How to handle car insurance claims when the legal liability is unknown?
After a traffic accident occurs, the car owner will not immediately know who is legally responsible for the accident. In this chaotic stage, it is very easy for car owners to "driving the wrong way or taking the wrong step" in a confused manner, which affects the outcome of the insurance claim. Take a look at the 3 common questions asked by car owners in this situation and their answers
Q: If I am involved in a traffic accident and I do not yet know who is legally responsible, do I need to report it to the insurance company first?
Answer: Yes. Even if the case is still under investigation and it's unknown which party bears legal responsibility, you still need to contact your insurance company as soon as possible after the accident. According to regulations, you must file a claim with your insurance company within 7 to 21 days from the date of the accident; otherwise, the insurance company's claims department has the right to refuse to process the claim.
Many car owners, because their vehicles are damaged, believe that the other party is responsible for the traffic accident; in this situation, car owners are especially careless and delay reporting to their insurance company. In fact, before the police complete their investigation and the court makes a ruling, it is difficult to determine who is at fault. Therefore, all car owners should not take this lightly.
Q: Should I sign a "car crash settlement"? What should I do if I receive a court summons?
Answer: According to the policy terms, the insured or the driver at fault should not admit liability or make any promises to a third party without the insurer's written approval.
After a traffic accident, you may receive various documents, such as a collision settlement agreement, police letters, third-party claim letters, government letters, court summonses, or lawyer's letters. To protect your rights, car owners should not respond or reply on their own; please immediately submit copies of these documents to the insurance company.
Sometimes, after the court accepts the case, the defendant must submit a statement of defense within a specified time. Due to time constraints, car owners sometimes skip the insurance company and respond on their own. This may harm your claims, so remember to communicate with the insurance company as soon as possible.
Q: If the police or court determine that I am not liable, but I have already reported it to the insurance company, will my NCD be deducted?
Answer: No. Once the claim is cancelled, the insurance company will restore your original No-Claim Discount (NCD). Many car owners neglect the importance of filing a claim to protect their rights because they worry about their NCD being forfeited.
So please remember—if you ultimately bear no legal responsibility, your NCD will be restored, so don't worry!
Car owners insured with AWM can not only compare car insurance plans from 20+ insurance companies, but also benefit from our professional team's swift handling of claims and repairs should their vehicle be damaged, greatly reducing the burden on car owners. Get a quote and purchase car insurance from AWM now!