Car insurance claims: A complete guide

Q: If I damage my own car, can I claim on my insurance?

Yes , you can file a claim for damage you caused to your car, as long as you have the right coverage and the damage is accidental. For example, if you’re cutting the grass and a rock flies up and breaks a car window, your comprehensive coverage will cover the damage. If you back into a pole, your collision coverage will kick in.

How does a car insurance claim work?

A car insurance claim is filed by providing a report to the insurance company of the incident, followed by an investigation and inspection of the damage. The adjuster will determine fault and which portions of your coverage apply and calculate a settlement. If the other driver is at fault, their insurance company will issue the settlement.

Several types of insurance coverage might apply to your claim depending on what happened and who is at fault: liability for injuries and damage to others, collision for crash damage to your car, comprehensive for non-collision damage to your car, personal injury protectionPersonal injury protection (PIP) pays for your medical, hospital and funeral expenses resulting from a car accident, regardless of who's at fault. for your own injuries, and uninsured/underinsured motorist coverage if another driver is at fault but doesn't have enough (or any) insurance.

Collision claims involve accidents with other vehicles or objects. For example, you get into a crash with another car while driving or you back into a telephone pole. The collision portion of your insurance covers the damage to your vehicle.
Comprehensive claims involve theft, vandalism, natural disasters and other non-driving-related claims. For instance, someone breaks your car windows or a tree branch falls on the roof of your car during a storm.
Liability claims involve damage to other people’s property or injury. For example, in a crash with another driver, the damage to their car is covered by your liability insurance if you’re at fault. It also covers their injuries and damage to others' property, like buildings or bicycles.
Personal injury protection (PIP) claims are for your or your passengers’ injuries in an accident, regardless of fault.
Uninsured/underinsured motorist claims involve an accident in which the other driver doesn’t have insurance or has insufficient insurance. This covers their portion, which their insurance should have paid for.

When to file a car insurance claim

File a car insurance claim as soon as possible after the incident when the damage is above your deductibleThe deductible is the amount you pay out of pocket for a covered loss when you file a claim. or if anyone is injured. Most carriers have a 24-hour claims line or allow claims to be filed online or via a mobile app. If not, contact your insurance company as soon as it opens. A claims adjuster needs to investigate and examine the damage as soon as possible after it occurs to determine what happened and what damage resulted.

The sooner you submit your claim, the sooner the process starts, and you can get your payout. This is especially important if multiple parties are involved in the accident. If that’s the case, there are several different insurance companies and claims adjusters doing their due diligence, which takes time.

When not to file a car insurance claim

You should not file a claim if the cost of repairs is below your deductible. Claims that are below the deductible will be denied because the insurance company doesn't pay until the deductible is met. You should also consider the increase in your insurance rates after you file a claim; if the cost to pay the damage out of pocket is small, it may cost you less in the long run to simply pay it yourself.

“If the amount of damage is minor and below the deductible you have chosen, then you should not file an automobile insurance claim,” says Lynne McChristian, director, Office of Risk Management & Insurance Research and senior instructor at the University of Illinois’ Gies College of Business.

Here’s a hypothetical example: A tree branch falls on the hood of Maria’s car during a windstorm, doing $350 worth of damage. Maria has a $500 comprehensive deductible. Maria would have to pay the first $500, and the damage is below that amount. Her insurance company would deny the claim.

“The deductible is the amount of a loss you have chosen to retain, so insurance would not pay for damage under that amount,” McChristian says.

Even if Maria’s damage exceeded her deductible, and the repairs cost $600, the claim might not be worthwhile. Maria’s insurance company will accept the claim and pay $200. Maria will pay the other $500. She saved $200 on the repairs, but odds are good that her insurance rates will increase.

What information do you need to file a car accident claim?

When you file a car accident claim, you need your policy number, the other driver's name and insurance information, the details of the accident and police report if available, witness information, and photos of the scene and damage. You'll be asked to complete an accident report that includes some or all of this information.

Be prepared to provide, either at the initial filing or when you speak with the adjuster:

Your car insurance policy number
The other driver’s name and insurance information, if there was a collision with another party
Location and time of the accident
Police report, if there is one
Names and contact information for witnesses
Photos of the damage and the location

Documentation helps insurers determine what happened, what coverage applies, and how much the repairs will cost.

“The insurance company will ask you to document your claim. They want to pay what they owe, and there would need to be proof of damage,” McChristian says. “Depending on the severity of damage to your car, you may be asked to send photos to your insurer.”

How to file a car insurance claim

To file a car insurance claim, contact your insurance company via your chosen method (phone, online, or with your agent, provide details of the accident, including the other driver's information, and then follow any instructions or documentation requests from the claims rep and your adjuster.

Call your insurance company’s claims number, even if it’s late at night; there is probably a 24-hour claims hotline, or file online or through the mobile app; for minor incidents, you can wait to file through your insurance agent
Provide your policy number and vehicle information
Provide the other party’s name and insurance information, if applicable
Wait to be contacted by your adjuster
Provide all documentation the claims adjuster asks for, including any photos or videos
Get estimates from a reputable car repair shop; your insurer may offer a list of approved places
Meet all deadlines
Keep track of all conversations you have with the insurance company

How long does a car insurance claim take?

Insurance claims are usually settled in about 30 days, but it depends on the severity of the accident and whether there were injuries. Most states have laws limiting the time an insurance company has to settle a car insurance claim, commonly requiring a claim to be accepted or denied within five to 15 days, and then a settlement provided within 30 to 45 days. In some states, there is no specific timeframe; instead, insurers are required to complete the claim within a "reasonable" period.

How long do you have to file a car insurance claim?

You can file a claim up until the statute of limitations in your state expires; that's usually two years. Insurance companies, however, prefer for claims to be filed as soon as possible. Quick filing ensures prompt investigation while memories of the event are still fresh and evidence of the damage can be assessed.

Common mistakes to avoid while filing a claim

Common mistakes when filing a claim include waiting to file, lack of evidence, admitting fault, and not having an understanding of your coverage. All of these things can delay a claim or even result in denial.

Not filing promptly: The longer you wait, the harder it might be to prove fault or collect information related to your claim.
Not collecting enough evidence: The more information you can provide to the insurance company, the better. Take many pictures and videos of your car, the surroundings, the intersection and the other vehicle(s).
Admitting fault prematurely: It’s best not to say too much and let the insurance adjusters determine fault, if there’s any question. Don’t admit fault readily, even if you think maybe you were. This could result in the claim not going your way.
Not understanding your coverage: Familiarize yourself with your policy throughout the year so you are knowledgeable. Sometimes the insurance company might make a mistake, and bringing it to their attention could save you money in the long run. In particular, you should “know your deductible amount,” McChristian says.

Tips for a smooth auto insurance claim process

To ensure your claim goes smoothly, be honest and provide details, document all communication, use an approved repair shop, and review your policy regularly so you're prepared if you need to file a claim.

Be honest and detailed. Never try to hide or withhold anything from your insurance company. It all comes out eventually. Insurance adjusters will conduct a detailed inspection, which can reveal the causes of damage and often determine fault. Eyewitnesses will also be interviewed. You don’t want to do anything that could jeopardize your claim and be considered insurance fraud, which has serious consequences.
Keep copies of all communication. The claims process can get confusing and drag on, especially if multiple parties are involved in an accident. Document all your phone calls, emails and correspondence in a log with the dates and who you spoke to. This will make it easier to track the progress and hold the insurance company accountable if any errors are made.
Use approved repair shops. Your insurance company may have a list of auto repair shops they work with, so be sure to ask. “Qualified mechanics can pinpoint damage that may not be easily visible, so this is a good step to make sure your vehicle is properly assessed,” McChristian says. You aren’t required to use these shops, but it does make the process easier.
Review your policy regularly. Review your policy regularly to ensure you have the coverage you need and know how much you must pay (the deductible) if you file a claim. Don’t assume you have all the coverage you need; things like coverage for a rental car during repairs are not automatically included.

What to do when a car insurance company denies a claim

If your car insurance company denies a claim, find out the reason for the denial, ask for another review, and then file a formal appeal if it isn't resolved. If the claim continues to be denied, reach out to the insurance department or consider hiring a lawyer.

Find out the reason for the denial. This should be provided to you in writing, but if it’s unclear, contact your adjuster for details.
Review your coverage. If your claim was denied because you don’t have the right coverage, for example, you carry only liability coverage and are filing a claim for damage to your car, you will not have any grounds to appeal.
Ask the adjuster to review it again. If you believe the claim was wrongfully denied, discuss it with your adjuster. Present your evidence and ask them to review it again.
File a formal appeal. If the claim continues to be denied, you can appeal. The process for this will be laid out in your insurance contract, but it generally involves writing an appeal letter and providing evidence as to why you think the decision is incorrect.
Get outside help. If you don’t get anywhere with an appeal, contact your state’s insurance department for help or consider hiring a lawyer. Bear in mind that a lawyer will take a portion of any settlement you receive.

FAQ: Car insurance claims

If I damage my own car, can I claim on my insurance?

Yes, you can file a claim for damage you caused to your car, as long as you have the right coverage and the damage is accidental. For example, if you’re cutting the grass and a rock flies up and breaks a car window, your comprehensive coverage will cover the damage. If you back into a pole, your collision coverage will kick in.

Does filing a claim increase car insurance rates?

Yes, filing a claim will increase your insurance rates if you were at fault or if you have filed multiple recent claims. Individual not-at-fault claims and comprehensive claims don't usually raise your rates.

Can you cancel a car insurance claim?

Yes, you can cancel a claim, but depending on how far along you were in the process, the accident and claim might still be recorded and go on your claims record.

What happens when a car accident claim exceeds insurance limits?

Once your car insurance limits are exceeded, the insurance company will not make any further payments. You are responsible for any additional damages. Carry the highest limits you can afford to prevent this situation.

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