Whenever there is a car accident, regardless of the severity of it, there is always a question that pops into everyone's head at least once. "Should insurance companies be contacted after an accident? The fear of a rise in insurance rates is often the idea behind this question. However, there are some important factors that weigh more heavily in determining what to do in this situation.

So, the big question is when to actually report it? According to some information published by the Department of Transportation, 7 out of every 10 car accidents involve 2 vehicles or more. And 52% of car insurance claims also involved an accident with 2 or more vehicles. So, if an accident falls into that category, always report it, especially if you may have been at fault, as your coverage also protects you from liability for harming others.

If you do decide to call your insurance company there are some recommendations you should follow:

• Call your agent as soon as the accident or injury occurs. When you return home after the accident, or even before going to the doctor, call your agent.
• Review and understand your coverage before talking to your insurer or agent. Read especially the "Coverage" and "Exclusion" sections of your policy.
• Take detailed notes of all conversations you had with insurance company representatives and write down the names, phone numbers, and positions of the people you spoke with, including the name of your supervisor.

According to the experienced car accident attorneys at Rutter Mills, even if the damage is minimal you want to always officially document the accident. It's on everyone's best interest if there are any legal problems or confusions in the future. You don't really know the other person and how they might act. There have been cases when the 2 people involved try to get to an agreement without getting their insurance companies involved, and then one of them files a damage claim against the other person behind their back. So, you want to avoid situations like that as much as possible. False injury claims are another possibility worth considering and may result from false accidents and other frauds.

Not to mention repairs can cost more than what people first anticipate just by taking a quick look at the damages. For us it can look like a tiny scratch but it can cost a couple hundred dollars to fix, so it's never good to assume any repair prices. Even when there is no visible injury, we can't be 100% that there is no actual physical injury. Whenever there is an accident, there is always an adrenaline rush that is generated by the impact, this adrenaline can hide any potential pain or damage that the person may feel or have and it be misleading in many ways. Some bruises don't even show up after a day or two later. So, if you don't report any of this right away, you might find yourself surprised due to a bill of extra costs you didn't expect. Not to mention some insurance companies don't want to pay for damages after a certain amount of time has passed because there is no way to prove anything happened or not happened at all since all evidence is gone.

Most states regulate imputed contributory negligence accidents, which are the loss payments that auto insurers are allowed to count against their driving record to calculate their risk and set premiums. The rules vary from state to state, but payment limits of $500 to $1000 are typical, meaning that accidents that cost the insurer less than this cannot cause an increase in your policy. Your insurance company can tell you the rule in your correspondent state.

Major insurance companies also apply their own loyalty programs, which give prizes that they call "accident forgiveness," based on how long you've been with the company and your good driving and payment record. Some insurances can apply this forgiveness to accidents up to $1500 for new customers, but for veteran customers of 5 years or more they and spare an accident worth $5000 in damage repairs. A perk that should not be considered a usual thing, since it's usually a one-tune benefit, so it's not something you can rely on all the time, not to mention if the accident repair amount goes over the established amount the customer may still have to pay part of it.

Most people ask, when is it more common to not get insurance companies involved? If the damage is minor and is limited to your own vehicle and property, perhaps backing up and knocking on your own fence or garage door. This usually does not need to be reported to your insurance company if you are not going to make a claim. Also, its way more convenient for you economically speaking to cover the repair yourself if you think it's minor than a coverage deductible made by your insurance company.