Our Portland injury lawyers know that drivers depend upon car insurance in the event of an accident. Unfortunately, car insurance companies don’t always make it easy to make a claim for compensation after a crash.
Car insurers may also not necessarily explain to their insureds what types of coverage they are buying or how their insurance policies work.
As a result of inaccurate or inadequate information, there is a lot of misinformation out there about auto insurance. Recently, the Digital Journal wrote an article discussing some of the most common myths and misconceptions that drivers have about their insurance policies. Learning the truth about these myths and misconceptions could help you to avoid a costly mistake.
Auto Insurance Myths and Misconceptions
Some of the myths people tend to believe about car insurance include the following:
- Accidents that occur when swerving to avoid a deer aren’t your fault. Unfortunately, even if you believe you are doing the right thing by swerving out of the way, the accident could count against you as an at-fault crash. If you hurt someone when you swerve to avoid the deer, the injured victim could make a claim against your insurance company.
- Your car insurance is going to give you enough to pay off your car loan. The truth is, this is not necessarily accurate. Your car insurance gives you what your car is worth if the vehicle is completely destroyed and declared a total loss. If you happen to owe more than the vehicle is worth, you’ll need to come up with the money. Some people buy gap insurance to cover the difference between what the car insurer pays out and the remaining balance on the loan to avoid getting stuck paying for a car that they no longer have.
- Your car insurance rates won’t rise if you don’t report an accident. This is not necessarily true either. A failure to report a crash could end up costing you a fortune if it turns out you need to make an insurance claim and the insurer denies the claim because you didn’t report the accident right away. Not only that, you also might get no benefit from taking this big risk because a ticket due to the crash or a claim made by another driver could raise your insurance rates anyway.
These are just a few of the myths many people believe. It is easy to misunderstand auto insurance policies, both when you are buying insurance and when you get into a crash and need to make an accident claim. Be sure to research your policy and get the coverage you need when you make your purchase. And consider getting help from an attorney if an accident happens so you can ensure your rights are protected when making an accident claim.
If you have been injured contact Peter Thompson & Associates for a free and confidential consultation to discuss your rights. Call 1-800-804-2004.
More Blog Entries:
Remember to Watch for Bicyclists Throughout The Summer, Maine Injury Lawyer Blog, July 15, 2013.