Uninsured Motorist vs. Collision Insurance
I recently experienced damage to my parked, unoccupied car caused by a tow truck driver who stalled on the street. The driver, unfamiliar with driving a stick shift, rolled backward and hit the car in front of mine, which then crashed into my vehicle. Unfortunately, the tow truck driver’s insurance was inactive at the time of the incident. My insurance company has suggested that I file a claim under my collision coverage (with a $500 deductible) so they can cover the repair costs and then attempt to recover those expenses, along with my deductible, from the driver.
However, I also have uninsured motorist coverage, which they didn’t mention initially. When I reached out to ask about it, they claimed their “system was down” and promised to get back to me once it was back up, which felt a bit strange.
My question is: would it be more advantageous to go through my uninsured motorist coverage instead of collision? By doing so, I could avoid paying the deductible out of pocket and spare myself the hassle of tracking down the driver for reimbursement. It’s worth noting that the tow truck driver was acting suspiciously at the scene, and the company has been uncooperative throughout this process. So, retrieving my deductible could be a significant challenge.
Thanks for your insights!
It sounds like you’re in a frustrating situation, and your instincts about using your uninsured motorist coverage instead of collision are worth considering. Here are a few points to think about:
Deductible Advantage: By using your uninsured motorist (UM) coverage, you typically wouldn’t have to pay a deductible, which could save you some money upfront. Collision coverage will require you to pay that $500 deductible before your insurance covers the rest.
Chasing the Tow Truck Driver: If the tow truck driver’s insurance isn’t active, dealing with them to recover your deductible could become very cumbersome and time-consuming. Using UM coverage might alleviate this hassle, as your insurance company would handle the claim more directly with them.
Claims Process: Keep in mind that the claims process for UM claims can sometimes take longer than for collision claims, depending on your insurer and the circumstances. However, given the shady behavior you’ve experienced from the tow truck driver and the company, pursuing UM coverage might ultimately be less of a headache.
Follow Up with Your Insurer: After your call regarding UM coverage, make sure to follow up with your insurance company. Document the situation, including the delay they experienced with their system, as it may be important information if there are future issues with your claim.
Seek Additional Guidance: It might also be wise to consult with your insurance agent for more clarity or to get a second opinion on how best to proceed. They can provide specific guidance based on the details of your policy and the laws in your state.
Overall, since it appears there’s a significant chance you’ll have trouble recovering the deductible if you go through collision, using your uninsured motorist coverage seems like a better option to limit your out-of-pocket expenses and avoid the hassle of pursuing the driver directly. Good luck, and I hope you get your car repaired soon!