There’s a saying about insurance - that it’s the one thing you buy but never want to use.
However, if your car has been involved in an incident, then you’ll be glad to know you have the right cover in place.
So, how does an insurance claim work?
How to make an insurance claim
These days, most insurance companies offer online claim services or even apps where you can make a claim. The advantage of this is that you can log your claim at any time – so no need to wait for phone lines to open (and no irritating holding music to listen to!)
In the immediate aftermath of an accident, you may feel overwhelmed. Try to note down the details of the accident straight away. If it’s safe to do so, you should take photos of any damage at the scene, and don’t forget to keep any dashcam videos as your insurer may ask to see them as evidence to support your claim.
Also, make sure your contact details are up to date, so your insurer can get in touch with you when necessary.
What can you claim for?
If the other driver was fully or partially responsible for what happened, then you can make a claim for the following things:
- Repairs to your vehicle
- Your Insurance Policy excess
- Loss of earnings
- Damage to your property
- Transport costs, such as taxi fares, or the reasonable cost of hiring a vehicle
- Personal injury
What information do you need?
When reporting an incident to your insurer, it’s important to provide them with as much information as you can. Include details of the accident, theft or fire and any information you can about third parties involved and their insurers.
If you’re making a claim online or using an app, then you may also be asked to upload supporting photos or videos of the damage caused to your vehicle.
It’s important to check with your insurer so that you understand exactly what they require, and what evidence they’ll be expecting from you to support your claim.
Excess
Your insurance policy will most likely have an excess. This is an amount that you agree to pay towards your claim in the event of accident. You may also have a voluntary excess, which is an initial amount that you’ve agreed to pay towards your claim. People tend to use a voluntary excess to help lower the price of their premium - but if you make a claim, then this is the amount that you will be expected to pay.
However, if you weren’t at fault, you may be able to claim back your excess from the other party’s insurance company.
Protect your NCD
No Claim Discount, or NCD, is the amount of discount you can receive off your renewal price if you haven’t made any claims against your insurance.
For a fee, many insurers allow you to protect your NCD. This means you can usually make one or more claims without your discount being affected.
Unfortunately, if you haven’t protected your NCD and you need to claim, or if you have protected it but you claim too many times, then you may lose this discount.
Always check your policy documents for the exact amount of excess and No Claim Discount that applies to your policy.
What about car repairs?
If your car is damaged and needs to be repaired, you’ll need authorisation from your insurance company first as they may want you to use a specific, approved garage or repair centre. Your insurance company also needs to agree to pay your car repair costs, so if you get your car repaired before then, the costs become your responsibility.
You should get concrete conformation about the state of your insurance claim before proceeding with any repairs to your car. Remember that you will be required to pay the agreed level of excess even if your insurer will meet the repair costs, and this payment will normally be made straight to the garage that repairs your car.
What if your claim is rejected?
Firstly, check your policy. Ask your company to identify specifically the clause of the contract on which they are rejecting your claim. If you do not have a current policy, make sure they supply one.
There are circumstances where you may have the legal right to be reimbursed for your loss, even though the insurance company is refusing to pay the claim. It’s best to get some legal advice in this situation.
The whole claims procedure will be much quicker if you follow your insurer’s recommendations fully, and they can deal with the car repairer directly. Your insurance company may also provide a courtesy car while your vehicle is being repaired, subject to your level of cover.
Always make sure you are fully covered in case you do have an accident.
