Ask the Advisor: Auto Accidents
Question from Clara O. from West Clay:
I saw two cars collide in a roundabout on my way home yesterday. I’ve never been in an accident and was wondering what I’m supposed to do if my luck runs out?
Response from Robbi Gwaltney:
I hope your lucky streak continues! An auto accident, no matter how minor, is a scary thing to experience. Your independent insurance agent should be able to provide you with a card to keep in your glove box of everything you need to do if an accident occurs.
Here is what we recommend:
1. Take a deep breath and assess the situation. Get your vehicle and passengers out of further harm if the vehicle is still operable.
2. Make sure that no one in your vehicle requires immediate medical attention. Check the occupants of any other vehicle involved next.
3. Call the police. It doesn’t matter how minor the accident is. Having a police report filed will make your claim process much smoother.
4. Exchange insurance information and record the details. Make sure the other driver’s insurance is not out of date. Get their phone number, address, license plate number and the make and model of their car to make filing your claim easier.
5. Pull out your camera phone and snap some pictures of your car from every angle and of any damage it now has.
6. Obtain a copy of the police report and call your independent agent to file a claim.
Driving without insurance coverage in Indiana is illegal and a great way to end up with a suspended license or serious financial problems if you are involved in an accident. The starting point for insurance in Indiana is the required state minimum coverages. The minimums are $25,000 per injured person, $50,000 per accident and $10,000 for property damage. The current cost of medical expenses and auto repair make it pretty easy to see that those amounts are not going to get you very far when it comes time to settle a claim. They also provide you zero protection from motorists that drive around without insurance or with the inadequate state minimum insurance.
You put yourself at risk if you have state mandated minimum coverage
I recommend limits of $250,000 per injured person, $500,000 per accident and $100,000 for property damage with an endorsement to protect you from uninsured and underinsured motorists. These raised limits will also allow you to add a personal umbrella policy to further protect you in extreme cases. You can also get a nice discount by packaging these policies together with your homeowner’s policy. Adding comprehensive and collision coverages and adjusting the cost of your deductibles is something you should talk with your independent agent about.