The basic steps in a car insurance claim

After an accident or loss, you contact your insurance company, report the damage, provide documentation, and wait for the insurer to investigate and decide what to pay. The timeline typically runs from a few days to several weeks depending on the complexity of the claim and your state's rules.

Most insurers now let you start a claim online, by phone, or through a mobile app. You'll need to describe what happened, provide photos of the damage, and give the names and contact information of anyone else involved. The insurer will assign an adjuster to inspect the vehicle and estimate repair costs.

Once the adjuster completes their inspection, the insurer sends you a settlement offer. If you agree, they issue payment—either to you, your repair shop, or your lienholder (the bank or finance company that owns the car). If you disagree with the amount, you have options to dispute it.

Key Takeaways

  • Report your claim to your insurer within 24 to 48 hours of the accident or loss, even if you're not sure whether you'll file.
  • Gather photos of the damage, the accident scene, and any visible injuries before the adjuster arrives, because these strengthen your claim.
  • Keep copies of all documents you send to your insurer, including the police report number, medical records, and repair estimates.
  • Your state's insurance department can help if your insurer denies the claim or you believe the settlement is unfair.
  • The entire process from report to payment usually takes two to six weeks, but complex claims or disputes can take longer.

What to do when ready after the accident or loss

Call your insurance company as soon as safely possible. Most insurers have 24-hour claim lines. Have your policy number ready and be prepared to describe what happened, where it happened, and when. Write down the name and claim number of the person you speak with.

If the accident involved another vehicle or property damage, call the police and get a report number. Even if the damage seems minor, a police report creates an official record and is often required by your insurer. Take photos of all vehicle damage, the accident scene, road conditions, traffic signals, and any visible injuries—use your phone and take many angles.

If anyone was injured, seek medical attention when ready. Do not admit fault or apologize for the accident to the other driver or their insurer. Stick to facts: "The light was red" is fine; "I'm sorry, it was my fault" can be used against you later.

Documents you'll need to gather

Your insurer will ask for your policy information, a description of the accident, and proof of the loss. Collect these items before or when ready after you report the claim:

  • The police report number (if applicable)
  • Photos of vehicle damage, the accident scene, and road conditions
  • Contact information and insurance details of the other driver (if another vehicle was involved)
  • Names and phone numbers of witnesses
  • Medical records and bills if anyone was injured
  • Repair estimates from body shops (your insurer may require multiple estimates)
  • Proof of ownership and registration
  • Receipts for any personal property damaged in the vehicle

Keep copies of everything you send to your insurer. Request written confirmation when you submit documents, and save emails with timestamps. This creates a record in case there's a dispute later.

The adjuster's inspection and damage estimate

Within a few days of your report, your insurer assigns an adjuster to inspect the vehicle. The adjuster is an employee or contractor who estimates repair costs and determines whether the damage is covered under your policy. You can be present during the inspection and should be—it gives you a chance to point out damage the adjuster might miss.

The adjuster will take photos, measure damage, and research the cost of parts and labor in your area. They use software like Xactimate or CCC to generate a repair estimate. This estimate becomes the basis for what your insurer offers to pay.

If you disagree with the adjuster's estimate, you can obtain your own estimate from a repair shop and submit it to your insurer. Some states allow you to have an independent appraiser review both estimates if they differ significantly. Ask your insurer what the process is in your state.

How your insurer decides what to pay

Your insurer compares the repair estimate to your coverage limits and deductible. If you have collision coverage and the damage is less than your car's actual cash value, the insurer pays the repair cost minus your deductible. If the car is totaled (the repair cost exceeds 70 to 80 percent of the car's value, depending on your state), the insurer pays the actual cash value minus your deductible.

The insurer determines actual cash value by researching similar vehicles in your area using tools like NADA Guides or Kelley Blue Book. This is not what you paid for the car or what you owe on a loan—it's what the car was worth at the time of loss. If you believe the valuation is too low, you can challenge it with your own valuation research or hire an independent appraiser.

The insurer sends you a settlement offer in writing. This offer includes the amount they will pay, what damage is covered, and what is not. Read it carefully and ask questions about anything you don't understand.

What happens if you disagree with the settlement

If the repair estimate is lower than you expected or the insurer denies your claim, you have several options. First, ask your insurer in writing to explain their decision. Request the adjuster's report and photos so you can see what they based their decision on.

If the disagreement is about the repair cost, obtain a second estimate from another body shop and submit it to your insurer. Many insurers will split the difference or accept the higher estimate if it's reasonable.

If the disagreement is about coverage—for example, your insurer says the damage is not covered—ask them to cite the specific policy language that excludes it. You can then review your policy to verify. If you believe they misinterpreted the policy, you can request an appraisal, which is a formal process where an independent third party reviews both sides and makes a binding decision.

If you still disagree after these steps, contact your state's insurance department. They can investigate complaints and pressure insurers to reconsider. This is a free service and does not require a lawyer.

Payment and repair options

Once you accept the settlement, your insurer issues payment. The method depends on your situation. If you own the car outright, the check goes to you. If you have a loan or lease, the check goes to the lienholder first—they take what you owe and send you the rest.

You can choose where to repair the vehicle. Your insurer cannot require you to use a specific shop, though they may have a network of preferred shops that offer discounts. You can use any licensed repair shop you trust. If the shop finds additional damage during repairs that wasn't in the original estimate, the insurer typically pays for it if it's related to the covered loss.

Some insurers issue a single check for the full estimate. Others issue two checks: one when repairs begin and one when they're complete. Ask your insurer which method they use.

Frequently Asked Questions

How long do I have to report a claim?

Most insurance policies require you to report a claim "as soon as practicable," which typically means within 24 to 48 hours. Waiting longer can give your insurer reason to deny the claim, though state laws vary on how strictly this is enforced. Report even if you're unsure whether you'll file—reporting protects your rights.

Can my insurance rates go up after I file a claim?

Yes, in most states. If you're found at fault, your rates usually increase at your next renewal. The increase varies by insurer and state. Some states limit how much rates can rise; others don't. If you're not at fault, your rates typically don't increase, though this also varies by state and insurer.

What if the other driver's insurance company contacts me?

You can speak with them, but you're not required to. Anything you say can be used against you. It's safer to give them your insurer's contact information and let your insurer handle the conversation. Your insurer will negotiate with theirs about who pays.

What if my car is totaled and I still owe money on the loan?

Your insurer pays the actual cash value to your lienholder. If that amount is less than what you owe, you're responsible for the difference—called being "upside down" on the loan. Gap insurance, if you have it, covers this difference. If you don't have gap insurance, you may need to pay the difference out of pocket or negotiate with your lender.

Can I repair my car before the adjuster inspects it?

No. Your insurer needs to see the damage to determine what's covered and estimate the cost. If you repair it first, they may deny the claim or reduce the payment. The only exception is if the damage poses a safety risk—for example, a broken windshield—in which case you can make temporary repairs and show the adjuster photos of the original damage.