If you’ve been in a car crash, and you’re wondering how to handle the insurance, you’re not alone. Indiana injury lawyers get these kinds of questions all the time. Should you use your own insurance? Or is the other driver’s insurance responsible for your bills? Are your rates going to increase? Here are some things to consider.
Rate Increases
First, the question of rates. If you file with your own insurance company, it’s possible that your rates may increase. Insurance companies don’t share their formulas for rate increases, so you can’t really know for sure.
Being involved in a collision may have already raised your rates, whether you’ve used your insurance or not. Insurance companies assess risk based on your driving history. Your rates can go up just because a crash happened—even if it wasn’t your fault.
Why We Carry Insurance
One of the main reasons we have insurance is so you don’t have to pay for everything out of pocket if you’re in a collision. Your insurance company takes on some of the risk.
This is why it’s a good idea to talk to your insurance company if you’re in a crash. Your insurance company can help you decide who will pay for the damage caused by the other driver.
Filing a Claim with the Other Driver’s Insurance Company
Sometimes your insurance company will suggest that you file a claim with the other driver’s insurance company. This can be frustrating because it puts the risk back on you. If you have collision coverage, you can file a claim with your own insurance company and have them pay for the repairs or the fair market value of your car.
It’s usually better to go through your own insurance company because it’s faster and more efficient. Your insurance company will have to get reimbursed by the other driver’s insurance company—but that’s their problem, not yours.
Medical Payments Coverage
Another reason to use your own insurance is if you have medical payments coverage. This coverage pays for your medical bills and the bills of anyone in your car who is injured, up to a certain amount. This is usually included in what people call “full coverage.”
Using your medical payments coverage is generally a better idea than using your health insurance. When the auto insurance company calculates how much to offer you in pain and suffering compensation, it takes into account how much the insurance company paid for your medical bills. If you use your health insurance, you may not be compensated as fairly as you would be if you used your auto insurance medical payments coverage.
Make the Right Call
Every case is different, which is why you should consult with an Indiana injury lawyer before you make any decisions. If you have any questions, give us a call at 317-632-3642. Let the Marc Lopez Law Firm turn your frustration into compensation.
