Your auto policy provides collision coverage if you’re involved in a car accident. Collision coverage covers the cost of repairing or replacing your vehicle if it is totaled in an accident. This applies regardless of fault. If you are the main cause of an accident, and your vehicle is damaged, there are two options for getting the money: collision coverage or your child’s piggybank. The claim can be reported to your agent, or directly to the insurance company. An adjuster will contact you. If your car can be driven, you might be asked for estimates. The adjuster may also inspect the vehicle and make her own estimate.
These are some of the most common issues you might encounter in this process, and how you can solve them.
- You don’t like the shop recommended by the insurer. Most insurance companies have established relationships with body shops who they’ve found to offer reasonable estimates and to negotiate repairs costs. You have the right to choose the shop you want, and your insurance company can work with it. Some shops can be price gougers. Avoiding those shops will be a benefit to everyone. It also keeps your premiums down by keeping repair costs low.
- An adjuster will require that you receive two or three estimates. It is normal to request one estimate. You can get it at your preferred body shop. It’s okay to request a second estimate if it is not difficult. This helps keep shops honest. If you don’t want to receive another estimate, you can request that the insurance company send a technician to help you determine the repair cost. This is especially true if the car is not road-worthy. You can refuse to receive a third estimate. This is not fair.
- Your preferred shop will not honor the adjuster’s estimate. This happens all too often. An adjuster will write an estimate, mail you a check and give it to you if he isn’t busy. It may seem like you are happy to get such prompt service at first. Then, you bring your vehicle in to the body shop and they refuse to repair it for the amount that the adjuster quoted you. The adjuster may not have noticed that there was damage at the body shop. You don’t have to worry, just call the adjuster and request him to negotiate a new price with your shop. He will then issue you a second payment. Before your preferred body shop accepts payment and an estimate, you should never accept payment.
- The body shop may ask you for more money before it releases your car. This could be for one of the following reasons:
- Although the adjuster may have approved additional damages, the second claim check is still not received. You can sign a form, which is available at every body shop, authorizing your insurance to pay the shop directly and bypassing you. Most shops will then release your vehicle without any further hassle. If the shop won’t release the car, it is worth adding the amount to your credit card.
- The shop could also be trying to make a quick buck. Every shop that is reputable knows that any additional repairs must be approved and approved by an adjuster. The shop may not have authorization if it demands more money from you. The shop hopes that you will be so desperate to have your car released that they make you pay more or that you protest loudly enough to your insurance company to pay. If the shop does not receive approval, it is the bad guy. They shouldn’t be paid. Authorize your insurance company to pay additional funds to the body shop if needed. The shop must then do the right thing and work out a solution with your adjuster. It’s then the shop’s fault, not yours.
- The insurance won’t cover new parts. The car is 8 years old and in good condition. It is a bit damaged. You want new parts. The adjuster estimates that the parts are used. Your insurance company has the right to replace your damaged parts with new parts. You have the right of inspect the parts and can refuse to let them be used. You have the right of requesting new parts. However you will be responsible for the difference between the cost and cost of the used parts. It is legal for the insurance company to only pay for used parts. This is because it does not have to replace the part you had. Your parts were certainly worn by the time you were involved in an accident.
- Cashing out when you won’t make the repairs. It is up to the insurance company to decide whether you want to repair, replace, pay cash. Most insurers allow you to choose cash, however. There are many companies that pay cash differently. Some pay the entire repair cost, while others pay an appearance allowance. This is to compensate for the car’s loss of value. You can complain about the appearance allowance amount to a dealer. Show the manager your car. Ask him to put on his letterhead the preaccident as well as postaccident values for your car. If you decide to not repair the car, you can get the difference between the two values (assuming that the repair costs are less than the preaccident value).
