Almost every person in our daily lives experiences an accident at some point. But some people settle their accident losses with the other person, which is not a good thing. The involved drivers often agree to settlements after a car accident without involving their respective insurance companies and without the official police report after a minor crash without injuries and minimal damage. The arrangement, unfortunately, does not always work out. But Accident Insurance saves you in many ways.
It is only through filing an insurance claim that you can guarantee that you will be paid back for the damages, according to experts in insurance coverage.
The Following Incident Illustrates Some Examples!
When I was driving down the quiet street where my office is located, I suddenly felt a force of impact as another vehicle collided with me from behind. As I exited my car to inspect the damage, I discovered that the other driver – the one who caused the accident – was a good friend and colleague. He apologized to me while feeling distressed.
Apparently, he said, don’t worry about the damage, I’ll handle it personally. Let’s stay out of the police and insurance companies. Using this method, the risk of insurance premium increases is eliminated, as it usually is after a claim. The idea of a problem with this arrangement didn’t occur to me at the time. I wasn’t worried about it, because we were friends, neighbors who met regularly, so I responded by agreeing with the settlement, saying that if it works, the best solution is for us both to reach a settlement. However, this story does not end happily as it seems. When I fixed my fender and sent the receipt to my friend, I did not even imagine he would make things difficult for me. I thought he would pay, so there would be no problem. But I was wrong and feel my huge mistake of settlement.
Despite numerous excuses and promises that the payment is on its way from my friend, I have yet to receive recompense 3 months after the accident. Minor collisions find themselves repeating the above scenario over and over again. Drivers, be on the lookout!
Take Caution, Reporting Accident Insurance Companies is Important!
In all honesty, don’t believe anyone, even if the other driver is your friend, neighbor, or trusted acquaintance. There is never a 100% guarantee. You won’t get paid for the damage, no matter how close you are to the other driver. Personal Accident Insurance helps you to save from this kind of incident. Often, when a driver fails to fulfill his or her financial commitment or agreement with you, the time has passed, and it is too late to offer adequate evidence regarding damages and who was at fault in an accident.
It is also possible that the blameworthy driver that is also your companion will violate your trust and report the accident to his or her insurance carrier as you caused it. They might go further by twisting facts and lying about injury claims that were not never existed prior to the accident. This may result in a large payment being mailed to your insurance company. Furthermore, another unpleasant surprise is that you will be forced to pay a premium increase. Your insurance company may file a lawsuit against you, after reaching the limits of your policy’s coverage, in addition to requiring you to pay the remaining balance.
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