly and you can receive an accident settlement check within a few short weeks.
However, the disadvantage of filing under your own collision coverage is that you will have to pay a deductible. The deductible is typically a few hundred dollars which you must pay out of your own pocket. Once you have paid the deductible, the insurance company will pay for your repair costs.
So you need to decide whether it is worth paying the deductible to get your vehicle fixed quickly, or not pay the deductible and prepare to convince another auto insurance company to pay for your car damages.