Find Out About Payment Recovery For Car Accidents

Payment Recovery: GEICO is on the Case

Bad drivers—you see them every day. The guy who's paying more attention to his cell phone than the road, the lady who cuts you off without looking, the teen who's fiddling with the radio dial.

You might not be able to avoid them, but you shouldn't have to pay for their bad driving. Through payment recovery, GEICO makes every effort to ensure you don't have to.

Let's say your vehicle is damaged due to another driver's negligence. Once GEICO settles your claim, we'll likely seek to recover your deductible, as well as the amount we paid, from the negligent party or that party's insurance company. In insurance lingo, this common process is known as payment recovery or subrogation.

How does payment recovery work?

When you have an accident, we will verify who is at fault. If the accident is the fault of the other driver, we will put a Payment Recovery Examiner on the case who will make sure that the other driver, or his or her insurance company, pays for the vehicle related damages. Plus, the examiner will keep you informed about the payment recovery process.

Your Payment Recovery Examiner will notify the negligent other party, or that party's insurance company that we're pursuing reimbursement on your behalf, and then he or she will follow up again, and again, and again–until you receive payment, or until all our efforts are completely exhausted.

In some situations, no matter how tenacious we are, we cannot recover the full amount we request. (Sometimes this happens because the other party involved disputes the cause of the accident or does not have insurance.) We can't guarantee recovery of your full deductible, but rest assured that we make every effort to get you the maximum possible reimbursement.

How long does it take?

Payment recovery usually takes about six months, but sometimes it happens faster, depending on the circumstances. (GEICO claims are like snowflakes–they're all unique.) Like most things in life, it works best when everyone plays nice and cooperates. If the other parties involved are uncooperative, recovery could take longer or we might not be able to recover anything at all.

No matter what happens, we can guarantee one thing: We will work as hard as possible, as long as possible on your behalf. When you work with GEICO, you've always got an ally.

How can I help speed the payment recovery process?

If you have an insurance claim in payment recovery, the most important thing to remember is this: Let us handle it!

You can help us out by following these guidelines:

  • Refer any inquiries from the other parties involved to the GEICO representative handling your claim.
  • Consult GEICO before making any statements or accepting any settlement offers. Not consulting us could jeopardize your claim.
  • Be prepared to submit a cancelled check, credit card statement, body shop invoice, or other proof that you paid your deductible. GEICO will contact you if the other insurance company requests this information.
  • Be prepared to submit a written or recorded statement about the facts of the accident. GEICO will contact you if the other insurance company requests this information.

Note: States have different rules regarding payment recovery, and some states do not allow payment recovery for some coverages. Check with the GEICO representative handling your claim if you would like more information.

This material is intended for general information only. It does not expand coverage beyond the policy contract. Please refer to your policy contract for any specific information or questions on applicability of coverage.