Dealing With Your Car Insurance After A Car Crash

Despite writing that monthly check to your auto insurance for liability and injury coverage, most people are understandably confused regarding what happens following a car crash when it comes to speaking with insurance. The assumption is that everything will be taken care of. After all, that is why you pay for insurance, right? And if you were not at fault for the car crash, why would you have anything to worry about? Unfortunately, reality is less cut and dry, and there are several things you should (and should not do) when communicating with your insurance provider following a car crash, especially an accident that resulted in injury to you or your passengers.

What Does Your Insurance Cover

In California, the state minimum policy, or the least amount of insurance you need to legally drive in the state, is a 15/30 policy. This is the amount of insurance coverage that is likely to cost you the least amount of money. What do the numbers mean? The 15 represents $15,000 for bodily injury you cause another individual. That is, if you injure someone, your insurance will pay up to $15,000 towards their medical bills and pain and suffering. This amount must cover everything, and is the maximum amount of money any one individual can recover as a result of an accident that was your fault. Even if that person's medical bills exceed $15,000, that's the most your insurance will pay. If you were injured by someone who has this insurance policy, the most you can recover from their insurance is $15,000. Even if your medical bills are extremely high, let's say $500,000, you will only get a check for $15,000 (in the best case scenario) from the at fault driver's insurance. 

The second number represents $30,000, or the total amount that your insurance will pay towards injury claims from a given accident. This means if there were multiple people injured, they must divide all their claims into the $30,000; if, for example, ten people were hurt, and each have $100,000, the total amount any one person can get is $15,000, and the entire group's net recovery cannot exceed $30,000. Given the high cost of medical care, a 15/30 or "bare minimum" insurance policy may not be enough to cover the medical bills and pain and suffering of those involved in the crash.

Will Your Insurance Premiums Be Increased?

The short answer is no, not automatically. This depends on whether you were at fault, and whether you were issued a citation or ticket from the California Highway Patrol or another law enforcement office. The amount you pay for car insurance depends on what you use your car for (business or pleasure), what kind of car you drive, where you live, what your driving/criminal records looks like, among other factors. If you were not at fault in a car accident, you should not see an increase in your insurance premiums. If you were at fault, you will likely see an increase. This is because it will cost more for your insurance company to insure you, and you are a greater risk of costing more money to insure in the future.

When Should You Report A Car Accident To Your Insurance?

Most people don't want to talk to their insurance because they don't want to see their bills increase. However, if you were injured, or someone else was injured, you should call your insurance company. Also, if property damage exceeds $500, or is likely to exceed that amount, you should call your insurance company. Some insurance policies (the "contract" between you and your insurance) require you talk notify them immediately after any motor vehicle collision.

What Should You Say To Your Insurance Following A Crash?

They need to know where it happened, when, any contact information from the other vehicles involved, and a basic explanation of the crash. That's it. You do not need to try to explain everything. In fact, doing so is likely to hurt you more than help you. Don't accept fault for the accident, and don't give a full list of possible injuries to you or anyone else. If you were injured, say you were injured and you have not yet visited a doctor. If you give a detailed accounting of injuries, you may miss something, and you will most certainly not give an accurate accounting of your injuries when compared to your medical records. This enables insurance adjusters to deny payment towards medical treatment later. You therefore shoot yourself in the foot by trying to be helpful. 

What Shouldn't You Say Following A Crash?

First, make sure you're safely off the road and are emotionally in a good spot. Too many people try to get on the phone with their insurance when their vehicle is still in the roadway, or they are in shock and still flustered from the accident. Take care of yourself first.

  • Don't admit fault. Just don't give your opinion. State the facts as simply and straightforward as you can. 
  • Don't say you are uninjured, or were not injured. If you feel pain a day or two later, which is very common, you may negate your ability to recover in the future. If you have medpay, or excess liability coverage, for example, your insurance policy that you've been paying for may cover you. It won't cover you if you make a statement that to you seems harmless, but allows your own insurance company do deny payment later on. 
  • Don't give a recorded or "official" statement. It won't help you and it can only hurt you. Sounds overly critical of insurance company, perhaps. But attorneys that handle car accident injuries regularly in California have seen time after time cases where the injured person makes a seemingly harmless recorded statement that is later used against that person. If you make a recorded statement (some insurance providers require this), you should do so only after consulting with an attorney. 
  • Don't estimate. Communicate the facts and stick to that. The more you try to connect the dots, the more likely you are to make a statement that although it sounds harmless to you, will prejudice your case in the future. This means it will work against you in the future. Keep it simple.
  • Don't sign medical records or releases. The insurance adjuster may say this is required, but it is not. You should consult with your attorney prior to signing medical release forms. 

Don't Settle Without First Consulting With An Attorney

Above all else, if you are considering settling, you should first speak with an injury law firm or an attorney who handles injury cases. Even if your case seems simple and straightforward, there are many loopholes that allow insurance companies to settle for less than fair value. If you don't know any better, you are likely leaving money on the table. Settling without an attorney almost always means you will get less money in your pocket. 

Depending on the facts of your case, you may be leaving large amounts of money on the table that you don't even know about. This is money that you have been paying for as part of your insurance premiums, or is money that the at-fault party is covered for. Remember, insurance companies are for-profit businesses. They want to spend as little money as possible on your claim. The less money they spend on your case, the more money they keep in the business. However, this does not mean you are getting a fair settlement for your California injury claim. Don't pad the pockets of the insurance company by accepting less than fair value. 

California Car Accident and Injury Attorneys

The Lions Injury Lawyers, P.C. handle injury claims throughout the state of California. The lawyers at The Lions Injury Lawyers do not work on other matters, but focus exclusively on injury cases. This means they have the experience and knowledge to help you get fair compensation for your injuries. If you or a loved one were injured, the attorneys at The Lions Injury Lawyers will answer your questions free of charge. All representation is done on a contingency fee basis, meaning you will never have to write a check or pay for your attorney out of pocket. Your fee is taken as a percentage of the amount your attorney wins on your behalf. If your attorney does not win, you owe nothing for the services provided. Also, you will speak directly with an attorney, not a salesperson. Don't sign up with an injury law firm after speaking with only a salesperson. Salespersons are fine at selling tires and perfume, but when it comes to your health and financial wellbeing, you deserve to speak with an attorney. Contact The Lions Injury Lawyers today for a free consult.