The document outlines the insurance claim process, defining it as a formal request by a policyholder for financial compensation following a covered loss. It details the steps involved, types of claims, and the factors affecting claims such as premium payments. The average duration for processing a claim is typically about 30 to 45 days after initial filing.

1. The Complete Ins and Outs
of the Insurance Claim
Process​

2. What Is an Insurance Claim? ​
• It's a formal request by an insured policyholder to an insurance company for
financial coverage or compensation for a covered loss. ​
• The company reviews the claim and decides whether to validate or reject it. ​
• If your claim is approved, the insurance carrier will pay you the covered amount
or pay the interested party on your behalf.​

3. How Does the Insurance Claim Process Work? ​
An insured party pays premiums to an insurance company to maintain an insurance
contract. ​
If the premium is regularly paid, the carrier will maintain the policy.​
Note: The rate of your premium might increase if you file multiple claims. In some
cases, your insurance carrier might even decide to deny you coverage if you have a
high rate of insurance claims. ​

4. What Are The Types Of
Insurance Claims? ​
• First-party insurance claims: This refers to
insurance that an individual purchases directly
from an insurance provider. ​
• Third-party insurance Claims: This is when the
liable party fails to file a claim with their
insurance provider, forcing you to file a claim
with their insurance provider yourself.​

5. What is the Cost of Commercial Auto Insurance?​
• Auto Insurance Claims: Every state except Virginia and New Hampshire requires
drivers to carry insurance. Auto insurance claims include property damage,
physical injuries, uninsured or underinsured motorist coverage, liability, and
collision coverage. ​
• Life Insurance Claims: This is a contract between an insured and an insurance
company in which the insurance company promises to pay a sum of money in the
event of the death of an insured person within the agreed/set period.​
• Homeowners Insurance claim: You file a homeowners insurance claim if your
property sustains loss or damage against covered perils. (This includes natural
disasters like storms and hurricanes or internal water damage from burst pipes.)​

6. Steps for an Auto Insurance
Claim Process ​
• Contact the Police ​
• Collect Relevant Information ​
• Contact your Broker/Agent ​
• Commencement of the claim investigation ​
• Evaluation of the Damage ​
• Review of the Policy ​
• Arrangement of the Payment ​

7. How Long Does The Insurance Claim Process Take? ​
• The exact time it takes to settle a claim varies according to the state and the insurer. ​
• An insurance adjuster should contact you within one to three days of your filing the
claim. ​
• It usually takes around a month to 45 days for the entire insurance claim process to be
completed.​

8. Let us help you find the right auto insurance.
Contact us today!