Having a clear idea of how long an accident affects car insurance rates for will give you a better understanding how much your car insurance will cost when you renew it. At Mountainview Insurance, they understand how important it is to have the right coverage for your car. That is why they offer a range of car insurance policies.
General Claims
In most cases, general insurance claims that do not involve a collision, such as vandalism, fire, theft, or broken windows, will not affect your insurance premiums, as long as you are not at fault; however, if you make a lot of comprehensive insurance claims for these kinds of accidents, your insurance broker may decide to increase your deductible or to even terminate comprehensive insurance coverage from your policy.
Collision Claims
Collision claims, on the other hand, can have a considerable effect on your car insurance rates, especially if you are found to be at fault for the accident. Your insurance company will determine if you are fully or partially at fault for an accident by following set government guidelines. In almost every scenario, at least one of the drivers involved in the accident will need to be determined to be at fault.
If You are Not at Fault
If your insurance broker finds you to be not at fault for the accident, it is unlikely that your rates will increase after you file a related claim.
If You are at Fault
If your insurance provider finds you to be at fault for the accident, the crash will be recorded on your insurance records and will mostly likely have an impact on how much you pay for car insurance each year. In some cases, your premiums might still stay the same if you have not filed another insurance claim recently and the amount of the accident claim is fairly minimal.
In the event that your premiums do increase after an accident, they will most likely not go into effect until you renew your policy or change policies. Premium increases are normally a percentage of your current premium and are referred to as “surcharges”. In some cases, the amount the surcharge will decrease slightly with each policy renewal until it no longer effects your car insurance rates.
If you would like to learn more about how long an accident affects car insurance rates for, or if you are interested in one of their car insurance policies, please contact Mountainview Insurance at 604-557-0255 or by filling out a contact form on their website.