When Should I Report Accidents to the Car Insurance Company?

It may not always be necessary to report every accident you have to your car insurance company. There may be times where it could be more beneficial to pay for any repairs out of pocket and leave the car insurance company out of it, as auto claims may cause your car insurance premium to increase.

How Do I Decide When to Report an Accident to the Car Insurance Company?

In the event of an accident, make sure to call the police so that you get all of the information down in an official record. Once you have the police report, shop around for quotes from auto repair shops. Review your policy and coverage details from the car insurance company. Take note of deductibles and out-of-pocket expenses. If the deductible amount is more than the repair cost, you may want to avoid filing any auto claims with your car insurance company. Also, if repairs cost more than the value of your car, you may choose to skip filing any auto claims. For more information, please see the article “How Auto Insurance Works?“.

However, if the cost of the repairs is significantly higher than the deductible, than you may want to contact your car insurance company and file any necessary auto claims.

If the accident involves other vehicles, then you will want to contact your car insurance company no matter what, because there is no way of knowing how the other victims in an accident will react to the situation. Your car insurance company may be able to protect you in this situation.

You will want to weigh the benefits of reporting an accident over not reporting it. More information about insurance costs and options is available at Cost of Car Insurance.

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