UK Car Accident Mistakes

As an FCA-authorised expert broker that has helped arrange over 900,000 policies, WeCovr understands that a car accident is a stressful, disorienting experience. In the chaotic moments that follow a collision, it's easy to make critical errors. This guide details the seven most common mistakes UK drivers make after an accident, which can invalidate your motor insurance claim and leave you facing thousands of pounds in unexpected costs.

UK Car Accident Mistakes

The aftermath of a road traffic collision is fraught with potential pitfalls. What you say, what you do, and what you fail to do can have profound legal and financial consequences. Understanding these common errors is the first step towards protecting yourself, your finances, and your driving future.

Understanding Your UK Motor Insurance Policy: A Quick Refresher

Before we delve into the mistakes, it's essential to understand the foundation of your cover. In the United Kingdom, it is a legal requirement under the Road Traffic Act 1988 to have at least third-party motor insurance for any vehicle used on public roads.

Driving without valid insurance can lead to severe penalties, including a fixed penalty of £300 and 6 penalty points on your licence. If the case goes to court, you could face an unlimited fine and disqualification from driving.

There are three primary levels of car insurance cover:

1. Third-Party Only (TPO): This is the minimum legal requirement. It covers injury or damage you cause to other people (third parties), their vehicles, or their property. It does not cover any damage to your own vehicle or your own injuries.
2. Third-Party, Fire and Theft (TPFT): This includes everything in TPO, plus it covers your vehicle if it's stolen or damaged by fire.
3. Comprehensive: This is the highest level of cover. It includes everything in TPFT, and it also covers damage to your own vehicle, even if the accident was your fault. It often includes other benefits like windscreen cover and personal accident cover.

UK Car Insurance Levels Compared

Business and Fleet Insurance: For businesses, the obligations are similar but more complex. A fleet insurance policy covers all company vehicles under a single policy, while business car insurance is needed if you use your personal car for work beyond commuting. Failing to have the correct business use cover can invalidate a claim entirely.

Now, let's explore the seven critical mistakes.

Mistake 1: Leaving the Scene or Failing to Stop

This is arguably the most serious error a driver can make, with both legal and insurance ramifications.

The Law: Section 170 of the Road Traffic Act 1988 legally obliges you to stop if you are involved in an accident that causes injury to any person or animal, or damage to another vehicle or property. You must remain at the scene for a reasonable period.

What this means:

• You must stop your vehicle as soon as it is safe to do so.
• You must provide your name, address, and vehicle registration number to anyone with reasonable grounds to request it (e.g., the other driver, a police officer).
• If you don't exchange details at the scene (for example, if you hit a parked car and the owner isn't present), you must report the accident to the police as soon as possible, and in any case, within 24 hours.

The Insurance Impact: Fleeing the scene is a material breach of your motor policy. Your insurer can—and very likely will—refuse to cover your costs. If they are legally obligated to pay out to a third party, they will almost certainly pursue you to recover every penny of that cost.

Real-Life Example: A driver in Manchester clipped the wing mirror of a parked car late at night. Panicking, they drove off. A neighbour's doorbell camera caught their registration plate. When the police contacted them, not only did they face a charge of 'failing to stop', but their insurer also voided their policy for the breach, leaving them to pay for the third party's repairs out of their own pocket, which amounted to over £800 for a modern, sensor-equipped mirror.

What to do instead:

• Stop: Pull over safely.
• Switch off: Turn off your engine and turn on your hazard lights.
• Assess: Check for injuries to yourself, your passengers, and others involved.

Mistake 2: Admitting Liability at the Scene

In the heat of the moment, with adrenaline pumping, it’s a natural human reaction to apologise. However, at the scene of an accident, saying "I'm so sorry, it was all my fault" can be a catastrophic mistake.

Why it's a problem: Determining liability (who is legally at fault) is a complex process that involves analysing evidence, road laws, and circumstances. It is the job of your insurer and, if necessary, the courts to decide this—not you.

When you admit fault, you are essentially accepting 100% of the blame. This undermines your insurer's ability to negotiate or defend the claim. Almost every motor insurance policy in the UK contains a clause explicitly forbidding the policyholder from admitting liability.

Phrases to Avoid:

• "It was my fault."
• "I'm sorry, I didn't see you."
• "Don't worry, my insurance will pay for everything."

What to say instead:

• Focus on safety and information exchange.
• "Are you and your passengers okay?"
• "Let's move to a safe place to exchange details."
• "Let's take some photos of the scene."

By admitting fault, you breach your contract with your insurer. This gives them grounds to refuse your claim or, again, settle with the third party and then recover the costs directly from you.

Mistake 3: Not Gathering Enough Evidence (or Any at All)

After ensuring everyone is safe, your next priority is to become a meticulous evidence gatherer. The quality and quantity of the evidence you collect can be the difference between a successful claim and a "he-said, she-said" dispute that goes against you.

Your insurer was not at the scene. They rely entirely on the information you and the other party provide to build a picture of what happened.

Your Essential Accident Evidence Checklist:

1. Photographs and Videos:

   • Wide-angle shots: Capture the entire scene, including road markings, traffic signs, and the final positions of the vehicles.
   • Close-ups: Photograph the damage to all vehicles involved from multiple angles.
   • Road Conditions: Note any skid marks, debris on the road, or weather conditions (e.g., wet surface, ice).
   • The Other Vehicle's Details: Take a clear photo of the other car's registration plate.

2. Information Exchange:

   • Use your phone to note down the other driver's full name, address, phone number, and email.
   • Crucially, ask for their insurance company and policy number.
   • Note the make, model, colour, and registration number of their vehicle.

3. Witnesses:

   • Independent witnesses are invaluable. If anyone saw the accident, politely ask for their name and contact number. Their account can be decisive.

4. Dashcam Footage:

   • If you have a dashcam, save the footage immediately. This is often the most compelling evidence you can have. Inform your insurer you have it.

5. Location, Date, and Time:

   • Be precise. Note the road name, town, and any nearby landmarks or junctions. Record the exact time and date.

6. Police Details:

   • If the police attend, get the name and badge number of the officer(s) and the police reference number for the incident.

Information to Collect at the Scene

Mistake 4: Delaying or Failing to Report the Accident to Your Insurer

This is a common and costly misunderstanding. Many drivers believe that if the damage is minor or if they agree with the other driver to handle it privately without involving insurance, they don't need to tell their insurer. This is incorrect.

The contractual obligation: Your motor insurance UK policy is a contract. A key condition of that contract is that you must report any accident, regardless of fault and regardless of whether you intend to make a claim.

Why Insurers Insist on This:

• Early Investigation: It gives them the chance to investigate while evidence is fresh.
• Cost Control: A third party could later submit a hugely inflated claim for personal injury or damage. If your insurer is unaware of the incident, their ability to defend against it is severely weakened.
• Fraud Prevention: It helps them identify patterns and potential fraudulent claims.

Most policies state that you must report an incident within a "reasonable time," which is often interpreted as 24 to 48 hours. Check your policy documents for the exact requirement. Failing to report an accident is a breach of policy conditions and can lead to your claim being rejected or your policy being cancelled.

A WeCovr client once had a minor car park bump. They agreed with the other driver to get a quote and settle it in cash. A month later, they received a letter from the other driver's solicitor claiming for significant whiplash injuries. Because our client hadn't reported the initial incident, their insurer was initially hesitant to cover the claim. Fortunately, with our guidance, the situation was resolved, but it highlights the immense risk of not reporting.

Mistake 5: Authorising Unapproved Repairs or Incurring Costs

After an accident, your first instinct might be to take your car to your trusted local garage for a repair quote. Be very careful.

The "Approved Repairer" Network: Most major insurers operate a network of approved garages. When you make a claim, they will direct you to one of these repairers.

There are several reasons for this:

• Cost Management: Insurers negotiate preferential rates for parts and labour with these garages.
• Quality Control: Approved repairers must meet certain standards, and their work is often guaranteed.
• Efficiency: The process is streamlined, with billing and authorisation handled directly between the garage and the insurer.

If you go to your own garage without your insurer's explicit permission, you run the risk that:

• The insurer will deem the quote too expensive and only agree to pay a portion of the bill.
• The insurer may dispute the necessity of certain repairs or the use of non-standard parts.
• You will have to pay the garage yourself and then try to claim the money back, which can be a slow and difficult process.

The Courtesy Car Link: Access to a courtesy car is also often tied to using an approved repairer. If you choose your own garage, you may lose this benefit.

The Rule: Always report the claim first. Wait for your insurer to assess the damage (either remotely via photos or by sending an engineer) and give you instructions before authorising any work.

Mistake 6: Being Dishonest or Exaggerating Your Claim

Tempting as it may be to add pre-existing scratches to the repair list or exaggerate the severity of a whiplash injury, insurance fraud is a serious crime with severe consequences.

Insurers invest heavily in fraud detection. According to the Association of British Insurers (ABI), the industry uncovers thousands of dishonest claims every year, with the value of this detected fraud running into the hundreds of millions.

What constitutes fraud?

• Exaggeration: Claiming an injury is worse than it is to get a larger payout.
• Pre-existing Damage: Claiming for damage that was on your car before the accident.
• Fictitious Passengers: Inventing passengers who were "injured" in the crash.
• Contrived Accidents: Deliberately causing an accident, such as a "crash for cash" scam.

The Consequences:

• Claim Rejected & Policy Voided: Your entire claim will be thrown out, and your insurance policy cancelled.
• Insurance Fraud Register (IFR): Your name will be added to this database, which is shared among insurers. This will make it extremely difficult and expensive to get any type of insurance in the future.
• Criminal Record: You can be prosecuted for fraud, leading to a criminal record, fines, or even a prison sentence.

The message is simple: be completely honest and transparent with your insurer.

Mistake 7: Misunderstanding Key Policy Terms

A lack of understanding about the core components of your policy can lead to nasty financial surprises when you claim.

1. Your Excess: The excess is the amount of money you have to pay towards a claim. It's made up of two parts:

• Compulsory Excess: Set by the insurer.
• Voluntary Excess: An amount you agree to pay on top of the compulsory excess to lower your premium.

Example: If your compulsory excess is £250 and you chose a voluntary excess of £200, your total excess is £450. If you make a fault claim for £2,000 of damage, you will pay the first £450, and your insurer will pay the remaining £1,550.

2. Your No-Claims Bonus (NCB): Also known as a No-Claims Discount (NCD), this is a significant discount you earn for each year you drive without making a claim. It can be worth up to 60-70% off your premium after five or more years.

• Making a Fault Claim: If you make a claim that is deemed your fault, you will typically lose two years of your NCB. For example, if you have five years of NCB, it will be reduced to three years at your next renewal, increasing your premium.
• Protected No-Claims Bonus: This is an optional extra you can buy. It allows you to make one or two claims within a certain period without your NCB being affected. Note that while your discount is protected, your overall premium can still rise after an accident because your risk profile has changed.

3. Optional Extras: These add-ons tailor your policy to your needs but can cause confusion if you don't know what they cover.

Understanding these elements is crucial. As expert brokers, WeCovr can walk you through these options to ensure you have the right level of cover without paying for extras you don't need. We can also provide discounts on other products, like life insurance, when you purchase a motor policy through us.

The Financial Aftermath: How a Claim Impacts Your Future Premiums

It's a common belief that only 'fault' claims increase your premium. While a fault claim will certainly have a larger impact, even a 'non-fault' claim can sometimes lead to a small increase. A non-fault claim is one where your insurer successfully recovers all costs from the at-fault party's insurer. However, industry data might suggest that people who are involved in one accident are statistically more likely to be involved in another, which can slightly adjust your risk profile.

The biggest impact comes from a fault claim and the loss of your No-Claims Bonus.

Hypothetical Premium Increase After a Fault Claim

Note: These figures are illustrative examples only.

This is why it's so important to shop around for your best car insurance provider at renewal, especially after a claim. An insurer who gave you the best price last year may no longer be competitive.

Navigating the complexities of motor insurance can be challenging, but you don't have to do it alone. By avoiding these seven critical mistakes, you can protect your claim and your finances.

For expert, no-obligation advice on your car, van, motorcycle, or fleet insurance needs, get in touch with WeCovr today. Our FCA-authorised team compares policies from a wide panel of UK insurers to find you the right cover at a competitive price.

[Get Your Free, No-Obligation Motor Insurance Quote from WeCovr Today]

Sources

• Department for Transport (DfT): Road safety and transport statistics.
• DVLA / DVSA: UK vehicle and driving regulatory guidance.
• Association of British Insurers (ABI): Motor insurance market and claims publications.
• Financial Conduct Authority (FCA): Insurance conduct and consumer information guidance.