Can You Choose to Not Use Your Insurance Company in an Accident? Using your auto insurance coverage or informing your insurance company of an accident is not required in all events. Sometimes the cost of repairs may be so minor it does not warrant a risk to your insurance rate to report the incident. Other accidents may require reporting, and failure to do so in a timely manner may be violating the law. Mutual Driver Agreement o If you are involved in a minor auto accident, you and the other driver may decide to not inform either insurance company by not reporting the incident. This is a common decision where the damage to a vehicle is small and not likely to exceed an insurance deductible. Minor vehicle damage usually means the policyholder is responsible for paying repair costs whether the accident is reported or not. Obtain the other driver's insurance information just in case you change your mind and decide to report the accident. Police Involvement o If you are in an accident that incurs police involvement you have little choice in whether to involve your insurance company. Officers supervising the accident scene require your insurance information to fill out an accident report and to verify you are properly insured per state regulations. Once the police report is filed, your insurance company is notified about the accident. Whether you choose to have repairs on your vehicle is your decision, but your rates may go up as a result of the accident regardless of your choice. Injury Accidents o Using your insurance company when an auto accident results in an injury can provide you with an umbrella of protection to pay for medical care and provide legal counsel should you be sued for injuring another person. An injury accident without personal injury protection can cost you hundreds of thousands of dollars in medical bills and related expenses. You may also not have a choice with regard to informing your insurance company about the accident if the police are involved. Acts of God and Property Damage o If your vehicle is involved in an "act of God" type incident, like a tree falling on it, you may decide not to inform your insurance company of the accident. This can be the case as long as no one was injured and no other property was damaged. Your insurance company will find out if a tree branch falls on your vehicle and the car crashes into someone's living room as a result.