Myths About Dealing with Your Car Insurance Company After an Accident
Getting in a car accident is scary, but sadly, trying to deal with your insurance company after a car accident can be even scarier. When your claim is denied, the insurance company insists the accident was your fault, or you simply don't get a response from your agent, it's no wonder you feel distressed. To make matters worse, many people have heard things about car insurance claims that simply are not true. Here are a few of those myths and the truth they're masking.
Myth: Your car insurance company is on your side.
Your car insurance company will argue for you as far as trying to convince the other driver's insurance company that their client is the one responsible for the accident. Beyond this, however, it's important to understand that your insurance company is not truly in your corner. It does not benefit them to have to pay out on your policy. As such, you can expect them to try and resist paying out your claim. Your agent does not truly represent you or your interests.
Myth: If you just appeal the decision, your claim will be approved.
You may have heard that car insurance companies always deny your claim the first time, expecting that if you're serious, you'll resubmit your claim. The myth goes on to state that they'll then approve the claim the second time it's submitted. Sadly, you're unlikely to have much luck with this approach. Car insurance companies have pretty stringent guidelines as to whether they accept or deny a claim. If you resubmit a claim that was denied without changing anything about that claim, it will probably just be denied again.
If you want a denied claim to be approved, you need to figure out why it was denied and then make changes accordingly before resubmitting. Hiring a lawyer is also really helpful. They can look over the claim and make sure it meets acceptance standards. The insurance company is also less likely to deny the claim if it is resubmitted by a lawyer. (They know a lawsuit may be the next step and will want to avoid that.)
Myth: If the insurance company won't pay, you need to sue the other driver.
Some people accept it when their claim is denied and move on because they assume the next step would be to sue the other driver, and they don't want to do that and risk ruining that other person's financial life. However, it's pretty rare for things to happen this way. Usually, if your insurance company refuses to pay out, you would work with a lawyer to sue the insurance company, or maybe the other driver's insurance company. The other driver's insurance rates might go up if you end up winning a case against their insurance company, but they won't be asked to pay all of your medical bills.
Myth: It's not worth suing your insurance company because your rates will go up.
Yes, your rates will likely increase if you end up suing your insurance company. However, it is almost always worth pursuing your case anyways. Consider, for example, if you have $100,000 in medical bills that you are suing your insurance company for. Even if your rate were to go up by $200 a month, which is far more than the increase you can expect, you would only be paying an additional $12,000 for insurance over the next five years. And realistically, your rate will go back down a little each year as the accident moves further into the past, so this estimate is high. If you are unsure whether suing your insurance company will really be worth it, your lawyer can run some more realistic calculations for you dependent on your own situation—but rest assured that suing is often the more lucrative approach.
For more information or for assistance, contact a personal injury attorney service.
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