Rising insurance premium costs can't be avoided but whenever you see that your car insurance premiums have gone up, you want to know why. As a car owner, after having an accident, your premiums are sure to go up. Certainly, there are things you can do to negotiate better rates, and maybe you need a new insurance carrier.
Once an accident risk, always an accident risk?
There are quite a few reasons why your car insurance premium can go up, and these include a history of violations or involvement in a collision. If you've been in any kind of a collision, and you were at fault, your premiums will go up, pretty much regardless.
Even those drivers not at fault for a crash will see an increase in their insurance premium. That's because there are those insurance providers who reckon that drivers who have been involved in an accident, whether their fault or not, are now looked upon as a risk for being involved in another accident later on.
As it is, those involved in an accident often don't report it to their insurer because they want to avoid their premiums going up.
Get help with car accident issues
Any victims of car accidents, whether your fault or no, have varying degrees of injuries, and they don't want to be threatened by huge medical bills and a rise in their premiums.
The car accident lawyers at Joe Stephens Law Firm have handled hundreds of cases, making sure that car accident victims get the right compensation for any damages they have suffered.
These attorneys understand all the difficulties faced by accident victims. They are committed to helping them win back some money in compensation, especially when they have the irritation of their car premiums going up.
Driving records influence premiums
There isn't such a thing as saying that an insurer can't increase your premiums when you aren't at fault. The Consumer Federation of America has conducted studies and found that some companies raise rates 10% or more for not-at-fault accidents.
Certainly, your driving record, as well as the fact that you were possibly at fault, will impact your premium. Car insurers always look at your driving record when calculating the cost of your car insurance policy. There are drivers who are considered higher risk and you can see this by looking at their driving history.
People like this are charged a higher premium. Even if you are looked upon as a safe, responsible driver, your insurer may re-evaluate your driving record and decide to raise your premium.
The insurers want your money
Say what you like, the insurance companies are always trying to get in more money and want to somehow get back the amounts they pay towards medical expenses into your account or the amounts they pay other drivers.
Whether your insurance premium increases after an accident may not even depend on whether you are found at fault or not. When you file a car insurance claim, an adjuster will assess the damage. Your insurance company will also review the police report and look at photos of the damage and raise the amount.
Accident forgiveness program
No fault-insurance coverage helps pay for your medical bills if you were injured in a car accident. If your insurer raises your premium after an at-fault accident, you could see the rate staying like that for about three years.
Some insurers offer what is known as an accident forgiveness program and then it means your insurance rate will likely not increase after an accident, even if you are found at fault. It's worth finding out if your policy has this.