Motorcycle Insurance Articles
How Competitive Estimates Affect Your Motorcycle Insurance Claim
2010-07-17
Throughout the length of your motorcycle insurance coverage, there is a good chance you will need to file at least one claim; this is almost unavoidable. But many motorcycle owners don't fully understand the process of filing a claim, or the various terms involved in the claims process. One such term is competitive estimate. Insurance companies ask motorcycle owners to get competitive estimates from several mechanics or body shops in order to assess a fair value for a certain claim, and to prevent collusion between the motorcycle owner and a particular car repair shop.
If you're asked to get a competitive estimate, you may need to visit two or three additional mechanics before getting your bike repaired after an accident. Your insurance provider will use the estimates to deliver a judgment on your claim. In many cases, this means a payout, which is an average of the estimates gathered, or simply the lowest estimate that you could find. The insurance laws in your state will dictate your insurance provider's abilities here, but the good news is your insurance payout should be sufficient enough to cover the full costs of repair for an accident if you have reasonable comprehensive insurance coverage with a low deductible.
Sometimes, your motorcycle insurance company will ask you to visit a particular repair shop to get an estimate before they make a judgment on your claim. In many states, insurance providers cannot force you to use a certain repair shop, but as insurance companies often negotiate well with certain mechanics, they recommend these shops because they know they'll be able to get a low repair cost. It's important to realize you have the ultimate say in who works on your motorcycle. If you don't trust a certain mechanic or shop, don't use them as part of your competitive estimate, no matter what the insurance company says. If you get a competitive estimate for the repair of your bike and this results in several different explanations of what's broken (and how to fix it), you should get a third estimate. Generally speaking, it's best to trust the consensus on these sorts of issues.
Every motorcycle owner should know his or her rights when heading into a claim, especially after a major accident. Competitive estimates are nothing to be afraid of, but knowing how they relate to your motorcycle insurance coverage is very important. Keep records of every estimate you receive; and gather estimates as quickly as possible. This will help you to keep your claim moving, and you'll receive a payout from your insurance company quicker.