So I was thinking about this earlier today after a friend of mine got into a minor fender-bender. Nobody hurt, thankfully, but it got me wondering... say you have a small accident, nothing major, and you decide to go ahead and file a claim with your insurance. Maybe it's just a dented bumper or something like that. But then, um, what happens next year or even two or three years later when it's time to renew your policy? I've heard stories from some people that their rates jumped quite a bit after just one claim—even if it wasn't their fault.
I mean, is it really worth reporting every little incident? Or is it smarter in the long run to handle smaller stuff yourself to keep your premiums down? I'm curious if anyone has experience with this or knows how insurance companies typically handle these situations.
Had a similar thing happen a few years back—just a little scrape on my classic Mustang (talk about heartbreak...). Anyway, decided to handle it myself because I didn't wanna risk my premiums going through the roof. Insurance companies can be weirdly unforgiving about even minor claims. Makes me wonder though, does anyone know if there's like a threshold amount where it's definitely smarter to file rather than pay out-of-pocket?
Had a similar dilemma last year when someone backed into my parked car (nothing major, but enough to notice). I ran the numbers and realized that even a small claim could bump my premiums for at least a couple years. Ended up paying out-of-pocket, but it made me wonder—does anyone know if insurance companies factor in frequency of claims more than the actual dollar amount? Seems like even minor incidents can add up if they happen often enough...
