Insurance vs. Paying Out of Pocket for a Comprehensive Claim
I recently parked my car only to find it badly damaged when I returned—there’s a golf ball-sized paint transfer along with a dent, and several areas where the paint is scuffed down to the metal. Clearly, I need to get this fixed.
I reached out to my insurance company, and since I have comprehensive coverage with a $100 deductible, you’d think it would be straightforward. However, the representative advised me to consider paying out of pocket because there’s a significant chance my rates could increase. This has left me confused, as I’ve come across mixed information online.
Has anyone dealt with a similar situation?
I’m located in California and have already filed a police report. I’m with AAA insurance and don’t have any other claims on my record.
Update: I’m still trying to sort this out and can’t seem to get a definitive answer from anyone I’ve talked to.
- Call center: They say it’s comprehensive and likely to increase my rates.
- Online chat: They classify it as collision, suggesting my rates won’t be impacted and I may not have to pay a deductible due to the police report.
- Auto body shop: They believe it falls under comprehensive and since I wasn’t at fault, my rates shouldn’t go up.
- My insurance agent: Claims department is the only one who can determine if it’s comprehensive or collision, but they assured me my rates shouldn’t increase.
I plan to visit my local office tomorrow and won’t leave until I get a clear answer!
It sounds like you’re in a frustrating situation, and it’s understandable to want clarity. Generally, whether your rates go up after a claim can depend on several factors, including your insurance provider’s policies, the nature of the claim (comprehensive vs. collision), and your overall claims history.
Here are some things to consider based on the information you’ve gathered:
Collision Coverage applies when your vehicle is damaged due to a collision with another object (or vehicle), which could potentially apply here since another object (the golf ball) caused the damage.
Deductibles and Rate Increases:
As mentioned, some insurers might view claims differently, especially if you can prove the accident wasn’t your fault. Generally, claims related to vandalism or acts of nature and other non-collision incidents may have less impact on future rates.
The Importance of Advocacy:
Since you’re receiving conflicting information, visiting your local office in person is a good step. Explain your situation clearly, including the police report and the evidence that the damage was not your fault. Request to speak to someone who specializes in claims.
Get Multiple Estimates:
While you’re investigating your insurance options, consider getting estimates from a few local auto body shops for the repair costs. This will give you a better idea of whether it’s more economical to file a claim or pay out of pocket.
Document Everything:
Ultimately, the best course of action depends on the estimated repair cost and the likelihood of your rates increasing. Good luck, and I hope you find some clear answers soon!