This article provides general educational information only and does not constitute legal or medical advice. Laws, insurance practices, and individual circumstances vary by jurisdiction. Readers should consult licensed medical or legal professionals for guidance specific to their situation.

It’s more common than people realize. Two drivers collide, and afterward, each one believes the other caused the crash. When both drivers claim they were not at fault, the insurance process doesn’t simply stall — but it does become more investigative and sometimes more complicated.

If you’re in this situation, here’s what typically happens, how insurance companies decide fault, and what outcomes you can expect.

Step 1: The Insurance Investigation Begins

When both drivers deny responsibility, insurance companies conduct their own independent investigations. Each driver’s insurer will typically:

• Review police reports

• Examine photographs of vehicle damage

• Analyze the accident scene (if documented)

• Collect statements from both drivers

• Contact witnesses (if any)

• Review dashcam or surveillance footage

• Assess vehicle damage patterns

Adjusters are trained to compare physical evidence with driver statements. For example, the location of impact, skid marks, and airbag deployment can sometimes clarify what happened.

This investigative phase can take anywhere from several days to several weeks depending on complexity.

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Step 2: Fault Determination Is Made Separately

Each insurance company makes its own fault determination based on the evidence it gathers.

That means it’s possible for:

• Driver A’s insurer to decide Driver B is 100% at fault

• Driver B’s insurer to decide Driver A is 100% at fault

When this happens, the claim may temporarily reach a standstill because both insurers disagree.

Comparative Fault Rules Matter

The outcome also depends on your state’s negligence laws. There are three common systems in the United States:

1. Pure Comparative Negligence

Each driver can recover damages even if partially at fault. Compensation is reduced by their percentage of fault.

Example: If you are found 30% at fault, you may recover 70% of your damages.

2. Modified Comparative Negligence

You can recover damages only if you are less than a certain percentage at fault (often 50% or 51%).

If you are found equally or more responsible than the other driver, you may not recover compensation.

3. Contributory Negligence

In a few states, if you are even slightly at fault, you may be barred from recovering damages entirely.

The state where the accident occurred significantly affects how a dispute is resolved.

Step 3: Inter-Company Arbitration

If both insurers disagree on fault, many companies use a process called arbitration.

This is not a courtroom proceeding. Instead:

• Insurance companies present evidence to a neutral third party.

• The arbitrator reviews documentation.

• A binding fault decision may be issued.

This process typically occurs between insurers and does not require the drivers to attend.

Arbitration helps resolve disputes without going to court.

What Happens to Your Repairs During the Dispute?

If fault is unclear and you have collision coverage under your own policy, you can:

• File a claim with your own insurer.

• Pay your deductible.

• Get your vehicle repaired.

Your insurer may later attempt to recover costs from the other driver’s insurer through a process called subrogation.

If your insurer successfully recovers payment, your deductible may be reimbursed.

If you do not carry collision coverage, you may have to wait until liability is resolved before repairs are paid by the other driver’s insurance.

What If There Are No Witnesses or Police Reports?

When evidence is limited, fault decisions may rely heavily on:

• Damage location on vehicles

• Consistency of statements

• Roadway laws (right-of-way rules)

• Traffic signal patterns

If evidence is evenly balanced, insurers may assign shared fault percentages.

In some cases, claims are effectively denied by both insurers if neither accepts liability.

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What If Injuries Are Involved?

If injuries are part of the claim, the dispute can extend longer.

Insurance companies may:

• Review medical records

• Evaluate timing of treatment

• Consider severity of injuries

• Assess consistency with accident mechanics

In fault-based states, bodily injury claims depend on liability determination.

In no-fault states, your own insurance may pay initial medical costs regardless of fault.

Can Both Drivers Be Found Partially at Fault?

Yes. Shared fault findings are common.

For example:

• One driver may have failed to yield.

• The other may have been speeding.

In these situations, fault might be divided 60/40 or 50/50 depending on the evidence.

The financial outcome depends on your state’s comparative negligence rules.

What If No Agreement Is Reached?

If insurers cannot resolve the dispute through investigation or arbitration, your options may include:

• Accepting partial fault determination

• Negotiating settlement

• Filing a lawsuit

If litigation occurs, a judge or jury ultimately determines fault.

However, many disputes are resolved before reaching that stage.

How Long Does It Take to Resolve?

When both drivers claim no fault, the timeline often extends beyond standard claims.

Simple disputes may resolve within a few weeks. More complex cases can take several months, particularly if:

• Injuries are involved

• Arbitration is required

• Legal action is initiated

The lack of clear evidence is usually what prolongs the process.

Practical Steps If You’re in This Situation

If you are involved in a disputed-fault accident:

• Provide clear, factual statements to your insurer.

• Submit photographs of the scene and vehicle damage.

• Provide witness contact information if available.

• Obtain a copy of the police report.

• Respond promptly to adjuster requests.

Avoid speculating about fault — stick to observable facts.

Common Misunderstandings

“If We Both Say It’s Not Our Fault, The Claims Are Automatically Denied.”

Not necessarily. Insurance companies investigate and assign fault based on evidence, not just statements.

“The Police Report Automatically Decides Fault.”

Police reports are influential but not legally binding on insurers. Adjusters conduct their own evaluation.

“If It’s 50/50, No One Gets Paid.”

In many comparative negligence states, drivers can still recover partial damages even with shared fault.

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Final Thoughts

When both drivers claim no fault, the insurance process becomes more investigative — but it does not automatically collapse.

Insurers review evidence, determine fault percentages, and may use arbitration to resolve disputes. Outcomes depend heavily on available documentation and state negligence laws.

While the process can take longer, most disputed claims are eventually resolved through negotiation or arbitration rather than court.

If you’re facing a fault dispute, staying organized, providing documentation promptly, and understanding your state’s fault rules can help you navigate the situation more confidently.