Will My Insurance Go Up If I'm In An Accident That’s Not My Fault?
One of the first concerns that Southwest Floridians have after they are involved in an accident is "will my insurance go up?" It's a common concern for drivers, especially in states like Florida where auto insurance premiums are already significantly higher than other states. Understanding how being involved in an accident that is not your fault affects your insurance premiums is not a straightforward process.
The reality is that you really don’t have a lot of control over what your insurance company is going to do with your rates after an accident. When you are in the middle of a policy period, your insurance company cannot change your rates. An insurance policy period is the length of time that an insurance policy is active and valid, also known as the “policy term” or “coverage period.” The policy period is the time between the policy's effective date and expiration date. You will generally notice a rate increase when your policy renews, which is at the end of your policy period.
In this article, we will explore the factors that influence your insurance rates after an accident. You'll learn about how insurance companies assess claims, and steps you can take to avoid rate increases. We will also discuss why your rates might go up even if you're not at fault and what to do if your insurance company raises your rates after an accident.
.How fault is determined in car accidents
To determine fault in a car accident, insurance companies consider various factors. They review police reports, witness statements, and accounts from the parties involved. Photos of vehicle damage and state traffic laws also play a role. In some cases, fault may be shared between drivers, known as comparative fault or shared liability. The process can be straightforward or complex, depending on the accident's details.
Impact of Accidents on Insurance Premiums
You might think your insurance rates won't change after an accident that you didn’t cause, but the reality can be more complex. Typically, you file a claim with the at-fault driver's insurance company. However, even if you're not responsible for the accident, your rates could still be affected depending on your insurer.
In Florida, you are required to use your own coverage regardless of who is at fault, which could impact your rates. If you are involved in an accident that you did not cause and you are injured, you are required to use your Personal Injury Protection “PIP”, which pays $10,000.00 towards your medical treatment. Because of this, your auto insurance is typically always utilized if you are injured in an accident, regardless of who caused it.
Other Factors that may still lead to rate increases
Despite not being at fault, several factors could still lead to rate increases:
- Previous driving record
- History of multiple claims
- Severity of the accident
Insurance companies may or may not view not-at-fault accidents as an indicator of higher risk for future incidents. The costs associated with the accident, including property damage, medical expenses, and lost wages, can influence potential rate changes.
It's important to understand your insurer's policies regarding no-fault accidents. While some companies, like USAA, typically don't increase rates after a no-fault accident, others may apply surcharges for three to five years following the incident.
Exceptions When Rates May Increase After a Accident
While you might expect your insurance rates to remain stable after an accident, there are situations where they could still increase. Understanding these exceptions can help you navigate the complex world of auto insurance.
Multiple Accidents in a short period
Even if you're not at fault, having multiple accidents within a short time frame can impact your rates. Insurance companies often view this as an indicator of higher risk. Typically, filing two or more claims within a three-year period is considered high frequency. This perception of increased risk can lead to higher premiums, regardless of fault.
Claims history and its impact
Your overall claims history plays a significant role in determining your insurance rates. Factors like your driving record, previous claims, and the severity of accidents are all taken into account. If you're deemed a higher risk due to your claims history, your premiums could increase. This is because statistically, drivers involved in accidents are more likely to be involved in future traffic violations.
Insurance company policies regarding rates and accidents
Different insurance companies have varying policies regarding no-fault accidents. Some insurance companies will not increase rates after an accident. While some, like USAA, typically don't increase rates after a no-fault accident, others may apply surcharges. These surcharges can last for three to five years following the incident. It's crucial to understand your insurer's specific policies, as they have the discretion to raise rates following a no-fault claim, although the increase is generally less than if you were at fault.
If you are involved in an accident, you want to be proactive to make sure that you protect yourself and ensure that you are not mistakenly blamed for the accident.
Steps to Take After an Accident
Documenting the accident scene
After an accident, your first priority is safety. Once you're in a safe place, start documenting the scene. Take numerous photos of vehicle damage, the accident location, and any visible injuries. Capture images from various angles, including close-ups and wide shots. Don't forget to photograph nearby traffic signs, road conditions, and weather. These details can be crucial for your insurance claim or potential legal proceedings.
Reporting to insurance and police
Contact the police immediately to file an official report. This document serves as an unbiased account of the incident and can strengthen your case. Without an accident report, you may get involved in a liability dispute if the other person involved in the accident misrepresents the facts when they report the claim to their insurance carrier. When speaking with law enforcement, stick to the facts and avoid admitting fault.
Next, inform your insurance company about the accident as soon as possible. Provide them with only the necessary details, but be cautious about giving recorded statements without legal advice. You will need your insurance company to set up a PIP claim if you are injured and need to seek medical treatment.
Seeking legal advice if necessary
If you're facing challenges with your insurance claim or if there are disputes about fault, consider consulting an experienced attorney. At Pittman Law Firm P.L., we can help you navigate the complex legal process, protect your rights, and help you secure fair compensation. In addition, Pittman Law Firm, P.L. can provide the guidance you need to handle your car accident case effectively.
Conclusion
If you are injured in an accident that is not your fault and you sustain injuries, you do not want to be stuck with unpaid medical bills and expenses. Your priority should be obtaining the medical treatment you need to resolve your injuries. If someone else caused your accident and you have significant injuries, you typically have the right to make a claim against their insurance company for your injuries, pain and suffering, unpaid medical expenses, and lost wages
If your insurance company makes the decision to raise your rates after an accident that you did not cause, you have the right to shop around to find another company. You may find that you can get more affordable rates and better service with a competitor. Don’t make the mistake of thinking that your insurance company is loyal to you, or that you owe them loyalty in return. It’s not personal. Insurance is a business where the companies make money collecting premiums and paying the least amount possible on claims.
There typically are many insurance companies that would be more than happy to provide you coverage if your company decides to raise your rates after an accident that you did not cause. We all spend a lot of money for insurance and hope we never have to use it. If you are “penalized” by your car insurance carrier after an accident, maybe they are not the “great neighbor” or as “on your side” as they claim to be.
If you have questions after being involved in an accident in Bonita Springs, Estero, Naples, Fort Myers, Cape Coral Fort Myers Beach, Naples Park, North Naples or anywhere in Southwest Florida, call Pittman Law Firm P.L. today for your free consultation.
The information on this website is for general information purposes only. Nothing on this site should be taken as legal advice for any individual case or situation. This information is not intended to create, and receipt or viewing does not constitute an attorney-client relationship.