Learn to Read Car Insurance Claims
When you purchase an auto insurance policy, the company covers the loss or damage sustained to the vehicle. To be protected, you must file a claim reporting the damage or loss to the insurance company. You will receive a copy of the claim for your records. Insurance claims can be difficult to read and understand. It’s important to learn how to read the claim to be sure you received all coverage due to you.
- Make sure that the owner and insured are all listed correctly. The claim report will list all parties at the top of the page. The insured will be the person the policy belongs to. The owner is the owner of the vehicle, which most times is the same as the insured. The owner and insured may be different if the owner of the car is a parent and the insured is a teen driver.
- Make sure that the insured’s name, address and social security number all match the policy’s information.
- Check to make sure that the policy is active. Ask the insurance company if they have been receiving continuous payments from the policy’s owner up until the time of the claim (this date should be within the policy’s period).
- Determine what type of damage was done to the vehicle and if anyone was injured. Each type of damage is listed on the claim report. An index of the damage codes is normally printed on the back of the report, or bottom. For instance, the company may use “R” to represent that there was damage sustained to the rear of the vehicle.
- Determine the extent of the damage or the injury. This is an early estimate of how much needs to be paid to the policy’s owner. An estimated figure will be printed on the report. That figure may be updated through the life of the claim. Each time the report is updated, you can request a copy be sent to you.