📈 Will a liability claim raise my rates?

Usually yes for at-fault claims. However, some insurers offer accident forgiveness for first claims. Rate increases typically last 3-5 years.

💸 What if damages exceed my coverage limits?

You're personally responsible for amounts above your limits. If you don’t have enough cash to cover what your auto policy won’t cover, you could be sued, have your wages garnished or have liens placed on your property to cover the remaining costs.

⏰ How long do I have to file a liability claim?

Most insurers require a liability claim to be filed within 24-72 hours after an accident.

🤝 Should I settle quickly or fight the claim?

Never settle without your insurer . They have experienced adjusters and attorneys that work to negotiate fair settlements.

🚫 What if the other driver doesn't have insurance?

If your policy includes uninsured motorist coverage you will be covered by it, up to your limits.

⚖️ Do I need an attorney for liability claims?

Your insurance company provides legal defense for covered claims. You only need a personal attorney if damages exceed your limits, or coverage is denied.

How Car Insurance Liability Claims Work

Someone hit you and it’s their fault? A liability claim gets their insurance to pay for your repairs and medical bills. It’s how at-fault drivers cover the damage or injuries they cause.

Jerry has helped 1,170,772 drivers compare car insurance quotes in the last year, including drivers who have been through a claims process. Here’s how a liability claim works and what to expect.

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What is a liability claim?

A liability claim occurs when someone seeks payment from an insurance company for damage or injuries caused in an accident. It’s filed against the at-fault driver’s liability insurance — the part of their policy that covers injuries or property damage they cause to others.

There are two types of liability claims:

Bodily injury liability claims cover medical bills, lost wages and pain and suffering.
Property damage liability claims pay for repairs or replacement of other people’s vehicles, buildings or personal property.

Key takeaway: Liability claims are filed against the at-fault driver in most states. If your own car is damaged in an accident you cause, you’ll need to file a collision or comprehensive claim to get it fixed.

How much liability claims typically cost

How much a liability claim will cover depends on how severe the damage and injuries are.

Here’s what different types of liability claims typically cost according to data from the Insurance Information Institute and National Safety Council.

Claim type	Claim type
Property damage claim	$6,551
Bodily injury claim	$26,501
Severe injury claim	$160,000 or more.

Key takeaway: State minimum liability limits are often too low to cover serious injuries, which could leave you paying out of pocket. Jerry recommends at least $100,000 per person and $300,000 per accident in bodily injury coverage to stay fully protected.

Learn more: How much car insurance do I need?

Be prepared for a liability claim with Jerry

When choosing an insurance company, you want to go with a provider that can offer excellent claims support and the right coverage limits. Jerry quickly shows you quotes from top-rated carriers with excellent claims handling so you’re protected if an accident happens.

Once you’ve found the right insurer, Jerry also handles the paperwork, coordinates your start date to avoid any coverage gap and can help cancel your old policy for you.

Skip the hassle. Jerry finds competitive quotes in minutes.

How the liability claims process works

The liability claims process typically takes anywhere from 2-12 weeks to reach a settlement. Here’s an estimate timeline of what to expect during the claims process:

Fault matters in a liability claim. For example, if you’re 70% at fault, you pay 70% of damages. In some states, being over 50% at fault means you can’t recover anything for your own losses.

Jerry recommends: Don’t try to handle liability claims on your own. Report accidents to your insurance company immediately, even minor ones. Your insurance company has legal teams and adjusters to protect your interests. You can quickly find carriers with strong claims support in the Jerry app and see personalized quotes in minutes.

Learn more: The best car insurance companies

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What to do if a claim is filed against you

Take these critical steps when facing a liability claim:

💥 Immediately notify

Let your insurance company know within 24 hours.

🏠 Document everything

This included photos, witnesses and police report number.

🚙 Don’t discuss who was at fault

With the exception of the police and your insurer.

⚠️ Never sign anything

Only sign documents if you have your insurance company’s approval.

Your insurance company provides legal defense as part of your liability coverage, even if the claim is fraudulent or frivolous.

Jerry recommends: Never admit fault after an accident. Don’t apologize, don’t blame the other driver and stay calm. Let the insurance adjusters do their jobs and sort out the details.

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FAQ

📈 Will a liability claim raise my rates?

Usually yes for at-fault claims. However, some insurers offer accident forgiveness for first claims. Rate increases typically last 3-5 years.
💸 What if damages exceed my coverage limits?

You’re personally responsible for amounts above your limits. If you don’t have enough cash to cover what your auto policy won’t cover, you could be sued, have your wages garnished or have liens placed on your property to cover the remaining costs.
⏰ How long do I have to file a liability claim?

Most insurers require a liability claim to be filed within 24-72 hours after an accident.
🤝 Should I settle quickly or fight the claim?

Never settle without your insurer. They have experienced adjusters and attorneys that work to negotiate fair settlements.
🚫 What if the other driver doesn’t have insurance?

If your policy includes uninsured motorist coverage you will be covered by it, up to your limits.
⚖️ Do I need an attorney for liability claims?

Your insurance company provides legal defense for covered claims. You only need a personal attorney if damages exceed your limits, or coverage is denied.

Methodology

Data included in this analysis comes from policies that Jerry has quoted within the last 6 months for drivers with a clean record and that have full coverage, unless stated otherwise. Data related to violations, accidents or credit scores pull from quote data from the last 18 months. Jerry services 48 states and offers a range of insurance companies to choose from.

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Ben Moore

Ben Moore is a writer and editor at Jerry and an auto insurance expert. He previously worked as a writer, editor and content strategist on NerdWallet’s auto insurance team for five years. His work has been published in The Associated Press, Washington Post, Chicago Sun-Times, MarketWatch, Nasdaq and Yahoo News. He also served as a NerdWallet spokesperson, with appearances on local broadcast television and quotes in Martha Stewart and Real Simple magazine.

Ben has an extensive background in digital marketing, working on affiliate and programmatic advertising campaigns for brands like Cabela’s, H&R Block and Sears. He holds a bachelors degree in marketing from Olivet Nazarene University.

^†Over the past 12 months, 25% of drivers who switched with Jerry paid $89 or less per month. Not all customers find savings. Savings depend on state, policy features, coverage, driving history and other factors.

Editorial Note: This article was written by a paid member of Jerry’s editorial team. Statements in this article do not constitute advice or recommendations. You should consult with an insurance professional about your specific circumstances and needs before making any insurance decisions.