I filed a claim with my car insurance company for hail damage on both my cars....?

Question

They are making the checks out to me. Is there a time frame that the cars need to be fixed by? OR

Can I keep the money and not fix the cars and pays bills with it?

If I just keep the money; can I get in big trouble for that?

Answer 1

You can keep the money, but, remember, the car is worth less with unrepaired hail damage, so, if there is a write-off situation in the future, that damage amount will come right off the top of your pay-out.  However, if you have a handy-dandy friend who can repair it to your satisfaction for less than your check, you are free to do that as well.

Not all companies everywhere give you that choice.  If I had hail damage, and put in a claim, I would get the authorization to repair at the shop of my choice, as long as it was accredited, but I don't get to touch money for a damage claim unless it is a write-off.

Answer 2

Be careful !  I would ask your agent first before you keep the money. Did you have to get an estimate ? If you did , the check will be made in your name and the repair shops name. Insurance fraud is no joke ! There are requirements for different claims, such as another parties insurance paying for a claim and your insurance paying you for a claim .  Just call your agent and ask to be sure.   Good luck !

Answer 3

Make sure who they are putting on the check(s). May be a repair shop. You can keep the money as stated in the other answers. You will probably be giving back some of it when your rates go up.

Answer 4

It's your cars, so it's your money. Get it fixed or not, that's your decision, but if you have hail damage again, they won't pay for it...

You paid the insurance, that's what it is for. So you can't get in trouble unless you owe for the car & it's totaled & must be paid off...

They normally have 30 days to pay you after what ever last communication you have. Most pay quickly.

Answer 5

you don't need to have the damage repaired but they will exclude that damage for any future claim.

Answer 6

It is up to you if you fix your cars. You assume the liability. The cars have depreciated and you assume the depreciation. The insurance has done its job. I asked my insurance and they said it was up to me, but that if I had a claim later, the hail damage, if not fixed would be deducted from that claim. Just my case and my insurance. Not a lawyer.

Answer 7

The money is yours to do whatever you wish. Your insurer has met their obligation by indemnifying you for the loss. Keep in mind that you will take a bath on trade-in or sale value when you decide to buy another car if you don't repair them and if you happen to have another loss the prior damage will be deducted from the repair costs.

Note: by August a large number of the smaller depressions on you car will be gone. It's not magic, just the natural tendency of the formed metal working it's way back to it's original shape in the hot sun/cold rain showers.