Is it worth making an insurance claim for $1,000 worth of damage?

Question

I have liability insurance with state farm. A different driver damaged another car with my car. How much will my premium go up if I make the claim. The deductible is 500. also any other advice concerning insurance welcome. thanks

Answer 1

If your vehicle is financed, usually your bank will require that the damage is fixed. If you can afford to pay it out of pocket, that would be your better option. Insurance is there for when you need it, not for every little nit-picky issue or for small, erroneous claims. My advice is to pay out of pocket if possible.

Answer 2

The answer to this depends on a lot of factors. State Farm has two auto companies, Standard and Mutual. The premium increases and/or loss of discounts vary between the two. Without knowing which company you are with, it's really hard to say.

Obviously, even though you weren't driving, the insurance is going to follow the car so your policy is going to be the one covering this accident. If there is any possibility that someone in the other vehicle is injured, file a claim as they usually have several years to sue you. In some states, if you make a payment to the other party, your insurance will no longer cover you for that accident. If they were to sue you say two years later, you'd have no coverage.

Your $500 deductible would only apply if you are at fault in the accident and you need your car repaired. There is no deductible on liability payments to another party. If you don't have your car repaired, you don't have to pay anything.

Hope this helps!

Answer 3

It depends, on few factors. Most companies will raise your rates (33% on average) for an at-fault accident. It doesn't matter the dollar amount paid. This will remain as a surcharge on your insurance for at least 3yrs. So the question is will a 33% increase in your premium for 3yrs. be less than $1,000? If it's over or even close to $1,000, than your better off paying it out of pocket.
Next option- Is this "different driver" named on your policy? If not, then only your current provider will surcharge you for it. In which case, you could file the claim and switch insurance providers when the premium goes up. It's a simple loophole that most insurance companies haven't figured out how to handle yet.

Answer 4

I would say no if you had to pay the first $500. Your insurance might go up for the next three years.

Answer 5

your insurance wont go up if you are not at fault for the accident. SF can get your deductable back from the other party's insurance company too. why not let them do the work?

Answer 6

The popular advice is to pay out of pocket. I would agree with this decision if the damage inflicted to your vehicle is your fault, AND if you have financial hardship.

If not.. use the insurance. It's what its there for and you pay for it monthly.

Good Luck, and decide wisely!

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Answer 7

Depends on your driving record. If you've got a clean record with no accidents or tickets... then I would file the claim. If you already have some marks on your record... maybe you should shy away from filing a claim.

Answer 8

analyze expenses for loose at - INSURERATESNOW.documents- RE How plenty will my motor vehicle coverage pass up if I make a declare? I crashed into somebody and my bonnet is crumpled up, it particularly is going to in basic terms fee £one hundred to repair, so is it nicely worth getting coverage in contact? How plenty will my coverage pass up if I do make a declare? (the different individual in contact is my neighbour and their motor vehicle wasn't broken so they are not stricken the two way.) My motor vehicle coverage is at the instant 1000 in step with 365 days

Answer 9

Probably not. It'll cost you more to claim it, as they will raise your insurance rate.