Factors That Impact Insurance Claim Processing Time

Automotive insurance is one of those parts of modern life that you tend to forget about until you need it. When you’ve been in an auto accident or need to file a claim, your auto insurance suddenly becomes very important.

Automotive insurance

The insurance industry is competitive and many large companies offer good deals to get your business. If you’re like a lot of drivers, your carrier is going to be a well-known brand and the largest of these is State Farm. If you have State Farm as your insurance provider, you’re not alone as they are the largest provider of automotive insurance in the nation. When you’ve filed a claim how long does State Farm take to pay auto claims is an important question to ask.

There are several factors that affect how long it takes for your claim to be paid.

Factors That Effect Your Claim Processing Time

1. The Nature of the Accident

A factor that impacts the process is the nature of the accident itself. A simple claim such as damaging your bumper by backing into a light pole can be solved relatively quickly.

Simple claims have far fewer factors to take into consideration and are often just finding the right repair shop and paying for the work. However, a more complex claim can involve issues such as multiple cars, injuries, medical bills, and various insurance companies.

The more complex a claim, the longer the processing time.

2. The Adjuster and Investigation Time

Claim time can also be affected by the speed and availability of your adjuster. If your adjuster is very busy or overburdened with claims, this can slow down the processing time of your claim. Also, some claims require more research, such as the collection of police reports, statements from involved parties, and in some cases accident recreation.

The complexity of any needed research can further increase the claim turnaround time. Larger claims or those with multiple parties often necessitate more involved research before any claim is paid out.

3. Medical Treatment

When you or others have been hurt in an automobile accident, this adds additional insurance considerations to your claim. Medical care is a part of your automotive insurance policy. However, this can involve having to communicate with doctors and other medical professionals to ensure coverage is correctly applied and all needed treatments are provided.

In severe accidents, medical care can be a lifelong need and such claims are often very complex and require legal representation and legal settlement.

4. Natural Disasters

Finally, many insurance companies see claim rates spike during natural disasters such as winter storms, hurricanes, tornados, and other environmental hazards.

A lot of claims in the same general area can slow down the process. In addition, larger natural disasters can make an area unsafe for an adjuster to travel to, and claim research may be delayed until safety can be assured and local utilities (such as road access) are restored.

Final Thoughts

Automotive insurance claims are all different, and each claim has its own variables and factors that determine how long the claim takes to process.

While a more involved claim may take longer to settle when you’re involved in such an occurrence, and not at fault, you’ll want to be certain that everything is handled properly, and you receive the compensation you are owed. Also, if you’ve been involved in a severe accident, hiring legal representation may be the best option to ensure your needs are heard, and you get what you are due.


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