Following an accident, most insurers will hike your monthly premiums by a certain amount.
A car accident is never good news, but beyond the immediate issues it causes, it can also cause your auto insurance premiums to rise.
Unfortunately, there’s no fast and solid answer to tell a driver precisely how much more they will pay for auto insurance after an accident. There are many different factors that are taken into consideration, including the individual’s state of residence, the severity of the accident, their driving record, and even the motorist’s history of filing claims.
It’s important to note that while most drivers expect their premiums to rise if they are at fault, sometimes rates will rise even if they are not at fault. This frequently comes as a surprise to drivers, but it is important for them to know. The main exception to this occurrence is if the driver has accident forgiveness coverage. In those cases, the premium might stay where it was, depending on the specifics of the policy.
An auto insurance agent can help to make sure a driver pays as little as possible after an accident.
Although an agent can’t change whether an insurer hikes rates following an accident, they can be an invaluable resource when the renewal date of a policy approaches. They can help you to better understand the coverage you have, what you need, and whether your current insurer offers you the best price for that coverage.
Though there are indeed many factors that are applied to the auto insurance rate changes following a crash, as mentioned above, it’s also important to know that not all insurers calculate those rates in the same way. As a result, it is worth a driver’s while to comparison shop for coverage following a crash so that they can be sure they are paying the least for the coverage they require.
An agent will also be able to help to further lower auto insurance rates after an accident by applying certain other techniques that can bring in discounts. For instance, bundling policies – such as home and auto – can help to provide meaningful discounts on both types of coverage. Covering multiple cars with the same insurer can do the same thing. In some states, taking a qualified defensive driver course will earn you another discount. These are only a few of a much longer list of opportunities that an agent can help a driver to identify in order to save money.