Everyone knows that it can be extremely difficult to work with an insurance company after an accident. Sometimes, it feels as if you and the insurance provider are speaking two different languages. Often times, insurance companies will use certain “tricks of the trade” to avoid paying your claim. The tricks seem simple enough, but can end up costing you a large amount of money.

One such trick insurance companies use is confusing their customers. Insurance policies are written in incredibly difficult and dense language. Unless you are familiar with difficult legal and insurance jargon, these policies are nearly impossible to interpret. The South Carolina State Supreme Court said it best: “Insurers generally are attempting o convince the customer when selling the policy that everything is covered and convince the court when a claim is made that nothing is covered.”

In an effort to aid consumers, lawmakers have passed “plain English” laws that require contracts to be written more simplistically. However, many Americans are still not fully aware of the intricacies of their insurance policies and contracts. Insurance companies still use obscure language in their contracts to confuse their clients.

Another trick in the insurance companies’ arsenal is using your credit score against you. Your credit history can have a harsh effect on your premium costs. Sometimes, your score can even prevent you from qualifying for any insurance at all. This can hurt many people, even those who are fiscally responsible. For example, many people pay all their bills on time but do not have extensive credit records. Those who have not borrowed much money over the years may have lower credit scores by no fault of their own. Yet insurance companies may use this as an excuse to demand higher premiums.

Using credit scores as a measuring tool can be detrimental to many. Some people find themselves in financial straits from time to time. Insurance companies use these rocky times in a person’s financial history to justify increased premiums, assuming a poor credit score equates to a poor or irresponsible driver.

Another problem with this method is that credit scores can sometimes be unreliable. A recent study found that 79% of credit scores contain errors. The same study reported 25% of those errors were very serious. Also, relying on credit scores to determine premiums is disadvantageous to the poor and to minorities, many of whom do not have enough of a credit history to create a credit score.

These tactics insurance industries use can be harmful to the average consumer. Make sure you are not caught unaware by your insurance provider.

Kenneth L. Christensen founded The Christensen Law Firm, PLLC, a personal injury law firm in Salt Lake City, Utah. He specializes in car accident, dog bites, wrongful death and serious injury cases. Learn more about Mr. Christensen at http://www.utahpersonalinjurylawfirm.com and http://www.utahaccidentlawfirm.com . You can also read his blog at http://www.utahpersonalinjurylawfirmblog.com

Picture this. You’ve had the same car insurance company for years. You’ve never had an accident. You’ve never even had a speeding ticket! Your car is number one on the safety ratings and you’ve added some extra security features to make sure it stays that way. There isn’t a discount that you don’t qualify for, and you’ve never had to file a car insurance claim in your life.

In other words, you’re the insurance agent’s best friend!

Then, one day, you just happen to be in the wrong place at the wrong time. You’re driving down I-95 in the middle of the pouring rain, following just a little bit too closely since the guy in front of you has no idea how to drive in the rain and has slowed down to a crawl, when suddenly he hits his brakes. You hit yours, but there’s not enough time. You go sliding into his back bumper.

Just a fender bender, right? Not exactly. That fender bender can cause your car insurance rates to go up by 40% or more, even if it’s the first accident you’ve had in 30 years! That’s why it’s important to know who to talk to about accident forgiveness.

First and foremost, let’s take a quick look at what accident forgiveness is-and what it isn’t. See, with the number of car insurance companies currently doing business in the United States and competing for the same client pool, insurers have to come up with something new and exciting to lure in new business. Accident forgiveness takes them out of the “traditional” viewpoint of the money grubbing insurance agency and places them firmly in the business of handing out second chances.

When your accident is “forgiven” it won’t impact your rates (or if it does, it definitely won’t be by 40%); however, forgiven doesn’t mean forgotten. You’re still going to carry that black madgrk on your driving record, which may impact your car insurance rates if you decide to switch insurance carriers, and while you may get a second chance you’re unlikely to get a third. Remember to slow down in the rain!

Accident forgiveness is usually exclusively reserved for drivers with a five year good driver record, so if this isn’t your first rodeo you probably aren’t going to be able to do much about it. Some companies also ask that you maintain your policy for at least three months before cashing in on your accident forgiveness (esp. if it’s not a standard part of their coverage policy but, rather, something you’re paying for out of pocket). If you’re not sure where your eligibility for accident insurance is, make sure you talk to your car insurance agent as soon as possible.

Accident forgiveness can be the answer to your prayers when you’ve been in an accident, especially if it’s your first. Take five minutes out of your busy day to find out where you stand. Remember, you have nothing to lose and everything to win.

Tony Peck is the Senior Project Manager for QuoteScout.com. For more information on accident forgiveness and your car insurance, visit them on the web at http://www.QuoteScout.com.