Do I Need Multiple Car Insurance Claims?
It doesn’t matter how many car insurance claims you’ve had in a recent three-month period or if you’ve ever had two car insurance policies within the same year. All such claims made within a three year period are viewed as multiple claims for your policy’s policy history. Multiple claims which happen very close together can also bring up questions regarding deductibles. Deductible is the amount that you pay when you take out your policy. Insurance companies base this on an estimate of how much they think their customers will be paying. It’s true that you pay more if your deductible is higher but it isn’t necessarily the case that your premiums will be higher if your deductible is lower.
There are two factors which can affect how much you pay in your premiums and those are your age and whether or not you’re a non-smoker. If you’re a non-smoker then you’ll usually pay less for your premium than someone who smokes. Your age will also determine how many years you have to remain on your policy, usually up to about five years. If you’re between the ages of twenty and forty then your premiums for at-fault coverage and non-renewal will be higher. This is due to many middle-aged males being involved in driving accidents as a result of having alcohol and/or drugs in their systems.
There are two types of comprehensive claims you can make. You can file a non-collision or collision claim. In the event of an accident, the other driver has the option to file an at-fault claim against you and use your insurance carrier to fund the claim. The majority of states require non-collision and collision comprehensive claims to be filed within 90 days of the accident.
However, if you’re unable to make at least one non-collision claim then you must notify your insurance company within five days of the accident. You must also notify your insurer within ten days of the accident, if it was a result of negligence. If you don’t notify your insurance company within the required time period then your policy period will end and you must file a new at-fault claim.
Non-collision and collision policies are a bit more expensive but they offer many benefits. They’re also relatively straightforward to understand and to maintain. Non-renewal means that after your policy period has expired then you won’t be able to file any new claims. This means that in many cases you’ll actually save money as you won’t have to pay out for additional cover. However, non-renewal is voluntary and only occurs in cases where you didn’t tell your insurer you wanted to change your policy period.
Claims on three-year policy periods are particularly useful. Three years is usually the length of time from the date you purchased your vehicle until you can no longer legally drive it on your own. For many consumers this will be after a few years’ driving so it’s not too surprising that so many consumers just want to get out of claims before their three-year policy expires. Unfortunately, though, many insurance carriers actually have a maximum three-year period, which means that after this period many drivers simply fail to make any claims.
Some insurance carriers allow you to continue making claims up to a further three years after the date of your last at-fault claim. It’s a good idea to check your policy carefully before taking this approach. If you find that this is the case, you may be better advised to renew your non-renewal period instead of choosing to go ahead without an at-fault claims protection.
However, not all car insurance companies offer this kind of flexibility. If your policy is for a fixed term, and you are then involved in a dispute with your insurer over a period of time after your three-year term has expired, you may find that your insurer does not recognise your right to continuous coverage and refuses to renew your policy. This could leave you in a very tough situation indeed, if you had been thinking about continuing with additional cover as an alternative. It is vital that you seek professional legal advice before proceeding with multiple car insurance claims. It may be worth considering a three-year term as a reasonable compromise when it comes to protecting yourself against liability.