Car accident - Should I also claim insurance for hair-line crack on bumper?

[jedi1648]

My wife rear-ended another car with an estimated repair bill of over $2000 for the other car. We decided to report the accident to our insurance companies instead of me paying for it.

There is also a hair line crack on wife's car bumper (2009 Corolla) from that accident, and the estimated cost of replacing the car bumper is about $1000. I can live with this 2 inches hair line crack if my insurance claim will increase my premium.

My question is whehter I should also make the insurance claim, while the other party is making the claim? Would MY insurance claim increase MORE my future insurance premium?

Thank you.

[Anonymouse]

There are generally thresholds in terms of whether it's going to affect your rates a lot; my insurance company uses $5000.

The problem is not the crack, it's the fact that the styrofoam behind it has been compressed and it's not going to absorb energy in a future crash. That said, it's not going to absorb a LOT of energy even when it's working perfectly, so it's your call.

[COSMIC5]

My wife rear-ended another car with an estimated repair bill of over $2000 for the other car. We decided to report the accident to our insurance companies instead of me paying for it.

There is also a hair line crack on wife's car bumper (2009 Corolla) from that accident, and the estimated cost of replacing the car bumper is about $1000. I can live with this 2 inches hair line crack if my insurance claim will increase my premium.

My question is whehter I should also make the insurance claim, while the other party is making the claim? Would MY insurance claim increase MORE my future insurance premium?

Thank you.

Its already reported to your insurance company as an accident and your wife is at fault and her insurance will reflect this. If she has the accident protector, she should not see an increase in premium. If she doesn't and she's a 6 star, she more than likely will go to a 5star rating. It would depend on what your deductible is whether or not its worth claiming your damages as you'll have to pay that portion first. If you have a $1000 ded then there is nothing to be paid..if you have a $500 ded, then you are only able to claim the $500. Regardless, its recorded as an at fault whether you claim your own damages or not.

Have you spoken to your Broker and asked their advice?

[COSMIC5]

There are generally thresholds in terms of whether it's going to affect your rates a lot; my insurance company uses $5000.

The problem is not the crack, it's the fact that the styrofoam behind it has been compressed and it's not going to absorb energy in a future crash. That said, it's not going to absorb a LOT of energy even when it's working perfectly, so it's your call.

What do you mean thresholds and $5000 - can you explain please, thanks.

[Anonymouse]

What do you mean thresholds and $5000 - can you explain please, thanks.

There are thresholds for whether a claim is considered serious enough to have a major impact on the premium. A $60 000 two-car writeoff plus accident benefits is more increase-worthy than a $1000 bumper scrape. The woman who worked for the engineer affinity program I was applying to was very interested in whether the damage in my wife's accident was greater than $5k, so I assume this is a magic number.

[COSMIC5]

There are thresholds for whether a claim is considered serious enough to have a major impact on the premium. A $60 000 two-car writeoff plus accident benefits is more increase-worthy than a $1000 bumper scrape. The woman who worked for the engineer affinity program I was applying to was very interested in whether the damage in my wife's accident was greater than $5k, so I assume this is a magic number.

No, it doesn't matter the amount of the claim, it will be considered an at fault accident regardless. I don't see anywhere in my rate manuals that break up the difference between an at fault $1000 claim or a $10,000 claim...where did you hear this info?

perhaps you are referring to the amount paid out on a bodily injury claim and how this would affect you applying to a new insurer?? I have no idea what you mean...sorry

[rems]

No, it doesn't matter the amount of the claim, it will be considered an at fault accident regardless. I don't see anywhere in my rate manuals that break up the difference between an at fault $1000 claim or a $10,000 claim...where did you hear this info?

perhaps you are referring to the amount paid out on a bodily injury claim and how this would affect you applying to a new insurer?? I have no idea what you mean...sorry

+1

Your premium is dependent on your driving record.
Your driving record is dependent on the number of at-fault accidents and not how much the insurer paid out for your claim.

[DrXenon]

Actually, I have evidence to the contrary: When I applied to Meloche Monnex, the woman asked about our driving history and I told her about my wife's at-fault accident. She gave her quote, and I told her it was greater than what I was presently paying. I thanked her and before I got off the phone, she asked me if the damage was greater than $5k. When I said it wasn't, she gave me a lower quote, which I accepted.

So it's not simply the number of at-fault accidents, although for first-order analysis by simpleminded brokers, I'm sure that's what they use.

[COSMIC5]

+1

Your premium is dependent on your driving record.
Your driving record is dependent on the number of at-fault accidents and not how much the insurer paid out for your claim.

THANK YOU REMS! PPl need to be careful where they get their information and must always talk to their own broker who is lic'd in the industry...

[rems]

Actually, I have evidence to the contrary: When I applied to Meloche Monnex, the woman asked about our driving history and I told her about my wife's at-fault accident. She gave her quote, and I told her it was greater than what I was presently paying. I thanked her and before I got off the phone, she asked me if the damage was greater than $5k. When I said it wasn't, she gave me a lower quote, which I accepted.

So it's not simply the number of at-fault accidents, although for first-order analysis by simpleminded brokers, I'm sure that's what they use.

Is that in their underwriting rules? Rates aren't discretionary so maybe they decided to change their definition of at-fault instead to get your business with the lower rate.

[Anonymouse]

PPl need to be careful where they get their information and must always talk to their own broker who is lic'd in the industry...

My advice would be never to trust a party whom you don't pay out of your own pocket. Brokers work for insurance companies, because that's where the money comes from. It's the same thing when you're shopping for a mortgage. If we relied on what the bank tells us instead of what people are reporting in the excellent mortgage thread on this forum, my wife and I would have paid thousands extra in premiums to the banksters.

DrX's experience echoes my own, which was also with Meloche Monnex.

[COSMIC5]

My advice would be never to trust a party whom you don't pay out of your own pocket. Brokers work for insurance companies, because that's where the money comes from. It's the same thing when you're shopping for a mortgage. If we relied on what the bank tells us instead of what people are reporting in the excellent mortgage thread on this forum, my wife and I would have paid thousands extra in premiums to the banksters.

DrX's experience echoes my own, which was also with Meloche Monnex.

Brokers do not work for insurance companies, agents do.

[COSMIC5]

Actually, I have evidence to the contrary: When I applied to Meloche Monnex, the woman asked about our driving history and I told her about my wife's at-fault accident. She gave her quote, and I told her it was greater than what I was presently paying. I thanked her and before I got off the phone, she asked me if the damage was greater than $5k. When I said it wasn't, she gave me a lower quote, which I accepted.

So it's not simply the number of at-fault accidents, although for first-order analysis by simpleminded brokers, I'm sure that's what they use.

You are wrong my friend, doesn't matter the amount of payout...an at fault is an at fault...perhaps you are referring to a BI claim which may have to be referred to management, but rates are not determined in ONTARIO by the amount of a payout.

[Anonymouse]

an at fault is an at fault

This is manifestly not the case, since the concept of "accident forgiveness" is well known.

[COSMIC5]

This is manifestly not the case, since the concept of "accident forgiveness" is well known.

still considered an at fault...regardless of if you have the accident protector or not. If you do, you won't be charged on your insurance...but still an at fault none the less..and BTW, that only applies to your current insurer....move to another one and you'll be rated accordingly..