Five Common Car Insurance Myths

Uncovering the Truth Behind Common Myths

When it comes to car insurance, there are several common myths that continually cause confusion for drivers across the UK year after year.

Misunderstanding the terms and limits of your insurance policy can lead to mistakes that will be costly in the event of a non-fault car accident.

We have created this article to clear up any misunderstandings surrounding five of the most common car insurance myths, so that you aren’t left at risk of being caught unawares after an accident.

Myth 1: “You Must Always Call Your Insurance Company After an Accident”

The Reality

While it is necessary that you let your insurance company know that there has been an accident as soon as you are able, it is a total myth that you need to call them first and make a claim through them if you aren’t at fault.

If you choose not to make a claim with your insurance company, it's important to make it clear that your call is just to inform them and not to initiate the claims process.

How an Accident Management Company Can Help

By calling an accident management company first, you can avoid the hassle that comes with calling your insurance after an accident.

At Auto Claims Assist, we can liaise directly with your insurer if you would like, to notify them of the accident and that you have already started a claim with us.

We handle everything after a non-fault accident, including vehicle recovery, repairs, and dealing with the at-fault party's insurance.

Our goal is to take the stress out of the claims process, getting you back on the road as quickly and smoothly as possible.

Calling your insurance company after an accident

Myth 2: “My Insurance Premiums Won't Increase If I'm Not at Fault”

The Reality

Even if you're not at fault, making a claim on your own insurance policy could affect your future premiums. Here's why:

  • Risk Assessment: Insurance companies evaluate your overall risk profile, and any accident – even a non-fault one on your policy can suggest a slightly increased chance of future incidents.
  • Pending Claims: Even a non-fault claim can temporarily affect your premiums until the case is fully resolved and the insurance company has recovered costs from the at-fault party.

How an Accident Management Company Can Help

By not pursuing a claim through your own insurance policy, we aim to reduce the impact of the accident on your future premiums.

Accident management companies can significantly ease the burden of a non-fault accident and help you navigate the claims process more smoothly.

My Insurance Premiums Won't Increase if I'm Not at Fault

Myth 3: “My No Claims Bonus (NCB) Won't Be Affected if I Make a Non-Fault Claim”

The Reality

It's a common misconception that your No Claims Bonus (NCB) remains unaffected by a non-fault claim. However, the situation is more complex:

  • Potential Impact: Even if an accident wasn't your fault, the process of making a claim through your own insurer can still put your NCB at risk. Insurers might see any claim as an increased risk, which could lead to a reduction in your NCB until they recover the costs from the at-fault party's insurer.
  • Insurance Policy Variations: The effect on your NCB also depends on your insurer's policies. Some insurers may protect your NCB in the event of a non-fault claim, but this is not universal.

How an Accident Management Company Can Help

An accident management company ensures your No Claims Bonus (NCB) remains intact after a non-fault accident by:

  • Direct Claims: Claiming directly from the at-fault party's insurance, ensuring that your own insurance policy remains untouched.
  • Comprehensive Support: Providing full support and managing the entire claims process on your behalf, from start to finish, without involving your insurance.
My No Claims Bonus (NCB) Won't Be Affected

Myth 4: “I Can Automatically Drive Other Cars with My Insurance Policy”

The Reality

It is a common misconception that you can drive other cars when you have insurance on another car if you have the permission of the owner - but this isn’t the case.

While some policies used to offer Driving Other Cars (DOC) insurance as a benefit as standard in years past, this isn’t necessarily the case now. Not all policies offer this benefit, and even when they do, it often provides only minimum third-party coverage.

You need to check your policy documents before assuming that you are entitled to drive a car that you aren’t insured on.

How an Accident Management Company Can Help

If you've been involved in a non-fault accident while driving a car under a DOC extension, an accident management company can provide guidance, especially if you're concerned about being covered only for third-party liability.

We can assist in navigating the claims process, ensuring that your non-fault claim is handled effectively, minimising the risk of unintended liability and potential financial losses despite the limited coverage.

DOC Extension Claims

Myth 5: “I Won't Have to Pay the Insurance Excess if the Accident Wasn't My Fault”

The Reality

Initiating a claim through your insurance company necessitates the payment of your policy excess fee, regardless of fault in the accident. This upfront payment is a standard part of starting the claims process.

If the at-fault party's insurer accepts liability and the costs are successfully recovered, you may be reimbursed for your excess fees. However, this process can be lengthy and there's no absolute guarantee that you'll recoup the full amount of your excess.

How an Accident Management Company Can Help

By making a non-fault claim with an accident management company instead of your insurer, you remove the stress of having to pay your excess fees.

Unlike your insurer, we don’t ask you to pay any excess fees to initiate your claim with us. We recover all of our costs from the at-fault insurer, and this eliminates the need for you pay us any excess. We manage everything, at no cost to you.

Paying Excess If The Accident Wasn't My Fault

Understanding the limits of your policy

Understanding common car insurance myths and being aware of what your insurance policy covers can help you avoid problems after a non-fault accident. To ensure a smoother process, an accident management company can be a better option than navigating the complex insurance claims process on your own.

Make a claim with Auto Claims Assist today

If you’ve been involved in an accident that wasn’t your fault, contact Auto Claims Assist today. We will handle everything on your behalf to make the claims process as easy as possible, at no cost to you.

Call our new claims team on 0330 128 1407 | Start your claim now >