Yes. Regardless of fault, it is important to call your insurance company and report any accident that involves injuries or property damage.
It is a common myth that you needn’t contact your insurance company if you aren’t at fault. There are several types of coverage on your insurance policy that you may want to use in these instances, and it all starts with a call to your insurance provider.
Can insurance raise my rates if the accident wasn’t my fault?
Per Virginia Code § 38.2-1905, the rates should not increase if the driver is not at fault. The code states that no insurer may increase its insured’s premium, or charge points under a safe driver insurance plan to its insured as a result of an auto collision. Unless the accident was caused either wholly or partially by the named insured, a resident of the same household, or other customary operator, premiums shall remain the same.
This of course pertains to Virginia law. Other states within the U.S. give insurance companies the right to raise premiums, no matter who the at-fault party is.
If your insurance company has implemented increased rates due to an accident caused by another motorist, you have the right to file a complaint with the Virginia Bureau of Insurance.
Why should I call my insurance company?
Below is a comprehensive list of benefits you should take advantage of, even if you aren’t at fault for the collision. After all, you are paying a monthly premium for these services, and these options will give you the best return on your investment.
Benefit #1) Collision insurance coverage
If the at-fault driver’s insurance company is slow to accept responsibility for the accident, you may want to get your car repaired or replaced under the collision coverage from your own insurance policy. Once this is secured, it is up to your insurance company to seek reimbursement from the at-fault party’s insurance.
To use this coverage, you must promptly notify your insurance company of the accident. Otherwise, you might have to pay for repairs out of your own pocket, and then negotiate your property damage settlement with the at-fault driver’s liability carrier. This process can take months.
Keep in mind that you may have storage charges accruing while your car is sitting wherever it has been towed. While you are waiting for the liability carrier to accept responsibility, you may want to mention storage charges to keep the needle moving.
Benefit #2) Towing insurance coverage
This coverage will pay the cost of your vehicle being towed upfront. Then, your insurance company will seek to be paid back by the at-fault driver’s insurance company. Without towing insurance coverage, you may have to pay the towing charge while you wait for the other person’s insurance to accept responsibility.
Benefit #3) Your insurance company can defend you
Fourth, and perhaps the most important reason you should contact your insurance company after an accident, is that the other driver may claim that you are at fault and pursue a claim against you. Even if you know you weren’t the cause of the collision, you do not want to have to pay the cost of defending yourself.
Under the terms of your policy, your insurance company is required to provide defense for you – free of charge – if a claim is brought against you.
Timing is of the essence
To have the benefit of any of these coverages, you should report the incident within a reasonable amount of time. If you do not, your insurance company is permitted to deny coverage. Again, since you are paying a premium for their services, it would be prudent to take full advantage.
Uninsured and underinsured motorist (“UM/UIM”) coverage
There is a type of coverage available to you through your insurance carrier that doesn’t require you to notify your insurance company of an accident within a reasonable amount of time. This type of insurance coverage is called uninsured and underinsured Motorist (“UM/UIM”) coverage. If the at-fault driver in your accident either does not have insurance or does not have enough insurance to cover your losses, then this type of coverage may provide a source of payment.
Before you report the accident to insurance…
Although you should promptly notify your carrier of the accident, you should be careful with how you describe the incident. Tell them that you were involved in an accident and give them general background information, including the date, time, location of the accident, and names and addresses of all parties involved.
However, it is best not to discuss the issue of fault until you have consulted with an attorney. Politely decline to give a recorded statement until you feel better. The representatives working on claims in insurance companies are trained to ask questions in a way that will benefit their bottom line. They are skilled at maneuvering conversations so that the blame may be shifted, and certain statements can be misconstrued to work against you. Your feedback is being recorded and may be used against you in depositions or the courtroom. Moreover, many people fresh off an accident may still be in shock and disoriented from the event. Making a recorded statement while under duress is not in one’s best interest.
In sum, it is vital to report any accident to your insurance company promptly. This will avoid giving your insurance company a basis for denying coverage that may otherwise be available to you. It will also activate many types of coverage to help you through this difficult time.
It is equally important not to discuss the issue of fault with anyone, including the at-fault driver’s insurance company, until after you have sought the advice of an attorney. If you have been injured in an accident through no fault of your own, you may be entitled to compensation. Getting injured in an accident is a disorienting time, and seeking the help of legal professionals can allow you to focus on healing. For a free and confidential case evaluation, call Allen & Allen today, at 866-388-1307. Our team of compassionate lawyers is here to help.
