Insurance Claims
Tanika Svrcek
If you hold an insurance policy and have experienced damages covered by it, you can initiate a claim by contacting your insurer. This can be done by phone, and increasingly online. Once the claim has been started, the insurer will collect relevant information from you and may ask for evidence (such as photos) or supporting documentation. The insurer may also send an adjuster to interview you and evaluate the merits of your claim."}},"@type": "Question","name": "Why Does Filing a Claim Increase Insurance Premiums?","acceptedAnswer": "@type": "Answer","text": "Sometimes, filing a claim can result in higher insurance premiums going forward. Although this is not always the case as some insurers will forgive the first accident, for example. Rate hikes following a claim are mainly due because the insurer will see you as a greater risk than before, and adjust the cost upwards accordingly. If you can prove that a claim was made where you were not at fault, you may be able to reverse such an increase. If you file too many claims over a very short period of time, the insurance company may not renew your policy regardless of fault.","@type": "Question","name": "Should I File an Insurance Claim if the Damage Is Less than My Deductible?","acceptedAnswer": "@type": "Answer","text": "If the damage you experience is less than your deductible, it may not make sense to file a claim with your insurance company. For instance, if you have $200 in estimated damage, but a $1,000 deductible, it wouldn't make sense. If, however, you feel that the other party is entirely at fault and want their insurance to pay for your damage, you may want to initiate a claim nonetheless. It is a good idea to always talk with your insurance agent before filing a claim."]}]}] Investing Stocks Bonds ETFs Options and Derivatives Commodities Trading FinTech and Automated Investing Brokers Fundamental Analysis Technical Analysis Markets View All Simulator Login / Portfolio Trade Research My Games Leaderboard Banking Savings Accounts Certificates of Deposit (CDs) Money Market Accounts Checking Accounts View All Personal Finance Budgeting and Saving Personal Loans Insurance Mortgages Credit and Debt Student Loans Taxes Credit Cards Financial Literacy Retirement View All News Markets Companies Earnings CD Rates Mortgage Rates Economy Government Crypto ETFs Personal Finance View All Reviews Best Online Brokers Best Savings Rates Best CD Rates Best Life Insurance Best Personal Loans Best Mortgage Rates Best Money Market Accounts Best Auto Loan Rates Best Credit Repair Companies Best Credit Cards View All Academy Investing for Beginners Trading for Beginners Become a Day Trader Technical Analysis All Investing Courses All Trading Courses View All TradeSearchSearchPlease fill out this field.SearchSearchPlease fill out this field.InvestingInvesting Stocks Bonds ETFs Options and Derivatives Commodities Trading FinTech and Automated Investing Brokers Fundamental Analysis Technical Analysis Markets View All SimulatorSimulator Login / Portfolio Trade Research My Games Leaderboard BankingBanking Savings Accounts Certificates of Deposit (CDs) Money Market Accounts Checking Accounts View All Personal FinancePersonal Finance Budgeting and Saving Personal Loans Insurance Mortgages Credit and Debt Student Loans Taxes Credit Cards Financial Literacy Retirement View All NewsNews Markets Companies Earnings CD Rates Mortgage Rates Economy Government Crypto ETFs Personal Finance View All ReviewsReviews Best Online Brokers Best Savings Rates Best CD Rates Best Life Insurance Best Personal Loans Best Mortgage Rates Best Money Market Accounts Best Auto Loan Rates Best Credit Repair Companies Best Credit Cards View All AcademyAcademy Investing for Beginners Trading for Beginners Become a Day Trader Technical Analysis All Investing Courses All Trading Courses View All EconomyEconomy Government and Policy Monetary Policy Fiscal Policy Economics View All Financial Terms Newsletter About Us Follow Us Table of ContentsExpandTable of ContentsWhat Is an Insurance Claim?How an Insurance Claim WorksTypesSpecial ConsiderationsInsurance Claim FAQsPersonal FinanceInsuranceInsurance ClaimBy
If you hold an insurance policy and have experienced damages covered by it, you can initiate a claim by contacting your insurer. This can be done by phone, and increasingly online. Once the claim has been started, the insurer will collect relevant information from you and may ask for evidence (such as photos) or supporting documentation. The insurer may also send an adjuster to interview you and evaluate the merits of your claim.
Sometimes, filing a claim can result in higher insurance premiums going forward. Although this is not always the case as some insurers will forgive the first accident, for example. Rate hikes following a claim are mainly due because the insurer will see you as a greater risk than before, and adjust the cost upwards accordingly. If you can prove that a claim was made where you were not at fault, you may be able to reverse such an increase. If you file too many claims over a very short period of time, the insurance company may not renew your policy regardless of fault.
If the damage you experience is less than your deductible, it may not make sense to file a claim with your insurance company. For instance, if you have $200 in estimated damage, but a $1,000 deductible, it wouldn't make sense. If, however, you feel that the other party is entirely at fault and want their insurance to pay for your damage, you may want to initiate a claim nonetheless. It is a good idea to always talk with your insurance agent before filing a claim.
You may have seen recent news coverage of customers of financial services companies falling victim to social engineering scams. Scammers impersonate a trusted company to convince their targets into revealing or handing over sensitive information such as insurance, banking or login credentials. This scamming can happen via text, email or websites set up to look like the trusted company.
3. File a claim with your insurance company if your incident requires you to do so. You'll provide the details of the claim and submit the information to your insurance company via their preferred method (e.g. mail, online or digital app). Note that for some medical insurance claims, the healthcare provider's office may file the claim directly for you.
It is a felony to misrepresent or fail to disclose facts or to make false statements in order to obtain or increase benefits. If you knowingly make a false statement or withhold information in order to collect unemployment insurance benefits to which you are not entitled, the Arizona Department of Economic Security may take civil or criminal action against you. Criminal action may result in a fine and/or imprisonment. In addition, you will be required to repay the amount you received illegally as well as penalty amounts which are added to each week that was fraudulently claimed. As part of our fraud prevention efforts, the Department regularly conducts several types of audits to detect improper benefit payments. View more information about Unemployment Insurance Fraud.
To receive payment from your insurance company for a covered event, you'll have to file a claim. This generally involves completing a form documenting the covered event and requesting payment, and then submitting the form to the insurance company. The insurance company will either approve and pay the claim or deny the claim.
If your claim is approved, you may have to pay a deductible, which is the amount you're responsible for paying before insurance kicks in. Auto, homeowners and some health insurance policies have a deductible, and how they work can differ depending on the type of insurance. If you file an auto insurance claim for $3,000 worth of damages and your deductible is $500, the insurance will pay out $2,500 ($3,000 minus the deductible).
The deductible for a homeowners policy may be a dollar amount (as with auto insurance) or a percentage of the insured value of your home. If your home is insured for $300,000 and you have a 1% deductible, your deductible would be $3,000. Homeowners coverage for natural disasters such as earthquakes, floods and hurricanes may have deductibles up to 20%.
In some cases, you have to pay the deductible to whoever is repairing your car or home. In others, your insurance company simply subtracts your deductible from the amount they pay out for your claim.
For example, if you have a $6,500 annual deductible, you'd have to pay for the first $6,500 worth of health care and medications each year. But if your plan covers preventive care before your deductible is met, you can go for an annual physical and pay only your copay, rather than the full cost of the visit.
Types of Insurance ClaimsThere are several types of situations in which you'd make an insurance claim, depending on your specific policy and what it covers.