There is nothing about a car accident that is not stressful. These unfortunate events are not only unexpected, but leave both your mind and your body in a state of shock and pain. Maybe both you and the other driver involved have car insurance. But then he or she throws you for a loop when that they would like to settle without involving either insurance company. Though not always the scenario, it is important to know that with it comes pros and cons. It can be very logical to forgo dealing with insurance companies, but it can also prove to be quite risky. Here is what to know should you ever find yourself in this confusing situation.
An Increase in Insurance Premiums
Considering that insurance premiums increase on average by more than 40 percent in the three years following the first accident claimed during the year, settling without insurance sometimes makes sense. Based on an annual rate of $815 (the national average), if you were at fault, your costs would likely increase to about $1150 annually. And if you were unfortunate to have made two prior claims in the same year, your insurance would likely increase to about $1573 annually.
Those who wish to settle without facing an increase to their insurance premiums may do so as they cannot bear the financial burden that it would bring in the long run. However, the risk of avoiding auto insurance companies is that it becomes difficult to hold the guilty party accountable to you for the full amount.
Protect Yourself After the Accident
No matter what you choose to do – with or without your insurance companies – what you should do immediately after the accident remains the same: Obtain the other party’s contact information. This includes their name, phone number, address, and driver’s license number. You should also be sure to take an adequate number of clear photos showing the damage from the accident and should even still obtain the other’s insurance information. It is also wise to call the police and file a report with them should you need it later on down the road. That way, if you find that you are not being compensated, you can always change your mind and still decide to file with the insurance company.
Alavi Law Group, PLLC Can Help
If you or a loved one has been involved in a car accident and are not sure how best to handle the legal issues involved, it may be in your best interest to consult with an experienced and knowledgeable personal injury attorney who understands the legal complexities of such cases. At Alavi Law Group, PLLC, we work hard to help our clients get what they deserve. To learn more or to schedule a free consultation, visit us online or call us at 703-397-8699 today!
Posted in: Motorcycle Accidents