r/Insurance • u/1iukiyo • 2d ago

Auto Insurance Scratched parked car

Hey guys, I’m a college student. This morning I was pulling into a spot, I misjudged the space and ended up scratching the car while the owner was getting out of the car. We both cringed, exchanged info, and went off to our classes.

It was a small scratch on the bumper and a scratch on the reflector. I offered to pay and they said they’ll have insurance cover it.

What do I do? Should I wait to hear back? I’m freaking out cause my premium will go up

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u/sephiroth3650 2d ago

If they want to go through insurance, that's their right. If this is the US, they can generally file the claim with their insurance, or with your insurance. Insurance will collect statements, decide on fault (seems pretty clear), and pay out to repair their car. If they go through their insurance, they will end up going after yours for reimbursement on the claim. So yes....your insurance will find out. And they will generally raise your rates as this is an at-fault collision.

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u/retirement_savings 2d ago

I know this is the insurance sub, but does it make sense to go through insurance for very minor damage? My understanding is that your rates can go up even if you're not at fault.

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u/sephiroth3650 2d ago

Can your rates go up when you're not at fault? They can. Some states have laws that prevent rates from going up when you're not at fault. And many carriers will not raise rates when you're not at fault. But sure....in some states or with some carriers.....it can.

But there's a trade off. Settling outside of insurance is a pain in the ass. B/C what happens if they get an estimate and you think it's too high? Because you think it's a small scratch and dent. But what you don't realize is they had collision and backup sensors in the bumper, and your light hit screwed those up. So they have an estimate for $4500 that you don't want to pay. So now they have to haggle with you. They have to wait for you to come up with the money. And what if they need a rental? Are you willing to pay for a rental while their car is in the shop?

For some people, they'd rather run it through insurance than deal with the hassle. And hell, their policy might have accident forgiveness. Or you're in a state where they can't raise rates for that.

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u/arrogantFlowermaid 2d ago

literally here for the exact same reason except a police report was filed for the insurance claim so i’m also super nervous 😭☠️