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Auto Accident 10.27.2021

Should I Report A Minor Car Accident?

You can be shaken and worried after getting into an auto accident. Fortunately, you purchased adequate car insurance to help cover some of your financial losses and any damage you caused if you were at fault. However, if the accident does not result in serious damage or injuries, you might be thinking, “Should I report this minor accident?”
In Michigan, you should report every accident, especially injury and property damage accidents. If you make an insurance claim with an auto insurance company, you will need to have a police report filed. Your insurance company’s contract usually sets a time limit for making a claim so it’s a good idea to let your own insurance company know when you have been involved in a car accident crash. However, you might choose to pay for the repairs to your car out of pocket, depending on the extent of damage and circumstances.

When might someone consider paying vehicle damage out of pocket?

If your vehicle damage is less than your deductible you decide to pay out of pocket. However, if you caused injuries to the other driver, you could never know how much damage you caused so reporting the claim to your insurance company gives you some protection. If you don’t use your insurance coverage to pay for vehicle damage, your insurance rate may not go up. However, auto insurance can go up if you were at fault and your driver’s license history reflects the accident.

What Are Some Types of Accidents Where Using My Auto Insurance May Be Unnecessary?

The following are some examples of auto accidents which may not need a car accident claim:

  • Your damage is less than the collision deductible.
  • You did not hit anyone and there was no property damage. For example, you hit a stationary object like a light pole base and getting scratch on your bumper, but there is no other person injured or extensive damage caused. In this case, your car insurance policy deductible might be higher than the cost of collision repairs, so filing a claim may not be financially beneficial.
  • Very minor accident with one other driver who was not hurt.
  • In another situation if you get into a very minor collision with another driver. For example, if you get into a rear-end accident at a stop sign or back up into another car in a parking lot, you may only have a scuff mark. If the damage is cosmetic and both drivers involved agree on who was at fault, not using insurance may make financial sense.

However, generally you should report the claim, but maybe not make a claim for damages is advisable these situations if you truly believe the other driver will not file a claim.

If you have been injured in a minor car accident, you may want to contact our expert auto accident attorney for help about your potential claim at 248-352-2110 or toll free at 1-866- for a free consultation.

When Should I contact My Car Insurance Company?

If you have been involved in a car accident, you should read our insurance claim tips article. You are aware that car insurance was created to protect your finances in the event of a motor vehicle accident, whether you caused the collision or someone else caused the car crash. While you might be able to get away with not contacting your insurance company after no damage accidents, more often than not, you will need to notify your auto insurance company in most cases.

You should always report the accident to your insurance company in these circumstances:

  • Injury accident. If you, a passenger, or the other driver involved in a crash are injured, you need to contact your insurance company. Your residual bodily injury liability coverage in your auto policy will cover any injuries you cause. In Michigan, a no-fault state, your personal injury protection (PIP) coverage will typically pay for your medical bills, wage , household service benefits and attendant care benefits. Medical bills after an accident can be high, even if the injuries are minor. Using your auto insurance could save you a lot of money that would otherwise come out of your pocket.
  • Car Accident Fault Disputed. If the car accident fault is being disputed, you should make sure to report the accident to your insurance company. For example, if the other driver claims you were at fault, you can expect that he may make an injury claim.
  • Vehicle repair costs expensive. If your car sustained major damage, which would likely cost a lost to repair, you should report the claim to your auto insurance company. If you caused property damage, your property damage liability (PDL) should cover property damage you caused. If you have collision coverage, using your car insurance means you will not have to pay out of pocket for the cost of repairs to your vehicle, regardless of fault.

If you have been involved in a car accident and have questions about your collision coverage, you should contact our expert auto insurance lawyers.

What Are The Risks Involved In Deciding To Pay For Auto Accident Out of Pocket?

If you decide to pay for collision damage to your vehicle arising out of an auto accident out of pocket, you should consider a several risks first. Even if a car crash results in minor damage and there are no injuries to anyone involved, that does not automatically mean that not making an insurance claim is the correct move.

The following are risks considering:

  • Vehicle damage estimate may not be accurate. You should make sure your vehicle repair estimate is accurate. You should not rely on internet searches for auto repair costs because some damage may be hidden. Instead, you should go to reputable local body shop and obtain a quote for auto repair estimate. If it turns out your auto repair damage is much higher you may be too late to make a claim. This can easily happen if you have internal damage that cannot be seen, which my lead to higher repair costs.
  • Make sure you the driver or passengers were not injured in the auto accident. Don’t decide to pay out of pocket until you are sure nobody was injured. Sometimes people will wake up the next morning with pain resulting from injuries in a car accident. If someone involved in the car accident later files a claim, your insurance company will want to know why you didn’t report the accident. If you are not sure, it is a good idea to report the motor vehicle accident to your car insurance company for peace of mind.

What If I Have Accident Forgiveness?

If you purchased accident forgiveness insurance coverage with your car insurance policy, your rate would not increase after your first covered accident, assuming it is not a major accident. Even if you are at fault in your first car accident crash, and you have accident forgiveness insurance, you might want to file a claim with your auto insurance company because it should not impact your auto insurance premium.

Why Paying out of pocket may Be financial Beneficial?

Sometimes you may not have all the money to pay for car damage repairs, so paying out of pocket after an accident might make financial sense. If finances are tight, paying out of pocket gives you the flexibility to pay based on your ability to pay, which means you could avoid paying a large amount at one time. You can also get several repair quotes from different collision shops, whereas some insurance companies may not let you choose your own collision shop.

If you get a car insurance quote, you are typically asked to disclose any accidents or traffic violations you have had in the past 3 years. This includes incidents that were not covered by insurance. If you get a car insurance quote and fail to disclose recent accidents could void your auto insurance coverage.

Should I Exchange Information With The Other Driver In A Car Accident?

Yes, usually writing down information about the driver and vehicle involved is a good idea, even if the accident was a minor car accident. You should also take picture, if the other driver decides to sue you in the future, having photo evidence of the damage could help you avoid an unnecessary legal battle.

Frequently Asked Questions

Will My Auto Insurance Go Up If I Pay Out Of Pocket For Damages?

No, your auto insurance premium should not increase if you decide to pay for all accident damages out of pocket. However, if the other driver involved in the crash decides to file a claim with your insurance, without your knowledge, your insurance rate could increase.

Can My Car Insurance Company Find Out About My Auto Accident?

In Michigan, auto insurance companies can determine your accident history by looking at your driving record with the Michigan Secretary of State. Otherwise, unless you or someone else files a claim with your insurance company about the car accident, or the police are called to the scene of the accident where a report is made, it is unlikely that your car insurance company will find out about a collision that you do not report.

How much do car repairs typically cost?

Usually, the cost of car repairs will depend in the severity of the damage to the vehicle, the year, the make, and the model of the motor vehicle. According to the National Safety Council (NSC)., in 2019, the average cost of a property damage-only car accident was $4,500.

How can I lower my car insurance rate if it increases after an accident?

If your car insurance rate increases after a car accident, you can take a few steps to save yourself money. Check with your insurance agent to see if qualify for car insurance discounts you can take advantage of, such as consider increasing your deductible, improve your credit score, (if your state includes it as a rating factor) or think about shopping around for a different auto insurance company carrier.


Our lawyers are experts in Michigan auto no fault insurance law. We take car accident cases seriously and hold responsible drivers and auto insurance companies accountable for injuries or damages.
We understand the motor vehicle accident insurance claim can be complicated and the law is confusing, but we have the expertise, knowledge, and extensive resources to help you. Once you hire us, we won’t give up until we win compensation for you and your family.

Michigan car accident auto law is complicated but finding the right motor vehicle accident lawyer is simple. Don’t delay, start your claim today by calling 248-352-2110 or toll free at 1-866-HIRE-JOE for a free, no-obligation consultation.

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The Joseph Dedvukaj Firm, P.C represents Michigan clients in a full range of personal injury matters. If you have been injured, contact us for a free consultation.
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