Guide to Auto Insurance Claims in 2025

An insurance claim is a documented request filed to your insurer to reimburse you for any expense that your insurance policy might cover; it’s usually submitted as a form. You’ll send the form, which details the incident that caused the expense, to the insurer, which will review the details to determine whether the company will cover the incident.

If you’re wondering how long car insurance claims take, keep reading to see your state’s statute of limitations below.

How Do Car Insurance Claims Work?

Here’s how car insurance claims work:

1. You file a claim with your insurer.
2. Your insurance company determines if it will cover the claim based on your policy.
3. If the claim is covered, you’ll first pay the deductible amount included in your policy.  That’s how deductibles work; you have to pay them before your insurance kicks in. Learn more about auto insurance deductibles here.
4. Once you’ve hit your deductible, your insurance provider will reimburse you for any leftover costs.
5. If your claim isn’t covered, you’ll have to pay for your repairs or replacements out of pocket, which will not count toward your deductible.

Why Claims Matter

1. More claims means higher premiums. Auto insurance claims matter because events like accidents affect the cost of auto insurance. Of course, if you’re at fault in the accident, your auto insurance premiums may rise, but the insurance company needs to know this information in order to determine your rates. Even before you file a claim, insurance providers use your likelihood of filing a claim to determine your premium costs. People with bad credit, for example, often get worse rates for car insurance than those with good credit, as they’re more likely to file claims.
2. Get reimbursed. Maybe your car is being repaired and you need a rental car. Maybe you drove into a pothole and needed to get your tire repaired; how do you actually benefit from your auto insurance? Claims bridge the gap between the insurer and the insured, allowing you to take advantage of your policy and get claims covered. Not all claims are covered, however. Your insurance provider will determine if the policy covers the incident, such as damages from vandalism, as well as who is at fault in a multi-car accident. If the claim is covered, they will give you a payment based on your policy, premiums, and the value of your car.
3. Document your car’s damage history. Even if you’ve gotten repairs or replacements, getting into an accident will affect your car’s resale or trade-in value, so claims act as physical evidence of your car’s past.

Key Insurance Claim Terms

Before we tell you what to expect while filing an auto insurance claim, let’s define some key terms.

• First-party claim: If you file a claim with your insurance company, that’s a first-party claim.
• Third-party claim: If you’re filing a claim with someone else’s insurance company, that’s a third-party claim.

What to Expect When You File a Car Insurance Claim

Each insurance provider has an obligation to its policyholder, so if someone hits you and you file a claim with their insurer, that company will investigate the claim and offer you a settlement. Here’s some more information about the insurance claims process.

First, you’ll request a claim and the company will send you all the necessary documents. You’ll need to provide information such as who was at fault, the damages and/or bodily injuries, and whether they were related to the accident directly. The insurance company also might make you get several repair estimates, either in network or out of network (except, with the latter, you may have to pay the difference if it’s more expensive than in-network options).

With third-party claims, you won’t have to pay your deductible. Rather, you’ll have to sign a “release for damages” agreeing to the amount you’ll get from the other driver and their insurance provider.

While preventing accidents isn’t entirely possible even with the best defensive driving skills, you can help yourself and others stay safe after an accident by being prepared. Take these steps if you’re in an accident:

1. Pull over to the side of the road or another safer space, if you can.
2. Ask everyone involved in the accident if they are physically OK.
3. Call emergency services like the police. If there are any injuries, call the hospital as well.
4. Visually assess the damage and photograph it.
5. Stay at the scene. If you can’t, leave the other people involved your name, address, insurance information, and phone number.
6. If you can stay the scene, gather information from everyone involved, including witnesses, such as the following:
   • Names
   • Contact information
   • License plates
   • Car registration information
   • Insurance identification numbers
   • Makes and models of the vehicles involved
   • Location
   • Time of day
   • Weather conditions
7. If the police can’t come to the scene, file an accident report with your local police department; you’ll need a police report to file an auto insurance claim.
8. File a claim with your insurance provider as soon as possible, even at the scene if it’s safe.

“To keep the process smooth and efficient, make sure to gather all necessary details right after the accident, such as photos, contact information of those involved, and a police report if applicable,” says personal injury attorney Barry P. Goldberg. “Staying organized and keeping a clear record of all communications with your insurer can also help streamline the process and avoid any hiccups.”

Not sure how to file a claim with your insurance provider? Use the contact information below.

Fault matters, as the person at fault will have to pay for the damages. In some states, people might share fault, and each could pay for a percentage of the cost. It all depends on the state’s negligence laws, which we’ve outlined below. But before we get to your state, let’s cover the types of negligence laws.

• Contributory: If you’re at fault in any way, you won’t get any money from your insurance company.
• Pure comparative: The share of your fault determines your recovery, so you’ll pay a percentage of the property damage and bodily injury costs.
• Modified comparative: If you’re found 50 percent or more at fault, you won’t get any money from your insurer.
• Slight-gross negligence comparative: You can only recover money from your insurer if you displayed “slight” negligence as opposed to the “gross” negligence of the other party. South Dakota is the only state with this type of negligence law. An example would be a driver running a red light and hitting a pedestrian who is jaywalking. While the driver practiced gross negligence of the law, the pedestrian only practiced slight negligence, so the driver would pay for the pedestrian’s medical costs.

Negligence Laws by State

It’s a good idea to check the type of negligence laws in your state to see how much you’ll pay after an accident.

These are some of the many types of car insurance claims:

• Animal accidents claims
• Bodily injury claims: Bodily injury claims include the cost of medical care for everyone involved in the accident.
• Borrowed car claims
• Flood claims
• Hail claims
• Mechanical claims
• Medical claims
• Natural disasters claims
• Potholes claims
• Property damage claims: Property damage means car damage and damage to other objects or buildings.
• Road hazard claims
• Sinkhole claims
• Theft claims
• Towing/labor claims
• Uninsured/underinsured motorist claims
• Vandalism claims
• Windshield/glass claims

Next time, be prepared in case you get in an accident.

1. Keep your car’s proof of insurance, the leasing agent’s name, the registration, and your family’s medical information (including their allergies and doctors’ names) in your car.
2. Also keep orange cones, flares, and emergency signage in your car to make sure you don’t get even more hurt after an accident.
3. Keep a pen and paper in your car to write down information in case your phone runs out of battery or is damaged and you can’t use your provider’s mobile app.
4. Make sure you have appropriate auto insurance coverage.⁶

Filing an auto insurance claim can feel overwhelming, but understanding the process can help you navigate it with confidence. Whether it’s a minor fender bender or a major accident, knowing your coverage, documenting the incident, and communicating effectively with your insurer are key to a smooth claim experience. By staying informed and proactive, you can ensure you get the coverage and support you need when it matters most.