When not to file an auto insurance claim?
Asked by: Rita Reilly | Last update: January 17, 2026Score: 4.2/5 (12 votes)
When should you not file a car insurance claim?
Any accident involving the health and safety of anyone and/or animal should be coupled with filing a claim. If the damage or loss resulting from an incident is less than or relatively near your deductible value, more often than not, it's in your best interest to not file a claim.
What is the downside of filing an insurance claim?
It could increase your premiums
When determining your premiums, insurance companies consider your likelihood of filing a future claim — which could cost them money. The higher your perceived risk, the more likely you are to pay more in premiums. Your claims history tends to play a direct role.
Why would someone not file an insurance claim?
If the claim amount equals or is less than the deductible, there's not much sense in filing a claim. “Most car insurance policies have a deductible in place which you have to pay before their coverage kicks in,” says Ross. “If your damages are minor, you're much better off just paying out of pocket.”
Should I pay for a car accident out of pocket or let insurance pay?
Insurance companies track how many claims you file. If you have a history of claims, your premiums typically go up even more. By paying cash, you avoid adding another claim to your record. But if you seldom file claims and you believe this repair cost justifies using insurance, then it might be worth it.
When Not To File An Auto Insurance Claim? - InsuranceGuide360.com
When not to go through car insurance?
You accidentally cause minimal damage to your own car, like backing into a pole or mailbox. No, don't bother contacting your insurer if you don't have collision coverage or if the damage is less than your collision deductible.
Does your insurance go up if someone hits you?
If you are involved in an accident and file a claim, even if it was not your fault, your insurance company may see you as a higher risk to insure and increase your rates. Consider speaking with a licensed insurance agent to see how much insurance could increase after an accident where you're not at fault.
Will my insurance go up if I don't file a claim?
However, car accidents that cause injuries or property damage to other parties should be reported to the insurance company immediately, even if the other party wants to “keep insurance out of it.” Failure to report an accident — or to stay at the scene of an accident — can be a significant legal misstep and could cause ...
Should I file an insurance claim for bumper damage?
It may not make sense to file a claim if the bumper damage is minor and the repair cost is lower than your auto insurance deductible. If you have a low deductible, it may be worthwhile to file a claim, even for minor repairs.
What happens if you don t file insurance claim after accident?
If you fail to report a car accident and another party later makes a claim against your insurance for compensation, your insurance company could say that you never reported an accident and refuse to make good on your coverage. Then, you would have to pay out of pocket.
At what point is it worth claiming on insurance?
You should consider filing a car insurance claim whenever your out-of-pocket costs would extend past your deductible. Reminder: your deductible is the amount you'll pay out of pocket when you file certain claim types, like comprehensive or collision.
Will my insurance drop me if I file a claim?
Yes, your car insurance company can drop you if you file too many claims.
What should you not say when making an insurance claim?
Don't discuss the specifics of the accident with other drivers, witnesses or passengers. Don't make any oral or written statements as to responsibility or blame. Don't tell others involved in the accident how much liability insurance you carry.
Should I file a claim if I'm not at fault?
Always File a Claim, Regardless of Who Was At-Fault
One of the primary questions we receive from clients who have been in an accident is whether they should report the accident to their own auto insurance carrier, particularly when the accident was not their fault. And the answer to that question is: always.
Do I call the other person's insurance if they hit me?
You do likely have to talk to your own insurance company as they will need your account of what happened. There is, however, times when speaking to the other driver's insurance company will benefit you and will depend heavily on the specifics of your case.
Will my insurance go up if I hit a bumper?
Some insurers will raise your premiums anytime you're in an accident, regardless of fault. They view your simple involvement as an indicator of higher risk. However, not-at-fault accidents generally lead to much smaller rate hikes than at-fault collisions, or sometimes none at all.
Is tapping a bumper considered an accident?
Yes, even a minor bumper tap is considered an accident.
These are often referred to as fender benders.
Is it worth repairing minor bumper damage?
While minor bumper damage might not seem like a big deal, it could affect how your insurance company pays for future repairs. If you have bumper damage and don't get it fixed, any other claims could be denied, especially if they find out that the bumper could have prevented additional damage.
When not to claim car insurance?
If the repair cost is lower than your insurance policy's deductible, it's probably not worth filing a claim. For instance, say your deductible is $1,000, but the cost of damage is $800. In that case, filing a claim wouldn't make much sense as your out-of-pocket cost is higher than the amount your insurer will cover.
Should I file an insurance claim for minor damage?
For vehicle damage: Yes. If your vehicle received minor damage, it might be worth filing a collision claim with your insurance if the damage costs more than your deductible. If the other driver caused the accident, then you could file a claim with their insurance company instead.
Is it better to pay out of pocket or claim car insurance?
If the repair costs are less than your deductible (or even slightly more) you should pay for the repairs out of pocket. For example, if the damage to your car costs $300 to fix, and your deductible is $200, you would save $100 by filing a claim.
Will my insurance go up if I get hit by an uninsured driver?
However, under California's proposition 103, insurance companies are not allowed to raise rates or drop a person because they made an uninsured motorist claim.
Why does insurance go up when it's not your fault?
If your driving record is laden with traffic violations or accidents, you might see an increase in your insurance rates after a no-fault claim, as insurance providers perceive drivers with a history of accidents or violations as high-risk and impose higher rates to mitigate the associated risk.