Can You Switch Insurance Companies with an Open Claim?

You can switch insurance companies with an open claim, but doing so will not change which insurer handles and settles that claim.
Written by Bellina Gaskey
Reviewed by Carrie Adkins
You can switch car insurance companies while you have an open claim filed with your old one, and you don't need to worry about not getting your open claim settled.
  • Switching
    car insurance
    companies with an open claim won’t affect the responsibility of your current insurer to settle the claim.
  • It is important to be transparent with your new insurer about your current claim to avoid insurance fraud.
  • You cannot transfer your open claim to your new insurance company.
  • Finding a new car insurance company while you  have an open claim can be a challenge, but the insurance experts at
    can help.

What you need to know about switching insurance companies with an open claim

When you switch car insurance in the middle of a claim, your old insurer will still settle your claim, which will either end in compensation or a rejection of your claim. Your choice to switch insurance companies will have no effect on the outcome of your claim—the claim would only be rejected if you didn't have the correct coverage, if your claim was fraudulent, or something similar.
You will need to make sure you're open with your new insurance company about your current claim. If you're not transparent about your claims history with your new insurance provider, it could be considered insurance fraud. 
The bottom line: Make sure you communicate with both insurers and keep them updated on the process of switching companies.
You also need to keep in communication to ensure you don't have a
lapse in coverage
, which can raise your rates even more. Make sure that your new policy will start on the same day your old auto insurance policy ends.

Your old insurance company will still handle your open claim

You cannot transfer your open claim to your new insurer when you switch. Your open claim will need to be settled by your previous insurer, even once you've switched. 
Think about it this way: Your new insurer wasn't the company who insured you when you had to file the claim, so they shouldn't be the ones responsible for paying out.
MORE: The 5 main reasons a car accident insurance claim is denied

Reasons to switch companies with an open claim

A common reason people want to switch companies with an open claim is that auto insurance companies may take too long handling the claim, or the customer feels they are being unfairly treated during the claims processes.
If you're not satisfied with the claims process, it's in your right to
switch insurance companies
However, don't change insurers just because you want a different company handling your current claim. Except in very special circumstances, a new insurance company is not going to take the financial burden of their competition.
"Double-claiming," as it's called, is a recipe for disaster. Attempting to file the same claim with multiple insurers constitutes fraud in the Criminal Code.

Avoid a lapse in coverage

Just because past claims are going to be safely handled doesn't mean you suddenly have no use for insurance coverage in the present. You shouldn't cancel out of your car insurance policy prematurely, as this could result in a lapse in coverage that can result in significantly higher rates.
In certain states with an insurance mandate, the current insurance company may need proof that you've established coverage with a new provider before they're allowed to let you cancel your current policy. 

How an open claim affects your premiums with a new insurer

Insurance companies will adjust your premium based on your past claims. If you've recently needed to file a claim for an at-fault accident, you're considered
a riskier driver
, and
your insurance premium will rise
, with or without a new insurer.
If you have an at-fault accident on your driving record, your new auto insurance company will take that into account when calculating your car insurance rates. Any driver who's at fault in an accident is a riskier driver to insure, and should expect rate increases and higher premiums.
MORE: How often can you switch car insurance?

Ensure you get the best rates when switching providers with an open claim

If you feel you're being treated unfairly, the claims process is taking too long, or you’re just looking for a lower rate it's your right to switch insurance companies. And if you want help finding a new one, you can reach out to insurance agents to do your own shopping, or
can help.
The Jerry app can collect car insurance quotes from over 55 of the best car insurance companies, like Travelers, Nationwide, and Progressive, in seconds! They even help cancel your old policy once you’ve made your pick.
The savings keep coming even after Jerry finds you great insurance at the lowest price. Before every policy renewal period, you’ll be presented with new competitive quotes, which means you’ll always have the cheapest car insurance without sacrificing coverage options or quality. 
If you want to switch policies, that’s fine! Jerry’s insurance experts can help cancel your old policy.
“Amazing! I’ll admit, I’m young with 2 accidents. This spiked my insurance rates and every quote I found.
, though, helped me find affordable insurance. It truly helped me!” —Marcus F.
Compare auto insurance policies
No spam or unwanted phone calls · No long forms
Find insurance savings
Are you overpaying for car insurance?
Compare quotes and find out in 45 seconds.
Try Jerry

Easiest way to compare and buy car insurance

No long forms
No spam or unwanted phone calls
Quotes from top insurance companies
Find insurance savings