Should I report a fender bender to insurance?

You should file an insurance claim when you can’t afford to pay cash for damages or medical bills that your insurance policy will cover. You should pay out of pocket instead of filing an insurance claim if the repairs or medical bills incurred in an accident that you cause will cost less than your deductible.... read full answer

For example, it might be worth it to pay for a minor fender bender yourself, especially if the accident was your fault or you’ve filed a claim recently. Your claims history is important because the more claims you make, the more of a risk you are in the eyes of insurance providers. You could see higher premiums, or even have your canceled outright, as a result.

When to Consider Paying Out of Pocket

• You have comprehensive or collision insurance and there is only minor damage to your vehicle.
• Repairs cost less than your insurance policy deductible.
• You have recent claims or tickets on your driving record.

When You Should File an Insurance Claim

• There is major property damage that will cost more than your deductible to repair.
• There are injuries.
• The accident involves other vehicles.
• You have accident forgiveness on your insurance policy.

Keep in mind that if you’re in a car accident, you should notify your insurance provider of the incident whether you plan on filing a claim or paying out of pocket yourself. All major insurers require customers to report all accidents, no matter the size.

Also, if you’re in an accident that’s not your fault, you should file a claim with the at-fault driver’s insurance provider so that it pays its portion of any medical bills or property damage you incurred in the accident. How much the at-fault driver’s insurance provider will pay out depends on the driver’s policy limits and their state.

Yes, a fender bender counts as an accident for insurance purposes. Most insurance policies require drivers to report any accident, including fender benders, and an at-fault fender bender will usually disqualify you from your insurer’s safe driver or good driver discount. The specific requirements for these discounts vary by company, but they usually require at least three years without an at-fault accident.... read full answer

It’s important to treat a fender bender like any other accident for a few reasons. With the technology in cars steadily advancing, even a seemingly-small fender bender can result in expensive repairs. Similarly, injuries sometimes take a while to appear, leading to unexpected claims. By the way, these are also reasons why you should take photos and document evidence, as well as exchange names and insurance information with the other driver(s) involved in a fender bender.

Plus, if you don’t report a fender bender to your insurance company, they will be caught off guard if you or another driver decide to file a claim down the road. Depending on the terms of your policy, the insurance company could even drop you for failing to report an accident. Keeping your insurer informed can help protect you if another driver makes a fraudulent claim in the future, too.

It’s also important to note that in most states, you are required to file a police report for any accident, including a fender bender, if the damage exceeds a certain dollar amount or if anyone is injured. Each state has a different threshold, though, and a few states only require police reports for serious accidents. However, since it’s hard for drivers to assess the cost of damage in the heat of the moment, reporting a fender bender is the safest choice.

Ultimately, the bottom line is that by taking a fender bender seriously, you can prevent missteps that could harm you and your finances in the future. For more information, check out the complete WalletHub guides to What to Do After a Car Accident and When & How to File a Claim.