The best-case scenario regarding car insurance is that you never get into an accident. But this is unrealistic, as most people will be involved in a car accident at some point during their lifetime. When an accident occurs, however, your insurer will help you through the process — from the initial claim to settlement and, if your rate increases, you will typically find out about it when your policy renews.
Rates Don’t Always Go Up
Rates don’t always go up after an accident. Minor accidents and fender benders will not necessarily prompt a rate increase, especially if you have a clean driving record. If you weren’t at fault for the accident, your rate could stay the same. Some insurance policies offer something called “accident forgiveness,” which rewards safe driving patterns by looking at your entire driving record, and not just a recent incident.
Your premium is likely to increase after a major at-fault accident, and your driving record might be the determining factor in the cost of your premium. Also, if you had a safe driving discount on your policy that you were given for a claim-free driving record, you might lose that discount after an accident, resulting in a rate increase.
Your Driving History Follows You
After an accident, your driving history follows you, and your insurance company will likely factor in the severity of the accident and the cost of damages to determine the increase and the length of time you’ll be subject to higher rates. This surcharge may gradually decrease each year that you go without another accident.
Contact Our Charlotte, North Carolina Personal Injury Law Firm Today
If you were involved in a car accident in Charlotte, North Carolina, and are concerned about the effect it will have on your insurance rates, contact the experienced car accident attorneys at Nagle & Associates, P.A. online or call (800) 411-1583 to schedule your free initial consultation today.