While the first party is your provider, the third party is the other insurance company.
Table of ContentsIf you got into an accident that was not your fault, you will have to file a third-party claim to get your property damage and bodily injuries covered. However, depending on the state the accident was in, you may have to file a third-party claim for property damage only, as everyone pays for their own medical costs in no-fault states. Let’s learn more about third-party claims in car insurance and how they differ from first-party claims (i.e., claims with your own insurance provider).
A third-party insurance claim is a claim you file with someone else’s insurance provider when another driver hits you and the incident results in injuries, repairs, or replacement costs. You file a third-party claim so the other party’s insurer can reimburse you for car repairs, medical expenses, and any other transportation you’ll need while your car is being repaired.
The way third-party insurance claims work depends on whether you live in a liability vs. no-fault state. See how fault systems vary by state below.
| State | No-fault or at-fault state? |
|---|---|
| Alabama | At fault |
| Alaska | At fault |
| Arizona | At fault |
| Arkansas | No fault |
| California | At fault |
| Colorado | At fault |
| Connecticut | At fault |
| Delaware | No fault |
| District of Columbia | At fault |
| Florida | No fault |
| Georgia | At fault |
| Hawaii | No fault |
| Idaho | At fault |
| Illinois | At fault |
| Indiana | At fault |
| Iowa | At fault |
| Kansas | No fault |
| Kentucky | Optional |
| Louisiana | At fault |
| Maine | At fault |
| Maryland | At fault |
| Massachusetts | No fault |
| Michigan | At fault |
| Minnesota | No fault |
| Mississippi | At fault |
| Missouri | At fault |
| Montana | At fault |
| Nebraska | At fault |
| Nevada | At fault |
| New Hampshire | At fault |
| New Jersey | Optional |
| New Mexico | At fault |
| New York | No fault |
| North Carolina | At fault |
| North Dakota | No fault |
| Ohio | At fault |
| Oklahoma | At fault |
| Oregon | At fault |
| Pennsylvania | Optional |
| Rhode Island | At fault |
| South Carolina | At fault |
| South Dakota | At fault |
| Tennessee | At fault |
| Texas | No fault |
| Utah | No fault |
| Vermont | At fault |
| Virginia | At fault |
| Washington | At fault |
| West Virginia | At fault |
| Wisconsin | At fault |
| Wyoming | At fault |
In no-fault states, everyone files their medical coverage claims under personal injury protection, which also covers lost wages and child care. Still, the at-fault party pays for all of the property damage. In at-fault states, the at-fault party pays for both bodily injury and property damage costs.
There are two types of third-party claims you can file.
While no-fault states require personal injury protection (PIP), some at-fault states require medical coverage, which does not include coverage for lost wages or child care.
Here’s how to file a third-party claim:
| Car insurance companies | Mailing address | Website | Phone number | Email address or online form |
|---|---|---|---|---|
| 21st Century | P.O. Box 268994 |
Oklahoma City, OK 73126-8994
Medical/PIP documents involving FL, NJ, NY:
P.O. Box 268995
22651 Lambert St., Suite 102
118 Shawan Road, Suite 210
33 W. Monroe St., Suite 500
New Hampshire: 800-888-6050
1800 N. Point Drive
400 Skokie Blvd., Suite 105
6301 Owensmouth Ave.
Foremost – Box #915
c/o Citibank Lockbox Operations
8430 W. Bryn Mawr Ave., Third Floor
200 E Randolph St., Suite 3300
For California customers: 800-508-5833 (formerly Alliance United)
5 Crosby St., Third Floor
100 Liberty Way
1700 Greenbriar Lane
6301 Owensmouth Ave.
425 Market St., Suite 700
One Nationwide Plaza
6300 Wilson Mills Road
80 E. Rich St., Suite 500
Insurance Support Center – East
8501 Fallbrook Ave., Suite 225
9800 Fredericksburg Road
| State | Statute of limitations for property damage claims (in years) | Statute of limitations for personal injury claims (in years) |
|---|---|---|
| Alabama | 2 | 2 |
| Alaska | 2 | 2 |
| Arizona | 2 | 2 |
| Arkansas | 3 | 3 |
| California | 3 | 2 |
| Colorado | 3 | 3 |
| Connecticut | 2 | 2 |
| Delaware | 2 | 2 |
| District of Columbia | 3 | 3 |
| Florida | 4 | 4 |
| Georgia | 4 | 2 |
| Hawaii | 2 | 2 |
| Idaho | 3 | 2 |
| Illinois | 5 | 2 |
| Indiana | 2 | 2 |
| Iowa | 5 | 2 |
| Kansas | 2 | 2 |
| Kentucky | 2 | 1 |
| Louisiana | 1 | 1 |
| Maine | 6 | 6 |
| Maryland | 3 | 3 |
| Massachusetts | 3 | 3 |
| Michigan | 3 | 3 |
| Minnesota | 6 | 2 |
| Mississippi | 3 | 3 |
| Missouri | 5 | 5 |
| Montana | 2 | 3 |
| Nebraska | 4 | 4 |
| Nevada | 3 | 2 |
| New Hampshire | 3 | 3 |
| New Jersey | 6 | 6 |
| New Mexico | 4 | 3 |
| New York | 3 | 3 |
| North Carolina | 3 | 3 |
| North Dakota | 6 | 6 |
| Ohio | 4 | 4 |
| Oklahoma | 2 | 2 |
| Oregon | 6 | 2 |
| Pennsylvania | 2 | 2 |
| Rhode Island | 10 | 3 |
| South Carolina | 3 | 3 |
| South Dakota | 6 | 3 |
| Tennessee | 3 | 1 |
| Texas | 2 | 2 |
| Utah | 3 | 4 |
| Vermont | 3 | 3 |
| Virginia | 5 | 2 |
| Washington | 3 | 3 |
| West Virginia | 2 | 2 |
| Wisconsin | 6 | 3 |
| Wyoming | 4 | 4 4 |
There are pros and cons to filing a third-party claim vs. filing a claim with your own provider, also known as a first-party claim.
With uninsured or underinsured drivers, third-party claims work differently.
When dealing with people who drive without insurance, there’s no company you can contact to file a third-party claim. If you lack uninsured motorist coverage, you’ll need to subrogate the claim with the other driver directly to recover your lost funds.
Underinsured drivers are people who don’t have enough insurance to cover your damages. Either their liability limits are too low to cover your bills, or they’re less than your underinsured motorist coverage. If that’s the case, you would use your underinsured motorist coverage to pay for the gap between their limits and your bills. However, if you lack underinsured motorist coverage, you’ll have to file a claim with the third-party driver.
In our uninsured drivers research, we found that there were 29 million uninsured, licensed drivers in the U.S. in 2019. 4 5
If your third-party claim was denied, you can sue the other driver if you meet the monetary or serious injury threshold in your state.
| State | Monetary threshold | Serious injury threshold |
|---|---|---|
| Florida | None | Permanent injury |
Fracture of weight-bearing compound or bone
Comminuted, displaced, or compressed fracture of any bone
Fracture of weight-bearing compound or bone
Comminuted, displaced, or compressed fracture of any bone
Significant scarring or disfigurement
Loss of a fetus
Permanent limitation of use of a body member or organ
Significant limitation of a bodily system or function
Substantial permanent impairment
Note that the states not listed do not have thresholds for property damage/personal injury lawsuits. If you meet your state’s threshold or there is no threshold, find a lawyer using websites such as these:
If you are involved in an accident, follow these steps to keep everyone safe and collect the information you’ll need in your claim:
| State | When you’re required to file a police report | How long do you have to file a police report? | What happens if you don’t file a police report when you’re legally required to? |
|---|---|---|---|
| Alabama | Death, injury, or property damage worth over $500 due to an uninsured motorist | 30 days | Class A misdemeanor (up to $1,000 fine) for accidents resulting in property damages, Class C felony ($2,500-$6,000 fine) for accidents resulting in death or injury |
| Alaska | Death, injury, or property damage worth over $2,000 | 10 days | License suspension for up to 30 days; fine up to $200, imprisonment up to 90 days, or both |
| Arizona | No state law requiring the driver involved in an accident to file a police report | N/A | N/A |
| Arkansas | Death, injury, or property damage worth over $1,000 | Right away (death or injury) or 30 days (property damage) | License suspension |
| California | Death, injury, or property damage worth over $1,000 | 10 days | 90 days to 4 years in prison and/or $1,000-$10,000 fine, based on severity of accident |
| Colorado | Death, injury, or any property damage | 10 days | 10-90 days in jail, $150-$300 fine, or both |
| Connecticut | Death, injury, or property damage worth over $1,000 | 5 days | $75-$600 fine, imprisonment up to 1 year, or both; for subsequent offenses, $100-$1,000 fine, imprisonment up to 1 year, or both |
| Delaware | Death, injury, or property damage worth over $500 | Immediately | $25-$75 fine; for subsequent offenses, $57.50-$95 fine |
| Washington D.C. | N/A | N/A | N/A |
| Florida | Death or injury, property damage worth over $500 | As soon as possible | $30 fine |
| Georgia | Death, injury, or property damage worth over $500 | Immediately | 3 points on driving record |
| Hawaii | Death, injury, or property damage worth over $3,000 | Immediately | $100 fine |
| Idaho | Death, injury, or property damage worth over $1,500 | Immediately | Fines or license suspension |
| Illinois | Death, injury, or property damage worth over $1,500, or $500 if any vehicle is uninsured | 10 days | License suspension |
| Indiana | Death, injury, or property damage worth over $750 | Immediately | License and vehicle registration suspension |
| Iowa | Death, injury, or damage of $1,500 or more, unless police already investigated the accident | 3 days | License suspension |
| Kansas | Death, injury, or property damage worth over $1,500 | Immediately | License suspension, fine up to $500 |
| Kentucky | Death, injury, or property damage worth over $500 | 10 days | $20-$100 fine |
| Louisiana | N/A | N/A | N/A |
| Maine | Death, injury, or property damage worth over $1,000 | Immediately | Imprisonment for 6 months and $1,000 fine |
| Maryland | Death or injury | 15 days | 5 points and $140 fine |
| Massachusetts | Death, injury, or property damage worth over $1,000 | 5 days | License suspension |
| Michigan | Death, injury, or property damage worth over $1,000 | Immediately | Imprisonment up to 90 days, fine up to $100, or both |
| Minnesota | Death, injury, or property damage worth over $1,000 | 10 days | License suspension |
| Mississippi | Death, injury, or property damage worth over $500 | 10 days | License suspension |
| Missouri | Death, injury, or property damage worth over $500 | 5 days | License suspension, fine, or possible misdemeanor charge |
| Montana | Death, injury, or property damage worth over $1,000 | Immediately | Misdemeanor ($200-$300 fine or imprisonment for 20 days) |
| Nebraska | Death, injury, or property damage worth over $1,000 | 10 days | Class V misdemeanor (maximum fine of $100) |
| Nevada | All crashes | Immediately | Driving privileges suspension for up to 1 year |
| New Hampshire | Death, injury, or property damage worth over $1,000 | 5 days | Not required if the police file a report. If not, operators will be given a felony if the accident caused death or injury, and a misdemeanor if there was only property damage. |
| New Jersey | Death, injury, or property damage worth over $500 | Immediately | License suspension, $30-$100 fine |
| New Mexico | Death, injury, or property damage worth over $500 | Immediately | License suspension |
| New York | Death, injury, or property damage worth over $1,500 | 10 days | Fine up to $250, 15 days of imprisonment, or both |
| North Carolina | Death, injury, or property damage worth over $1,000 | Immediately | Up to $100 fine |
| North Dakota | Death, injury, or property damage worth over $1,000 (no report required for property damage only with an undomesticated animal) | Immediately | License suspension |
| Ohio | All crashes | Immediately | Up to $150 fine |
| Oklahoma | Death, injury, or property damage worth over $500 | Immediately (death or injury) or 6 months (property damage) | License suspension |
| Oregon | Injury or death (involved driver must call 911) |
More than $2,500 in damage to driver’s vehicle
More than $2,500 in damage to any vehicle
Any vehicle towed from the scene
If you have to file a third-party claim, familiarize yourself with the following car insurance definitions:
No matter what side of the third-party liability claim you find yourself on, the best way to avoid dealing with third-party claims altogether is to drive defensively. Avoid distracted driving like texting and driving and focus on the road. While it’s impossible to prevent all car accidents, remaining alert can greatly diminish your chances of being hit or hitting another car.
If you’re shopping for new insurance products and services, compare car insurance quotes and see if you can get a multi-policy discount by combining car insurance with home insurance or renters insurance. Your driving history will affect the cost of your insurance, as will any driver discount you are eligible for.
Read more about third-party claims below.
Yes, a third-party claim will affect your insurance. If the accident was your fault, your rates will go up. However, if the accident wasn’t your fault and your insurance company successfully files a third-party claim, your car insurance rates won’t go up.
A third-party insurance claim works by your insurance provider filing a claim with the insurance provider of the at-fault driver in an accident. If the claim is successful, the other insurance provider will cover your injury and property damage costs in at-fault states, or your property damages alone in no-fault states.
Here’s how to handle a third-party claim:
If someone claims you hit their car, here’s what you should do: