What is Accident Insurance?
Accident insurance, as the name suggests, is an insurance policy that pays for injuries or deaths caused by accidents. This insurance policy doesn’t usually cover negligence, acts or natural disasters. The policy might also include restrictions like caps on payouts or limitations on payouts for dangerous activities. Accident insurance is offered by many insurance companies. It can be purchased either as an individual policy or as a part of an existing insurance policy.
Is it a good idea or not?
As with other insurance products, purchasing accident insurance is a wager. The premium paid by the customer to an insurance company is a guarantee that no accidents will occur. In return, the insurance company will write a policy in order not to have to pay.
This policy is a great idea for those who:
- They lack adequate health insurance coverage (ensuring they can access medical treatment after an incident).
- Family members who are financially vulnerable if their sole breadwinner is not there (offers more financial safety).
The severity of injuries can affect the payouts for accident insurance policies. For example, some policies include specific language regarding how much will be paid out if an extremity is lost. The payout is intended to pay for medical care as well pain and suffering. In the event of permanent disability due to an accident, the payout may be structured so that the accident victim can continue to live. The benefits are paid to the named beneficiary of the policy in the event that there is a death.
Searching for Accident Insurance
Ask about the cost of insurance and what events or accidents are covered.
Know the company’s reputation before buying a policy. Some companies cover more than others, and some delay paying customers until they are sure that the customer meets the terms of the payout. This is a problem for those who have to pay immediate expenses.
Types and types of Accident Insurance
- To protect themselves and others, drivers can buy car accident insurance.
- Insurance policies for travel accidents (must be purchased prior to your trip)
People who work in specific industries may need to have customized insurance plans. Such insurance can be very expensive, as it reflects the increased risk for the insurance company. An example of this is a telephone lineman who will be more costly to insure than someone working at a desk.
Talking to an insurance agent you trust is a good way to make sure you are fully informed about your policy.
Step-by-step instructions on what to do following a car accident
You should always check for injuries
You can call 911 or get help from someone else if you’re hurt. If you are severely injured, do not move. Wait for emergency personnel.
You should ensure the safety and well-being of your passengers
Check on other passengers in the car if you’re able to move. Call emergency services or ask someone to help if you’re hurt.
Take the first step towards safety
If possible, you can move to the side or sidewalk. If your car poses a danger and is safe to drive, move it to the side of traffic. You can always leave your car where it is and go to safety.
Call 911
It doesn’t matter if the accident is minor or major, calling police is vital. In fact, in some states, it is required by law. The responding officers will complete an accident report detailing the incident and take photographs. The III states that if the police cannot arrive on the scene of an accident you can fill out a report at your nearest police station. In order to assist you in filing a claim with your insurance, they might ask for a copy from the police report.
Wait for assistance
Turn off the engine, switch on your hazard lights, and use your emergency vehicle kit’s road flares to warn other drivers to slow down.
The National Insurance Crime Bureau advises you to be cautious of bandit-tow trucks. These are tow truck drivers that you haven’t called and who offer assistance. This may be a scam. They can convince victims into towing their vehicles to unsavory facilities, which hold them hostage for an outrageous payout.
Information to exchange
After you have checked that all passengers and you are okay, it’s time to share contact information and insurance information. The most important information drivers should share after an accident is
- Contact information and full name
- Policy number and insurance company
- Driver’s license number and license plate number
- Type, color, as well as model of vehicle
An accident site
The III recommends you not to discuss fault with another driver when discussing the facts. An adjuster will review your claim and determine who is at fault. They will inspect the vehicles/property damage, all information you provide, as well as any supporting documentation such as photographs or the police report.
Keep a record of the accident
The III recommends following these steps to protect yourself:
Identify the officers.
When the police arrive, ask for the names and badge numbers all the officers who responded.
Get a copy.
Ask the officer present to show you where you can find a copy. An insurer might request a copy of this report when you file an insurance claim.
Photographs are encouraged.
Photograph your car from various angles and show the damage to both cars. It may also be worthwhile to take photos of the license plates of the other car. Photos may be shared with your insurer as part of the claims process. This could help to support your claim.
Note down the names.
Notify all parties concerned with the details, including any passengers.
Talk to witnesses.
If witnesses were present at the accident, note their names as well as their contact information.
Keep this accident information page in your car to ensure that all documentation is in order.
Notify your insurer to initiate the claims process
It may be worth calling your insurer while you are on the scene. If they have a mobile app, your insurer can also help you report your claim. This will allow them to inform you of what they will need in order for your claim to be processed and what you can expect during the claims process. Your insurer may arrange to have your vehicle towed to a certified shop if it has been damaged.
Even the most experienced driver can become overwhelmed by an accident. These steps can help to protect you from unnecessary stress. You can then focus on working with insurance companies to repair your vehicle as smoothly and quickly as possible.
What happens when I file my claim with my insurer?
The information you provide will be required by your insurance company when you file an auto insurance case. An adjuster will likely be assigned to inspect your car for damage and determine fault.
You may be reimbursed, depending on your coverage, for repairs and for the actual cash value of the vehicle, if it has been totaled.
Notify the DMV if necessary
Every state has specific requirements when reporting an accident to the DMV. Criteria could include the extent of damages, injury and cost to repair. You can find guidelines for reporting accidents at your local DMV.