When a claim is made against your car insurance, the process can seem complicated. Knowing what steps to take and understanding how the claim may impact your policy is essential. This guide explains what happens if someone files a claim on your insurance and what you need to be aware of to handle the situation smoothly.
What Should You Do Immediately After an Accident?
After an accident, it’s crucial to prioritise everyone’s safety and remain calm. Once that’s assured, take time to gather key information from the other parties involved. Collect their contact details, car registrations, and a brief description of what occurred. Additionally, documenting the accident scene with photos or videos can provide valuable support if a claim is later made. Notifying your insurer about any incidents, even minor ones, can be beneficial. This ensures they’re informed of any potential claims and protects you from unexpected liability issues.
What Happens When Someone Makes a Claim Against You?
When someone files a claim on your car insurance, the process typically begins with an assessment of liability. If you accept fault, notify your insurer right away. They will take over, handling communication with the third party’s insurer and coordinating any necessary payments. This approach keeps the claim process smooth and managed without your needing to be involved further.
If you dispute fault, your insurer’s liability team will investigate the circumstances. Evidence like statements from both drivers, accident photos, CCTV footage, and vehicle damage assessments will be reviewed. Your insurer may also reference location data or case precedents from similar incidents. Based on this gathered evidence, a determination of fault will be made, potentially resulting in a split liability decision if both parties share responsibility.
How Can You Dispute a False Claim?
If you believe a claim filed against you is false, it’s essential to gather as much evidence as possible to support your side of the story. This might include witness statements, photos, or location data proving you weren’t involved. Many insurers have thorough procedures for assessing disputed claims, which include reviewing submitted statements and available evidence. With your input and the insurer’s investigation, a clear resolution can often be reached, protecting you from unfounded claims.
Will You Have to Pay an Insurance Excess?
When someone else makes a claim against your insurance, you generally don’t pay an excess fee. Excess payments usually apply only to claims you make for damages to your own vehicle or property. If another driver claims against you, this fee typically does not come into play, simplifying the financial aspect of the claim process for you.
How Will a Third-Party Claim Affect Your Insurance Premium?
A third-party claim on your insurance policy can lead to an increase in your premium, regardless of fault. If the accident was determined to be your fault, it’s likely that your premium will rise at your policy renewal, with an additional effect on your No Claims Bonus (NCB). Even in cases where you weren’t at fault, insurers may adjust your premium slightly due to a perceived increase in risk, although this impact is generally lower than in fault-based claims.
How Can a Claim Impact Your No Claims Bonus?
A No Claims Bonus, or NCB, is often affected when a claim is made against your policy. If you’re found at fault, insurers typically reduce your NCB by a couple of years, affecting your future premiums. In non-fault situations, your NCB can usually be maintained if your insurer successfully recovers the costs from the other party’s insurance. However, some insurers offer NCB protection that can help shield your discount from being impacted by a claim, providing a safeguard in cases of unexpected incidents.
Can Someone Claim on Your Insurance Without You Knowing?
An insurance claim can be filed without your immediate knowledge. This might happen after a hit-and-run where another driver notes your licence plate and contacts your insurer. Another scenario is car cloning, where someone duplicates your licence plate for illegal activity. If a claim arises from either situation, your insurer will typically reach out to verify details, giving you a chance to dispute any false charges.
Should You Inform Your Insurer About Every Incident?
Informing your insurer of any incidents, no matter how minor, is a recommended practice. Full disclosure to your insurance company ensures you’re covered in case another party later files a claim. Additionally, being proactive with your insurer can support your side of any future disputes, making it easier to navigate the claims process if the need arises.
Things can feel overwhelming, especially when it comes to car insurance for new drivers stepping into the world of policies, claims, and premiums. Understanding what happens if someone files a claim against you is one part of managing your coverage effectively. By familiarising yourself with the claims process, excess fees, and No Claims Bonus, you can approach any situation with confidence. If you're a new driver seeking reliable insurance tailored to your needs, get started with a quick quote today and find out how our coverage can help keep you protected on the road.
