When an Insurance Claim Is Made Against You -If someone meets in a car accident, then they will be injured, and their property will be damaged.
They need to go through a lot of financial losses and have to face other challenges. Sometimes the person may not be able to afford the hospital and damage repair bills.
To protect themselves and their family from these kinds of financial losses, people generally get insurance.
So, the Insurance company will pay for their hospital and damage repair bills. A person who wants to get an insurance policy pays a premium to the insurance company.
Can a third party make an Insurance claim against you?
The answer is Yes. There are some cases where the third party will claim on behalf of the insured person.
However, in most cases, only the insured person or persons who are entitled to the policy can only claim the amount.
Even sometimes, the insurance companies reject the claim of the policyholder. In this article, let us discuss in detail the situations when an insurance claim can be made against you.
What does it mean when a claim is made against you?
First, you need to understand what happens when someone filed a false insurance claim against me.
In most cases after going through legal procedures and considering the third-party claim statement the insurance company will pay the compensation.
This compensation includes medical bills, property damage bills, and even pay for the death also.
Read also:-(2023) What is insurance? Types | how to buy
But there are some selective conditions where a claim can be made against you, or a third party can claim against you.
- How can you know when someone filed a claim against you?
- How can a third-party claim affect your insurance?
How can you know when someone filed a claim against you?
When the accident happened at that time both you and the third- party will be injured and there will be property damage on either side.
In this scenario, if you are responsible directly for the losses like bodily injuries and the property damages.
Then the third- partycan make an Insurance claim against you.
When an Insurance Claim Is Made Against You
This can be possible only when the third- party has your insurance details. If they don’t have any details, then it will be difficult for them to insurance claim check against you.
The third-party doesn’t need to contact your insurer directly, instead they can send a text or mail, or they can even contact your insurer through a call.
The third-party needs to submit appropriate proof and documents like your license plate number to make a claim.
If this happened, you would get a message from your insurer.
How can a third-party claim affect your insurance?
When a third-party claims insurance against you then your insurance rates will go up depending on how much fault you are at.
- The average insurance rate that goes up in the US after an accident at-fault accident is about $630.
- Even though you arenot at fault, sometimes your insurance rate goes up with a 50/50 claim.
Frequently asked questions
1) What can I do if someone makes a false insurance claim against you?
If the third party made a false claim against you then first you need to inform the police and can also file a False claim Act on them and you can proceed legally. Thus, false insurance claim punishment is available.
2) What happens when a claim is filed?
After reporting a claim your insurance company will issue a statement in which you can get the details about the money that they agreed to give you.
3)Can someone claim my car insurance without me knowing?
It is a bit difficult to do so. But it’s not impossible. If they have your insurance details, then they can make an Insurance claim against you without knowing you.
4) How does a no-fault accident affect my insurance?
In some cases, your premium price will go up after declaring a no-fault claim to your insurance company. This is because of the circumstances in which at fault accident insurance claim can be made.
Final Verdict (Insurance Claim Is Made Against You)
Hoping that this article will help you in knowing about what will happen if an insurance claim is made against you.
There are a few things to be understood and remembered in this scenario. The first and foremost thing is a third party can claim insurance against you may be with or without letting you know.
But this can happen only when they know the details about your insurance policy.
If they don’t know your details, then it will be a bit difficult for them to claim. If the third-party claims against you even if it is not your fault, then you can complain to the police and can also file a false claim case against them.
Your insurance premium price will go up if someone claims against you whether you were at fault or not. In most cases, the company will compensate for the losses like medical bills and property damage.