Insurance Claims and Third-Party Liability: Basic Information

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Road accidents happen every day. The number of accidents that occur on a daily basis means an overwhelming number of insurance claims sit untouched for months, as claims are logged faster than they get resolved.

The multi-step process of filing and claiming insurance is a lot of work and in many cases, third-party claimants go through a long wait time until they receive a settlement. The insured party will likewise have to go through a series of steps to file their own insurance claim and contact an experienced DUI lawyer who can help them with the process.

If you find yourself in a similar situation — waiting for settlement as a third-party claimant due to a vehicular accident or you are the insured party — here’s a quick read for you:

What is a Third-Party Claim?

To put it simply, a third-party claim is initiated by the person who was affected by the person at fault. That said, the person affected is making a claim against another person’s insurance, which is different from their own personal insurance and the coverage of said insurance.

For example, in a case of drunk driving that results in an accident, causing damage to property — the person whose property was damaged can make a claim against the drunk driver’s insurance, to cover for vehicle damage.

The person at fault can hire a DUI lawyer to help them go through the process of settling and the handling of the case. The victim, may likewise, do the same.

Insurance claims can be tricky, but DUI cases are even trickier and take a huge amount of time to resolve. It’s best for both parties to use the services of a DUI lawyer to ensure that everything is handled correctly. The same is advised for all other cases involving traffic and road incidents.

How Long Does it Take to Process an Insurance Claim?

Typically, it takes 45 days for the insurance company to approve a claim. However, depending on the severity of the damage, the process may take longer than normal.

The more complex a case is, the longer it takes to resolve the matter. The claimant may also file for loss of income due to the accident, as well as transportation expenses while they are unable to use their vehicle as it is being repaired.

These claims are filed on top of the vehicle damage claims. It can be costly. In the event that the claim is higher than the liability insurance coverage limit, the claimant will still have to shell out an amount that is beyond the coverage.

However, having liability insurance is a way to protect one’s self from the enormous expenses that entail a third-party insurance claim. This is what makes liability coverage an essential component of your insurance.

What to Do at the Scene

The first two steps to take, at the scene of the accident is to call the police and then file the accident report. Make sure you have as much information in your hands, so it’s best to get a copy of the police report you filed; your insurance company and the third party’s company may require this document to process the claims.

Aside from that, make sure you can contact the officer to whom you reported the case and the other driver. Get the contact information and badge number of the police officer and the contact details, vehicle registration information, driver’s license information, and insurance information.

Letting your family or a friend know about the situation as soon as you can, is just as important as doing the steps mentioned above. This is to ensure your safety and for them to know your whereabouts in case you need help from them at any point in the situation.

What to Expect After the Claim has Been Resolved

Once the fault has been determined and the damage has been assessed, the insurance company of the first party (driver at fault) can send a check to the third party (claimant) or directly to the auto repair shop. The repair shop can either be part of the insurance network or be selected by a third party. In any case, the insurance company will cover the cost of repairs for the third-party vehicle.

That said, having liability insurance coverage protects the first party from paying in full the expenses involved in a claim and making sure that the third party is covered, as well.

Aside from the financial aspect, the insurance coverage will afford you to direct your funds towards hiring a capable DUI lawyer to ensure that the case is handled properly and the proper resolution is made in the end.

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