What can you expect in settlement if your car accident insurance claim is approved? Part of the answer depends on whose insurance you are pursuing. If your claim is with your own insurance company, that is called a first party claim. If your claim is with the other driver’s insurance, it is called a third party claim.

First Party Claim – A claim with your own insurance company
When you have filed a claim with your own insurance company for physical damage to your vehicle from a car accident (Collision Claim); from vandalism or another type of event under the comprehensive section of your policy (Comprehensive Claim); or for injuries sustained in a crash (Medical Payments Claim, or Med Pay); and if there are no problems with your coverage, your claim should be approved and paid. For collision or comprehensive damage, most insurers will pay the body or glass shop where you have your car repaired directly after they receive an estimate from the shop. Occasionally, although this doesn’t happen much any more, an adjuster will come to your home or work, write an estimate for the damage him or herself, and hand you a check right then and there to cover it.

If you have rental car coverage on your policy and your car must be in the shop for several days or weeks, the insurer will either arrange for a rental car for you with a company with whom they have a relationship, or tell you whom to call. There is usually a daily or weekly dollar limit and the insurer will pay the rental car company directly.

Some people use their own health insurance to cover medical bills resulting from a car accident injury claim, even though they have Medical Payments coverage with their auto insurer. Read your auto policy to determine which coverage is primary and how your insurer handles it if you have double coverage. Although you are entitled to receive payment from your Med Pay coverage on your auto insurance policy, some insurance companies may choose to subrogate against (legally request reimbursement from) your health insurer if your health insurance is primary. Other companies will just pay you directly for your bills, even if they were already covered by your health insurance, and you can keep that money. Your policy will only cover you for reasonable and necessary treatment, and only for an amount that is within your policy limits.