Why is my car insurance claim going to court?

Most car insurance claims are settled out of court, as they're usually straightforward. But sometimes, disputes over fault, liability or compensation mean court proceedings are necessary.

If your claim goes to court, it's normal to feel overwhelmed. But, don't worry, we're here to guide you. Below, we'll explain why a claim might end up in court. We'll also look at how settlements work, and where you can find the right legal support to navigate the process. Let's begin.

Why is my car insurance claim going to court?

This could be for a few reasons. We'll break them down for you below:

• To reach an agreement on compensation. If one or more parties get injured in a car accident, it's common for there to be disagreements about who should get compensation. Sometimes, cases might be taken to court if the injuries are particularly significant or life changing.
• If there's a dispute around liability. Oftentimes, knowing who's at fault is easy enough. If a driver drives into another car at a roundabout, for instance, it's clear who's to blame. But, in rare cases, there can be disagreements about who was in the wrong. For example, if there's different recollections or little to no evidence to back them up.

What happens when my claim goes to court?

If you get a court date, it's not a guarantee that your claim is actually going to go to trial. It's common for negotiations to continue between insurers or legal representatives. Usually, this means that the case gets settled before the hearing even begins!

If your insurer or legal representatives can't reach an agreement before this, the case will go to a hearing. Car insurance claims tend to be handled in a civil court, which doesn't have a jury, so you might not need to attend. Instead, the judge will review written evidence and make a decision.

But, for claims over £25,000, you'll likely need to attend in person and you might even be asked to give evidence. If this happens, you'll need a legal representative to advise you.

What legal advice is available for court appearances?

If you're due in court, there's a few options available to you when it comes to legal advice and representation. You can represent yourself if you want, but most people seek professional help to make sure they're fully prepared.

A legal adviser can guide you through the process, explain what to expect and advise on how to present your case. Sometimes, you might be able to access legal advice for free or at a reduced rate, depending on your circumstances.

In general, though, many people hire a solicitor to represent them. Solicitors can manage your case and advocate for you in court. But, keep in mind their services usually come at a cost. If you're unsure where to start, you can find more on getting legal aid on GOV.UK.

What happens if you lose a court case for a car accident?

If you lose a court case for a car accident, you won't get compensation for your injuries or damages. On top of that, you might have to pay the other side's legal costs, which can be expensive.

To protect yourself, you can take out an insurance policy for legal protection. One type of insurance is After the Event (ATE) , often set up with 'no win, no fee' agreements, can help cover legal costs if you lose. Your solicitor can explain how this works and whether it's right for your case.

Do insurance companies want to go to court?

Generally, no—they'd much rather avoid it.

Court cases can be expensive and time consuming, so insurance companies typically do all they can to settle before it gets to that stage. Like we've said, there's situations where an insurer might decide that going to court is necessary, such as multiple parties being injured. But, generally, insurers aim to resolve matters quickly without the need for a courtroom for most claims.

How long does it take to investigate a car insurance claim in the UK?

It depends on how complex the case is. Generally, insurance companies must acknowledge a car insurance claim within 21 days. After that, they have up to 3 months to investigate and decide on liability.

A straightforward claim, where one party is clearly at fault, could be resolved in a matter of weeks. But, for a more complicated claim, like one with multiple parties and injuries, it could take far longer. In rare cases, these disputes could even end up going to court.