You had an accident and now your car needs repaired. On of the most common questions asked is whether or not you can choose the shop that repairs your vehicle.
In most cases, you can indeed choose the repair shop for your vehicle on a car insurance claim. But there’s more to the story than a simple yes or no answer.
What Does Your Policy Say?
The first thing to check is your policy because that’s where the wording is that may or may not let you choose your shop.
If we look at a standard ISO auto insurance policy form which is used by a lot of car insurance companies, it typically includes language that addresses this issue:
We have the right to inspect and appraise the damaged property before its repair or disposal. We will pay for repair or replacement of the damaged property with like kind and quality. We may provide or suggest repair shops, but you are not required to use them.
This language clearly states that while your insurance company may suggest repair shops, you’re not obligated to use them.
So why might an insurer recommend certain shops?
The Preferred Network: Pros and Cons
Insurance companies often have a network of preferred repair shops. These shops have agreed to certain terms with the insurer, which can streamline the repair process.
But is using a preferred shop always the best choice?
Pros of using a preferred shop:
- Faster claim processing
- Guaranteed repairs
- Direct billing to the insurance company
Cons of using a preferred shop:
- Potential conflicts of interest
- Limited choice
- Possible focus on cost-cutting over quality
Your Right to Choose
Despite the advantages of preferred shops, you have the right to choose any licensed repair facility. This freedom allows you to select a shop you trust or one that specializes in your vehicle’s make and model.
A Real-World Scenario
Your beloved 1967 Mustang has been in a fender bender.
Would you trust just any repair shop with your classic car? Probably not.
In this case, you might prefer a specialist in vintage vehicles, even if they’re not in your insurer’s network.
It may cost you more to have the repairs completed, but by using a shop that specializes in older vehicles, you can help ensure the repairs are completed properly and maintain the vehicle’s value.
Navigating the Claims Process
Choosing your own repair shop doesn’t mean you’re on your own. Here’s what to keep in mind:
- Get an estimate from your chosen shop.
- Submit the estimate to your insurance company.
- Be prepared for negotiations if the estimate is higher than what the insurer expects.
- Understand that you might need to pay the difference if you choose a more expensive option.
What If There’s a Dispute?
Disagreements can arise. Your chosen shop might quote a higher price than the insurer’s estimate.
What then?
Communication is key. Often, a conversation between the shop and the insurance adjuster can resolve differences.
If an agreement can’t be reached, you have options:
- Request a re-inspection
- Seek a second opinion
- Consider mediation or arbitration
Key Takeaways
While you have the right to choose your repair shop, it’s essential to understand the potential trade-offs. Weigh the convenience of a preferred shop against the benefits of using a facility you trust. Remember, the goal is to get your car repaired properly and safely.
- You have the right to choose your repair shop.
- Insurance companies may suggest preferred shops but can’t require you to use them.
- Consider the pros and cons of using a preferred shop versus an independent one.
- Be prepared for potential negotiations if you choose a non-preferred shop.
- Always prioritize quality repairs and your vehicle’s safety.
Armed with this knowledge, you’re now better equipped to make an informed decision when filing a car insurance claim. Remember, it’s your car and your choice – make it wisely!
During his career as an independent insurance agent, Ryan Grabenstein was appointed with Progressive, Allstate, Nationwide, Travelers, and many smaller regional and mutual companies. He has a Bachelor's degree in Finance from the University of Nebraska at Lincoln and Certified Insurance Counselor (CIC) personal and commercial lines training.