If you live in La Crosse, WI, and have recently been in a car accident, you might be wondering: Can I fix my own car with insurance money? The answer is yes, but there are some important factors to consider before deciding to handle repairs yourself. At Preferred Insurance Agency, we want to make sure you have all the information you need to make an informed decision.
Understanding How Insurance Payouts Work
When you file a claim after an accident, your insurance company will assess the damage and provide a payout based on the cost of repairs. This amount is typically determined through an inspection by an adjuster or an estimate from a repair shop.
If you own your car outright, you have the flexibility to use that payout as you see fit. However, if you still have a loan or lease on your vehicle, your lender may require you to use the funds specifically for repairs.
Fixing Your Car Yourself: What You Should Know
If you’re handy with cars, you might consider fixing the damage yourself. Here are some important considerations:
- Insurance Payment Details
- Your insurer will provide you with a settlement check based on the repair estimate.
- You can choose to use that money to buy parts and fix the car yourself, or even leave the damage if it’s cosmetic and doesn’t affect the car’s safety.
- Safety First
- Ensure any repairs you make are safe and reliable.
- Improper repairs could lead to future safety issues or complicate future insurance claims.
- Diminished Resale Value
- Cars with unrepaired damage might have lower resale value.
- If you plan to sell or trade in your vehicle, it might be wise to invest in professional repairs.
Insurance Rules and Restrictions
- Leased or Financed Vehicles: If your car is leased or financed, your lender likely requires repairs to be completed by a certified shop.
- Comprehensive and Collision Coverage: If you have these coverages, you might need to provide proof of completed repairs to maintain coverage for future claims.
Potential Savings and Pitfalls
Fixing your car yourself can save money on labor costs, but it might cost more in the long run if repairs aren’t done correctly. Insurance companies may also reduce future payouts if damage is worsened due to improper repairs.
When Should You Hire a Professional?
- If the damage affects structural integrity.
- If advanced systems like airbags or electronics are involved.
- If you plan to sell or trade in the car soon.
Conclusion: Make the Right Choice for Your Situation
Yes, you can use insurance money to fix your car yourself if you own the car outright and feel confident in your repair abilities. However, safety, insurance rules, and potential long-term costs should all factor into your decision.
If you have any questions about auto insurance coverage, repairs, or filing a claim in La Crosse, WI, the team at Preferred Insurance Agency is here to help. Contact us today to learn more about how we can support you with all your auto insurance needs!
Filed Under: Auto Insurance | Tagged With: #AutoInsurance, #payout, #PreferredInsurance, Claims