Dispelling Common Car Insurance Myths
Car insurance is often surrounded by myths that cause confusion among drivers in the UK. Misunderstanding your policy’s terms and limits can lead to costly mistakes if you’re involved in a non-fault accident.
This article aims to clarify five prevalent car insurance myths to help you avoid being caught off guard after an accident.
Myth 1: “You Must Always Contact Your Insurance Company After an Accident”
The Reality
While informing your insurance company about an accident as soon as possible is necessary, it’s a myth that you must call them first and file a claim if you’re not at fault. If you choose not to file a claim with your insurer, make sure your call is solely for notification and not for starting the claims process.
How an Accident Management Company Can Assist
By reaching out to an accident management company first, you can bypass the hassle of contacting your insurance company post-accident.
At Auto Claims Assist, we can communicate directly with your insurer if needed, to inform them of the accident and that you have initiated a claim with us.
We manage all aspects following a non-fault accident, including vehicle recovery, repairs, and dealing with the at-fault party’s insurance.
Our aim is to simplify the claims process, ensuring you’re back on the road as quickly and smoothly as possible.
Myth 2: “My Insurance Premiums Won’t Increase If I’m Not at Fault”
The Reality
Even if you’re not at fault, a claim on your own insurance policy could still impact your future premiums. Here’s why:
- Risk Assessment: Insurers evaluate your overall risk profile, and even a non-fault accident can suggest a higher chance of future incidents.
- Pending Claims: A non-fault claim may temporarily affect your premiums until the case is resolved and costs are recovered from the at-fault party.
How an Accident Management Company Can Help
By avoiding a claim through your own policy, we aim to minimize the impact of the accident on your future premiums.
Accident management companies can significantly reduce the burden of a non-fault accident and help you navigate the claims process more effectively.
Myth 3: “My No Claims Bonus (NCB) Won’t Be Affected by a Non-Fault Claim”
The Reality
It’s a common misconception that your No Claims Bonus (NCB) is unaffected by a non-fault claim. However, the reality is more nuanced:
- Potential Impact: Even if the accident wasn’t your fault, the process of claiming through your own insurer can still jeopardize your NCB. Insurers may view any claim as increased risk, potentially leading to a reduction in your NCB until they recover costs from the at-fault party’s insurer.
- Insurance Policy Variations: The impact on your NCB depends on your insurer’s policies. Some insurers may protect your NCB for non-fault claims, but this is not guaranteed.
How an Accident Management Company Can Help
An accident management company can help preserve your No Claims Bonus (NCB) after a non-fault accident by:
- Direct Claims: Claiming directly from the at-fault party’s insurance, keeping your own policy unaffected.
- Comprehensive Support: Managing the entire claims process on your behalf, without involving your insurance.
Myth 4: “I Can Drive Other Cars Automatically with My Insurance Policy”
The Reality
There’s a misconception that you can drive other cars if your insurance policy covers another vehicle with the owner’s permission. However, this is no longer a standard feature.
While some older policies included Driving Other Cars (DOC) insurance as a benefit, this is not universally available now. Even when offered, it often provides only minimal third-party coverage.
You should check your policy documents to verify whether you’re covered to drive a vehicle you’re not insured for.
How an Accident Management Company Can Help
If you’ve had a non-fault accident while driving a car under a DOC extension, an accident management company can provide guidance, particularly if you’re concerned about limited third-party coverage.
We assist in navigating the claims process, ensuring your non-fault claim is managed effectively and minimizing potential financial losses despite limited coverage.
Myth 5: “I Won’t Have to Pay the Insurance Excess If the Accident Wasn’t My Fault”
The Reality
Initiating a claim through your insurance company requires paying your policy excess fee, regardless of fault. This payment is a standard part of starting the claims process.
If the at-fault party’s insurer accepts liability and costs are recovered, you may get reimbursed for your excess fees. However, this process can be lengthy, and there’s no guarantee of recouping the full amount.
How an Accident Management Company Can Help
By making a non-fault claim with an accident management company instead of your insurer, you can avoid the stress of paying excess fees.
Unlike insurers, we don’t require excess fees to initiate a claim with us. We recover our costs from the at-fault insurer, so you don’t need to pay us any excess. We handle everything at no cost to you.
Understanding Policy Limits
Understanding your policy limits and common car insurance myths can help prevent issues after a non-fault accident. For a smoother process, consider using an accident management company rather than handling the complex insurance claims process yourself.
Make a Claim with Auto Claims Assist Today
If you’ve been involved in a non-fault accident, contact Auto Claims Assist today. We’ll manage everything on your behalf, making the claims process as easy as possible, at no cost to you.
