Car insurance can help you during an accident because it covers the damages to your vehicle. However, sometimes, you may need to file multiple car insurance claims in a year. In such circumstances, you need to know whether filing multiple claims is possible.
Here is what you need to know about filing multiple claims.
Categories of Car Insurance Claims
The car insurance claims are classified based on the nature of the accident.
At-Fault Claims: The insurance company will cover all the damage, but the premium amount may increase whenever you file a claim.
Not-At-Fault Claims: If the other driver is responsible for the accident, their insurance company will pay for the damage to your car. There is no specific limit to not-at-fault claims.
Comprehensive Claims: This type of claim covers things like vandalism, fire damage, or theft. Premium amounts are not affected by filing multiple comprehensive claims.
Insurance Companies and Their Specific Limits on Filing Claims
There is no specific limit to filing multiple car insurance claims as long as they are not-at-fault claims. If you file more than two at-fault insurance claims within three years, your insurance company can label you with multiple claims status and may not renew your policy.
Challenges with Filing Multiple Insurance Claims
As long as your claims are legitimate, the insurance company will not have any problem processing them. However, you will need to pay your deductible with all your insurance claims. The cost of premiums can also increase every time you file a claim.
Accident Forgiveness & Aggregate Limits
If you have a clean record, some insurance companies will ignore your first claim as part of accident forgiveness. You will need to pay extra to add this ‘accident forgiveness’ to your policy.
Sometimes, you may face an aggregate limit with your auto insurance policy, which is the maximum amount your insurer will pay for each claim. You cannot make any other claim for six to twelve months after exceeding your aggregate limit. Ensure that you drive carefully and pay for small claims out of pocket to avoid multiple claim penalties.
Now you know about filing multiple car insurance claims in a year, so act accordingly. For assistance with your insurance needs, contact the experts at Pierce Insurance Group. We are happy to help you with all your coverage needs and questions.