Everything you need to know about car insurance in an accident

Sheen Panel Service on 4 April 2019

Accidents on the road are a fact of life. If you've never been in a collision, you probably aren't familiar with the process behind how car insurance works in an accident.

In short, after an accident occurs and the incident is recorded, the at-fault party needs to lodge a claim with their insurer. This enables both cars to get fixed right away. Most of the time, the excess is paid after repairs are complete, when the car is picked up.

Car insurance claims are complex and stressful. If you've been in an incident and don't know what to do next, call Sheen Panel Service. Not only can we fix your car, but we can help you navigate the insurance process, working with your insurer to get the best possible result for you.

Should I make a claim?

lady filling in paperwork for a car insurance in an accident

Now that the worst is over, you can focus on making your insurance claim with the benefit of a clear mind.

  • Review your product disclosure statement and see if the damage is covered
  • Do not make a claim if the repair bill will be less than your excess
  • If you are at fault, you might have to pay the excess with no refund
  • You will also forfeit your no claim bonus if you make a claim

Once you've decided to make a claim, you need to contact your insurance company to begin the claims process. This can be a fast or slow process, depending on how prepared you are. Ensure you have all the necessary documentation on hand, including the police report, and images of the damage.

If you are unsure whether or not you should make a claim, speak to Sheen Panel Service. As well having over 50 years in smash repairs, our team will take care of your claim, from lodging with your insurer, to final repairs of your vehicle.

How do insurance claims work after an accident?

The process

Insurance companies are expected to pay out for incidents that fall under their coverage. Every insurance company has its own process on how claims are handled, but most adhere to the General Insurance Code of Practice.

The Code states the following:

  • Insurance claims must receive a 'accepted' or 'denied' response within 10 business days
  • In this period, insurance companies must let you know if they require additional information
  • If an insurance claim is denied, the insurer will advise written reasons why it was denied
  • At your request, your insurer will supply you with all reports related to your claim

Your excess

An excess is an amount that must be paid after repairs are complete. These are paid to the mechanic or panel service that repaired the car.

At fault damages

If the accident was not your fault, your insurer will attempt to recover costs from the other party's insurer. This will cover any costs incurred by the accident, including repairs, towing and rental car hire.

This process of investigation will see your insurer contact other drivers, their insurance companies, and eye witnesses. It's also the main benefit of comprehensive car insurance following an accident - ensuring that parties are protected from costly bills if they are not at fault.

Sheen Panel Service will work with you and your insurer throughout this part of the process. While we perform the highest standard of repair on your vehicle, we will keep an open line of communication. This will help your claim progress smoothly, and promote transparency between all parties.

Contact Sheen Panel Service

how does car insurance work in an accident

Car accidents often cause more confusion than damage. Thankfully, moving forward after an accident is simple. Record the incident, talk to your insurer, get your car repaired and, if you were not at fault, wait for your insurer to get a refund on your behalf.

If you are unsure of where you stand following an accident, the best thing to do is call Sheen Panel Service. We can advise you on the next step to take, and work with your insurer to help you get back on the road again.