Many consumers have experienced car insurance go up following a collision deemed to be their fault. But according to The Balance, insurance rates can also increase for the driver who was not at fault. When this happens, it might be a good time to shop for coverage that is both affordable and whose rates are fairly determined.

What Are ‘Not At Fault’ Accidents in Which You Might See Car Insurance Go Up?

In the vast majority of states, collision claims are filed against the insurance coverage of the “at fault” driver. If these claims are resolved, it’s unlikely the driver who is not at fault will see a premium increase. The problem arises when an uninsured driver — there are many populating the roads — is the at-fault party. An accident with an uninsured motorist is more likely to result in the at-fault driver fleeing the accident scene or failing to offer accurate contact information.

This situation translates into the driver who is not at fault needing to file a claim with his or her insurance company. In these situations, the driver who is not at fault should not be penalized by having their car insurance go up at the next renewal period. But it does happen. The Balance suggests that a more reasonable remedy would be to assess a minor surcharge instead.

How Does Residence in a ‘No Fault’ State Affect Car Insurance Rates?

Esurance.com says there are myths concerning the automatic rise in rates following claims. In certain states that have identified themselves as “no-fault” regions, no matter who causes the collision, the insured’s policy will absorb a portion of the cost, resulting in a modest rate hike.

Do Claims Of Any Kind Always Raise Insurance Rates?

Many people fear filing insurance claims because of the potential for a rate hike. In fact, many factors are weighed when determining whether such action is both wise and warranted. First, insurance companies are not in the habit of punishing long-standing customers who have a safe driving history. It wouldn’t be in their best interest to drive customers to the arms of a competitor because of a small incident.

Esurance.com says insurers consider the following factors:

• The severity of the accident
• The overall pattern of safe or unsafe driving demonstrated by the insured
• The determination of fault in a collision
• Policy details such as “accident forgiveness”

How Much Does a ‘Not at Fault’ Accident Raise Car Insurance Rates?

Not at fault accident claim
s raised policy rates an average of $98 a year in 2017, according to The Zebra.com. The reason? The prediction of risk. Regardless of whose at fault, the fact remains that if you are in one accident, it increases the likelihood you will be in another.

This article is not legal advice or medical advice. It is presented
for informational purposes only.