Should I Claim Insurance?

[ar39]

Last weekend, I drove on a pot hole very hard & the left front wheel is bent. Also, the hub & wheel bearing have to be replaced, wheels aligned & balanced. The cost for this is ~$1400.

I would like to know whether claiming insurance is worth it. Would the increase in premium rates for the future outweigh the costs? My deductible is $500 & $900 would be paid by my insurer. I would like to know what your opinions are.

Thanks

[bartkat]

If it's not classified as an at fault accident then the insurance may not penalize you. Check with your agent. I think they'll advise you honestly.

[JIBBBY]

Well if you paid for the insurance then why not use it?...If that type of repair falls under the coverage policy then I would do it...You stand to get $600 toward your repair costs, and that is after paying your $900 deductible... My guess is that $600 will pay for the years insurance premium costs...

It's a no brainer file away...... Even if your premium goes up a little which it probably won't with just one claim, it won't be by very much...The $600 should cover it for a long while there after...

[LEXIRX330]

Even if your premium goes up a little which it probably won't with just one claim, it won't be by very much

That is so far from true. One claim depending if you are with a preferred or a standard company can be a huge difference. There are companies that have accident forgiveness built in so check your policy. If it has that benefit than use it. Otherwise I would not even think about filing the claim. I do not know your personal situation so it is hard to advise you what to do. But I spend a great deal of time as an insurance agent each and everyday talking them out of filing small claims on policies. It is in your best intrest to avoid filing any claim, but there are times that you have to use your insurance. In your case it would more than likely be filed as an At Fault not chargeable accident. Meaning that your company might not surcharge you but you may lose good driving discounts. Not that big of deal if you are not getting discounts but if you are it can be quite a bit.

The best advice would be talk to your agent. If you do not have one and you are with a direct company guess you will have to deal with them on your own.

Was this a county or a state road? You may be able to call the roads dept and explain that you hit a pot hole and I have had some people that have actually got them to cover the cost of the repairs.

One final thought...get an alignment too. Good Luck!

[mburnickas]

Well if you paid for the insurance then why not use it?...If that type of repair falls under the coverage policy then I would do it...You stand to get $600 toward your repair costs, and that is after paying your $900 deductible... My guess is that $600 will pay for the years insurance premium costs...

It's a no brainer file away...... Even if your premium goes up a little which it probably won't with just one claim, it won't be by very much...The $600 should cover it for a long while there after...

In some states you would be nuts to do this. It does not matter you paid for it. I would not claim it. Talk to agent and they will tell you in a about 10 seconds.

[eatingupblacktop]

I'm no adjuster, but this is what I've learned from lawyers, agents and the like. If you're moving at the time of impact, it classified as at fault collision damage, regardless of your coverage or what you hit. If you have a rider that forgives your first incident in x years, then you could make a claim without it resulting in subsequent increases. Chances are you don't. It's not normal policy to offer that kind of exemption wihout addiing substantially to the premium or having a spotless record for the last century. I would attempt to recoup from the county or municipal gov't which has responsibility for that road. Go back, get pics, note exact location, etc., then consult with a paralegal (they'll usually give you a half hour for free). It's been done successfully. They can be held liable. It depends if the time you spend is worth the return. And then there's no guarantee either. Another contact for advice would be your AAA.

[ar39]

Ok folks, here is the real deal from my insurer. There would be a 90% surcharge on my base premium. This is because I had an earlier claim & a failure to obey traffic signal citation. There was no surcharge on my first claim.

The surcharge will increase my premium by 90%. This surcharge will reduce over a period of 3 years & at the end of 3 years, I'll be paying the base premium; provided I do not have any claims made in this 3 year time frame.

I've decided I would not claim insurance! Thanks for your opinion & hope the above info helps others.

Drive safe!

[eatingupblacktop]

Ok folks, here is the real deal from my insurer. There would be a 90% surcharge on my base premium. This is because I had an earlier claim & a failure to obey traffic signal citation. There was no surcharge on my first claim.

The surcharge will increase my premium by 90%. This surcharge will reduce over a period of 3 years & at the end of 3 years, I'll be paying the base premium; provided I do not have any claims made in this 3 year time frame.

I've decided I would not claim insurance! Thanks for your opinion & hope the above info helps others.

Drive safe!

Sounds about right. Now you're going to have to lay low for 3 years and make sure the next guy that hits you has insurance.

[JIBBBY]

Hogwash I say!!! You pay for the insurance use it...That is why you have it, no?

I would go as far as to say definetely call your insurance agent and see in advance how much your premium would go up with this claim...I think a little research is in order here first before doing anything... I am sure you all will agree with me on that...Get the facts first...

[eatingupblacktop]

Hogwash I say!!! You pay for the insurance use it...That is why you have it, no?

I would go as far as to say definetely call your insurance agent and see in advance how much your premium would go up with this claim...I think a little research is in order here first before doing anything... I am sure you all will agree with me on that...Get the facts first...

He did:

Ok folks, here is the real deal from my insurer. There would be a 90% surcharge on my base premium.

This surcharge will reduce over a period of 3 years

Nice mods btw.

[Scott M]

Last weekend, I drove on a pot hole very hard & the left front wheel is bent. Also, the hub & wheel bearing have to be replaced, wheels aligned & balanced. The cost for this is ~$1400.

I would like to know whether claiming insurance is worth it. Would the increase in premium rates for the future outweigh the costs? My deductible is $500 & $900 would be paid by my insurer. I would like to know what your opinions are.

Thanks

Lexi offered you some good advice.

I hit a pothole in the wife's old Honda Accord and blew the tire and bent the rim.

It took a few calls, but the town ended up covering the cost of repairs.

You should call and inquire with the town where this occurred.

I got beter results with the town selectmen than when I called the local highway dept though.

[LEXIRX330]

Hogwash I say!!! You pay for the insurance use it...That is why you have it, no?

I would go as far as to say definitely call your insurance agent and see in advance how much your premium would go up with this claim...I think a little research is in order here first before doing anything... I am sure you all will agree with me on that...Get the facts first...

JIBBY...just wondering do you have full coverage on your car? How much do you pay for your insurance? You are paying for you own insurance right?

This is simple...you have a car insured for X dollars per year. File a claim and get charged 60% x X + you loose any good driver discounts. Now why...unless you can not pay out of pocket or it would not be financially wise to do so would you turn in a claim that will cost you more in a couple of years?

I have 3 cars insured, I carry full coverage on 2 and I keep my collision deductibles at $1000. Now I have multiple accident forgiveness and deductible rewards...and I still would not file a claim on my insurance unless it was a couple thousand dollars...

General rule: Carry the highest possible deductible, and only file claims if you have to.

Just because you have insurance doesn't mean you should use it. Now if this was a not at fault, or a comp claim...file it. Any impact would be very small if any.

[JIBBBY]

LexirX330 this may come as suprise to you but -

I have been self insured by posting a bond for the last 15 years..... I've only been involved in one accident in the last 15 years, I talked with the guy I hit and paid for all the repairs which totalled $2000... I think I have saved thousands and thousands dollars over the years on insurance premuims and I am legal.... I am covered for $30,000 worth of liability, my car is a 92 modified Lexus Sc400 so no need to fully insure... I can rebuilt it if wrecked or buy another cheap one and change over all the mods... Same with my used SUV...

I don't pay for homeowners insurance either.. I am forunate to own my home out right and if some thing happens like a fire or earthquake I am liscensed contractor and will rebuild myself... If you own your own home free and clear you are not required or obligated to have homeowners insurance on residential properties...

Life insurance - I am in perfect health at age 39 and don't want to give someone a reason to kill me for life insurance money... :P

I just don't believe in insurance in general... Insurance companies are in business to make money from people like you guys paying these hefty premiums... So I am anti insurance... I am one of few that act and think alone these lines, but I can honestly say it's worked out well for my so far over the years.....

[LEXIRX330]

LexirX330 this may come as suprise to you but -

I have been self insured by posting a bond for the last 15 years..... I've only been involved in one accident in the last 15 years, I talked with the guy I hit and paid for all the repairs which totalled $2000... I think I have saved thousands and thousands dollars over the years on insurance premuims and I am legal....

I don't pay for homeowners insurance either.. I am forunate to own my home out right and if some thing happens like a fire or earthquake I am liscensed contractor and will rebuild myself... If you own your own home free and clear you are not required or obligated to have homeowners insurance o residential properties...

Life insurance - I am in perfect health at age 39 and don't want to give someone a reason to kill me for life insurance money... :P

I just don't believe in insurance in general... Insurance companies are in business to make money from people like you guys paying these hefty premiums... So I am anti insurance... I am one of few that act and think alone these lines, but I can honestly say it's worked out well for my so far over the years.....

So you are self insured, telling someone to file a claim on their insurance that would cause their premiums to rise??? Don't believe in insurance all you want...no problem as you said you are not required to have it! But to give someone bad advice about a claim that you admit you know nothing about is wrong...

[JIBBBY]

I know alot about insurance and claims... My friend owns a body shop and I probably know more about claims on cars then you....

If the numbers make sense in the long run then file the claim...It's that simple... That is all I am saying so relax tough guy....

[LEXIRX330]

I know alot about insurance and claims... My friend owns a body shop and I probably know more about claims on cars then you....

If the numbers make sense in the long run then file the claim...It's that simple... That is all I am saying so relax tough guy....

Jibby-

I am not trying to start anything with you about this but why don't you re read what you have typed. You have said that you are anti insurance. Good for you, glad you are able too. I completley disagree with you. So what!

You friend owns a body shop...great! That has nothing to do with the impact that filing a claim would have on a Auto policy which you said that you do not have. Tough Guy...

You did not say if the numbers make sense to file it...that was my point! So you relax...

[ar39]

I spoke with a rep in the Governor's office. She says they get complaints similar to mine & wanted me to mail the details & estimate. I'm doing that later today. I'm not sure of the outcome but, no harm in trying.

Since the damage to my car happened on an interstate, I have to approach the state. Munipal/town council will act only if it were a state highway or a local road in their jurisdiction.

[bartkat]

I spoke with a rep in the Governor's office. She says they get complaints similar to mine & wanted me to mail the details & estimate. I'm doing that later today. I'm not sure of the outcome but, no harm in trying.

Since the damage to my car happened on an interstate, I have to approach the state. Munipal/town council will act only if it were a state highway or a local road in their jurisdiction.

It's good to see you're following up on this.

Talk's cheap, but the actions you are taking are to be admired.

[bartkat]

I know alot about insurance and claims... My friend owns a body shop and I probably know more about claims on cars then you....

If the numbers make sense in the long run then file the claim...It's that simple... That is all I am saying so relax tough guy....

You relax sir. I don't know where you usually post but you're in Bart's back yard now.

[lambobaby1218]

I don't pay for homeowners insurance either.. I am forunate to own my home out right and if some thing happens like a fire or earthquake I am liscensed contractor and will rebuild myself... If you own your own home free and clear you are not required or obligated to have homeowners insurance on residential properties...

So off-topic, but if you don't pay for homeowner's, what happens if someone injures themselves on your property and then sues you? Wouldn't you want that insurance coverage then?

I agree, I hate paying for insurance that I'm necessarily not going to use. But I sure as heck do appreciate that I have it when I need it.

[eatingupblacktop]

I spoke with a rep in the Governor's office. She says they get complaints similar to mine & wanted me to mail the details & estimate. I'm doing that later today. I'm not sure of the outcome but, no harm in trying.

Since the damage to my car happened on an interstate, I have to approach the state. Munipal/town council will act only if it were a state highway or a local road in their jurisdiction.

Good job and good luck. Keep after them. Remember: squeaky wheel gets the grease!

[LEXIRX330]

I don't pay for homeowners insurance either.. I am forunate to own my home out right and if some thing happens like a fire or earthquake I am liscensed contractor and will rebuild myself... If you own your own home free and clear you are not required or obligated to have homeowners insurance on residential properties...

So off-topic, but if you don't pay for homeowner's, what happens if someone injures themselves on your property and then sues you? Wouldn't you want that insurance coverage then?

I agree, I hate paying for insurance that I'm necessarily not going to use. But I sure as heck do appreciate that I have it when I need it.

As he said he is self insured. He will have to pay himself. The insurance is a small price to pay for peace of mind, to me anyway. There are a lot of people that feel this way, and that is fine. Insurance companies make loads of money...but they also pay out loads of money in claims too.

[bartkat]

Self insure yeah. It's either tying up a bunch of money or paying for a bond. Either way you're paying for it.

[scottmcc]

I assume JIBBBY is single because not wanting Life or homeowners insurance if you had a family us Ludicrous and Irresponsible.. What would your family live on if you passed away. Unless your independantly wealthy..

Why would you not spend $500 year to protect your home from things out of your control... Burglary, etc.. Last year I had a pipe freeze and burst and caused $25,000 in damage. I am thankful that I had insurance and a company that came in and said don't worry about a thing, we'll take it from here. And they did and all it cost me was $500 deductable.

I have a feeling you will learn the hard way some day and say.. Damn, I wish I had insurance... But all the best luck to you.. I hope you never need insurance.. By the way, do you have medical insurance?

But back to the thread topic, After paying your deductable, I would not put in a claim of only $500 to $1000 as you will pay more than that later in higher premiums...

[tex2670]

Hogwash I say!!! You pay for the insurance use it...That is why you have it, no?

I would go as far as to say definetely call your insurance agent and see in advance how much your premium would go up with this claim...I think a little research is in order here first before doing anything... I am sure you all will agree with me on that...Get the facts first...

Maybe you didn't read the latest post. Why would you make a claim and pay $500 deductible for the privilege of having your rates ALMOST DOUBLE?? THE $900 piece the insurance company would pay would be lost by the future premium increase, which, as he said, will take a number of years to reduce (ASSUMING no further incidents).