The mere fact that a policy holder has paid an insurance company to cover any damages to his or her vehicle does not guarantee the policy holder’s possession of a full understanding of the process for submitting a claim for damage. Actually, there is no one single process that gets used by all the car owners with a damaged automobile.
Process used in states or provinces where the identity of the driver at fault gets considered:
The driver of the car that was damaged by the other driver’s actions must prove that he or she was not responsible for the collision. Once the other driver has been shown to be at-fault, that same driver’s insurance company must pay for all the vehicle damage. The size of that payment cannot exceed the policy limit.
Procedure followed in a no-fault state or province:
In most no-fault states, the driver’s insurance company pays for damages. In some states, though, coverage for vehicle damage does not fall under the umbrella of the no-fault status. In either case, the insurer that must pay the damages cannot pay more than the figure stated, as the policy limit.
What happens if the repair costs exceed the policy limit?
In that instance, the damaged vehicle gets treated as a total loss. That means that the insurance company plans to give the car owner the vehicle’s actual value, which is also known as the book value.
If the repair costs are below the policy limit, then who handles the arrangements for the necessary repairs?
Drivers that carry collision coverage can feel confident of having the money spent on repairs reimbursed by the insurance company. Hence, personal injury lawyer in Rosemead and Colton know that collision coverage pays for repairs, if the other driver does not have automobile insurance. Still, the insurance company will not cover the repair costs, unless the proper procedure has been followed. That means that the hit driver must report the accident to the police. Then the insurance company inspects the damaged vehicle. After it has completed its evaluation, then it provides the car owner with an estimate of damages.
Once the car owner has the estimate of damages, he or she can take that estimate to a mechanic shop. The mechanic at the driver’s chosen shop can agree to complete the work at the estimated price, or can refuse to repair the damaged vehicle. If the mechanic refuses to do the work at the estimated price, the driver may need to visit another mechanic shop. First though, the mechanic that was first approached gets the opportunity to contact the insurer, usually by phone, and to thus see if the insurance company feels ready to pay a bit more for the necessary repairs. Additionally, it helps to check with the lawyer to know if they can recommend a body shop.