CHAPTER 11
WHEN NOT TO FILE A CLAIM — AND WHEN YOU MUST Now that you know all about the claims process, let’s talk about when not to file a claim. First, why wouldn’t you? Because filing claims — even small ones, and especially when you’re at fault — can often increase your premiums, and I want to make sure as much money stays in your pocket as possible. So, if it’s a small at-fault accident, such as denting your bumper on the lamppost in a parking lot, I suggest paying out of pocket for that repair if possible. It might still be a chunk of change now, but it’ll be a one-and- done deal rather than having a higher premium for years to come.
One way to decide whether to file a claim is to find out how the claimwill affect your rates. This is something I can help with. If, in the end, you’ll pay more in premiums than for the repair, it’s not going to be worth it. Now, some companies do offer accident forgiveness for your first
accident. This can certainly be a helpful thing! But again, do the math. If it’s a smaller claim, better to pay for it yourself and save that accident forgiveness in case there’s a bigger accident.
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