October 4, 2017

Insurance Rates

Will my rates go up if I report my accident?

If you were NOT at fault, then no.

As a matter of fact, if you are in a crash caused by another driver, you are required to report it to your own company.

Here’s why. Let’s say the at fault driver causes you to have $60,000 in medical bills. If the negligent driver has state minimum insurance of $25,000 per person, he is underinsured.

If you have good underinsured coverage, say $100,000 per person, your policy essentially insures the at fault driver.

But you must alert them to an accident in a timely fashion. This is true whether you were a driver, passenger or even a pedestrian.

Further, you likely carry medical payments coverage as part of your auto policy. Often $5,000 is available. And again, as this is a Not at fault accident, rates are not to rise if used.

But, even if the law was different, and rates were even guaranteed to rise–or even double–it would never be close to the additional $75,000 tax free available in the above example.

But the law in Tennessee protects you from rate increases because you use uninsured / underinsured motorists coverage.

In short: report your injuries to your own insurance.

Mr. Peel seeks justice for those injured in motorcycle, truck and car accidents, disability and medical malpractice. He often addresses churches, clubs and groups without charge. Mr. Peel may be reached through PeelLawFirm.com wherein other articles may be accessed.

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