Before deciding to make a claim on your insurance policy there are a number of factors to consider.
- Will it increase your insurance premiums or prevent you getting discounts on premiums in the future? Most insurers offer discounts on premiums if you have not made a claim before.
- Will claiming negatively impact your ability to get insurance in the future?
- Will you have to pay an excess? Check your policy for how much you will have to pay if you make a claim.
You might want to think about not making a claim against your insurance policy, and paying for any repairs yourself, if:
- there is minor damage to any cars or property
- the total cost of repairing the damage is not much more than the excess on your policy.
You may be able to take action against the other driver yourself and not make a claim through your insurance policy if the other driver was at fault, is insured and admits liability.
You should get legal advice about your options.
If you take action against the other driver but later change your mind and want your insurer to take over, your insurer may refuse to help. Your actions may have affected the insurer’s ability to recover the debt from the other driver. If you interfered with, or made it harder for the insurer to take action against the other driver, your insurer may reduce or reject your insurance claim.
If you have a car loan and your car is written-off, you still have to repay the outstanding amount on the loan.