If you’ve had a car accident in Philadelphia or elsewhere in Pennsylvania and you’re considering turning to your motor vehicle insurance policy to cover the related expenses, it’s worth asking the question, “Will making a personal injury claim affect my insurance?”
Unfortunately, it might. However, this will depend on a range of factors, including your current insurance plan and the details of your accident.
The Pennsylvania Motor Vehicle Financial Responsibility Law (MVFRL) provides that insurers cannot generally increase premiums following accidents unless the policyholder in question was at fault for the crash. So (with limited exceptions), establishing that you weren’t to blame should protect you from any rate hikes.
However, even if you were to blame, you still have options. If your insurer has hiked up your premium to an extent you view as unfair, you should shop around. In fact, it’s a good idea to do this every so often even when you haven’t had an accident or a claim.
Because fault is such a major factor in these cases, it’s important to do everything you can to prove you weren’t responsible for an accident. Take photos and videos of the crash scene directly after the accident (focusing on skid marks and damage to road signs, boundaries, or other objects) and also make a record of any personal injuries you suffer. Additionally, seek medical attention as soon as you can after an accident, as the doctor’s report may serve as crucial evidence later on.
You should contact your insurance company as soon as you can following a car accident. An agent will be able to answer questions about your plan, your benefit entitlements related to your accident, and likely changes in your premium going forward.
Some insurance companies, such as Allstate, offer “Accident Forgiveness” plans, under which your premium may not change after your first accident (although it will change if you have a second accident and are found to be at fault). However, these are often just one-time deals, rather than a standard element of every policyholder’s plan.
It’s generally useful to allow a lawyer to conduct most insurance company interactions on your behalf following an accident, as you may unknowingly compromise your claim if you handle them yourself. If you’d like to learn more, contact us for a free initial consultation about your case.
Most states use either a “fault” or “no-fault” approach to motor insurance claims. No-fault states allow drivers who have had accidents to file claims with their own insurance providers regardless of whether they were at fault. On the other hand, if you have a crash in a fault state, you can only recover damages from the insurance company of the driver who caused the accident.
Pennsylvania’s claim framework is a somewhat unique mashup of these two. Known as the “choice no-fault" system, it allows policyholders to choose between fault and no-fault terms when purchasing insurance. According to MarketWatch, the Keystone State is one of just three states that allow this.
With no-fault coverage, you cannot sue for pain and suffering damages following an accident unless you sustain injuries that are particularly serious. Your own car insurance policy will pay for your medical bills up to a limit, regardless of who was at fault in your accident.
Even with this option, though, you can still sue for pain and suffering if you suffer a serious injury, such as one that leads to a significant impairment of a bodily function, permanent disfigurement, or death. Also, you can still file a claim against the at-fault driver's insurance for damages to your vehicle or other property.
If you opt for traditional coverage, you retain the right to sue the other driver for pain and suffering for any type of injury when you have an accident, regardless of its severity. This has obvious advantages, so it typically costs more.
This depends largely on the circumstances of your accident and your degree of fault. If the crash came about because of extreme negligence on your part, your premium increase could be very significant.
It is important to note, though, that your premium will be affected by the same amount whether your insurance company pays the other person for vehicle damage only or for property damage as well as personal injury.
Your premium will also be affected to the same degree whether the other party’s personal injury claim is settled out of court or at trial.
“Will making a personal injury claim affect my insurance?” The answer to that question is that it largely depends on how your accident happened. With this in mind, it’s important to hire an attorney who can present your case in the best possible light.
If you have been involved in an auto accident and are in need of a personal injury lawyer, contact one of our experienced auto accident attorneys today at (800) 969-4400.
