Learn how an accident will affect your auto insurance rates.
For many drivers, being involved in an auto accident is their worst nightmare. To make things worse, getting into an accident can cause your car insurance rates to rise. Curious to learn exactly how an accident will affect your auto insurance rates? Then here’s what you need to know.
How much will your rates increase after an accident?
According to a study conducted over five states, getting into an accident that results in both bodily injury and property damage results in an average car insurance rate increase of about 1.33x. Accidents that only result in property damage result in less drastic increases. On average, these accidents result in an average 1.23x increase. Keep in mind that the average rate of increase does differ in regards to several different factors. The state in which the accident takes place, the age of the driver, the insurance company you use, and so on, will all affect your rate increase.
Determining what is and isn’t an accident
Generally, an accident is considered anything that results in property damage, bodily injury, or death. However, there are certain caveats to this definition. For instance, an issue is usually not considered an accident if you can prove that the following conditions are true:
- It was caused by contact with birds, animals, missiles, or falling objects.
- You were lawfully parked.
- You were reimbursed by, or on behalf of, a person responsible for the accident or have judgment against such person.
- You were struck in the rear by another vehicle and have not been convicted of a moving traffic violation in connection with the accident.
- You were hit by a “hit-and-run” driver if the accident is reported to the proper authorities within 24 hours.
- You were not convicted of a moving traffic violation in connection with the accident, but the operator of the other automobile involved in the accident was convicted of a moving traffic violation.
This is how an accident will affect your auto insurance rates. Do you have additional questions regarding your car coverage needs? If so, then do not hesitate to contact the experts at Staybull Insurance. We are ready to assist you with all your specialty car insurance needs today.