How Fault Affects Your Insurance Claim After an Accident | GVE London – Blog

As a responsible car owner and driver, it is your duty to understand the intricacies of insurance policies. This way, you know the risks and the perks; educating oneself is the way to becoming a responsible car owner after all. So, today, we’ll talk about how a fault claim impacts your insurance. The determination of fault can significantly affect the claims process, your financial responsibilities, and future insurance premiums. Let’s get into it.

Defining Fault and Non-Fault Claims

If we talk about just the definition, it isn’t particularly difficult to distinguish one from the other. See, in the context of car insurance, a fault claim occurs when YOU are deemed responsible for an accident. In these cases, an accident occurred because of you, and so your insurer cannot recover costs from the other party. Unfortunately, this also includes accidents caused by adverse weather conditions or collisions with animals. Riots aren’t covered here, nor are acts of God.

On the other hand, if the other driver caused the crash, you’re eligible to file for a non-fault car accident claim wherein the insurer recovers costs from the insurance company of the party at fault.

Impact on No Claims Discount (NCD)

No Claims Discount or bonus is basically a reward given to you by your insurance company for, as the name suggests, not filing for any claims. It shows the company you’re a responsible driver, a low-risk individual, and they provide you with certain benefits in return, like a bonus or perhaps a reduced premium; that varies from one company and policy to another.

Now, here’s the thing with non-fault claims. If your insurance company is able to recover all the costs from the party that is at fault, for the most part, your NCD should remain unaffected. However, in case they’re unable to recover the costs, and even if you’re not the one at fault, your claim might be internally treated as a fault claim, which potentially can impact your NCD. The keyword here is potentially because these aren’t facts that apply across the board, merely generally observed practices. It is best to check with your insurance company to get confirmation on the same and not make assumptions.

Read Also: Independent Repair Specialists vs. Insurance-Approved Shops

Effect on Insurance Premiums

Premiums are impacted by both fault and non-fault claims for the most part. It isn’t difficult to see why a fault claim would lead to higher premiums, but even non-fault claims can often result in higher premiums. That certainly grinds the gears, but the logic is that insurers consider drivers who have made any claims, regardless of fault, as a higher risk and thus charge a higher premium. Again, it isn’t always the case, so do check with your insurer beforehand.

Choosing a Repair Centre

After an accident, especially involving luxury vehicles, selecting the right repair centre is crucial. While insurers may recommend certain garages, you have the right to choose a repair facility that meets your standards. Opting for a specialist luxury car repair centre ensures that your vehicle receives the care and expertise it requires.

Conclusion

It certainly is quite a situation when one has to file for an insurance claim. Being in an accident is stressful enough to begin with, but now piled onto it is dealing with an insurance company, which, let’s just say, isn’t how most people imagine spending their time. So, allow us, GVE London, to handle it for you. From dealing with your insurance company to getting your car back to its original state, we will take care of it all for you. Our luxury car repair centre is the finest in all of the UK, and being a supercar bodyshop, we can take care of any and every car under the sun.  From handling the claim to restoring the vehicle back to its original condition to repairs, modifications and detailing , our team can take care of it all. Give us a call or head over to find out more!