Will My Auto Rate Increase After Filing a Claim?
If you file a claim and we make a payment, it is very likely that your rate will increase at renewal. Because of the incident, you’re likely to pay a higher rate for 3 to 5 years.
We want to help you understand the type of things we look at in determining premiums after an incident. Please note, this is not a full list of everything we look at and the way we calculate premiums can change over time.
What Do We Consider When Calculating Auto Rates?
We figure out auto insurance rates by looking (largely) at where you live, what you drive and whether you or anyone in your household has had any incidents. At renewal, your rates can go up and down depending on many factors, including things that may have happened over the last 3 to 5 years. There are also factors unrelated to you that may cause a premium change such as changes in the cost to repair vehicles, inflation and other market factors.
Your driving record:
If you’ve been involved in fender benders over the last few years, it’s likely that your premium will be higher than someone who hasn’t had any accidents. We also look how long you’ve been driving and whether you’ve had any traffic violations.
Where you live:
Every state regulates insurance rates. Your rates could be higher or lower depending on the state you live in.
Newer cars have technologies that make them safer, but these new technologies are also more expensive to fix if you’re in an incident. This can impact your rates.
Drivers on your policy:
Just added a young driver to your policy? Since they have less experience, they are costly to insure. As these drivers gain experience, your premium could start to go down again.
What Do Other Insurance Companies Do?
Most auto insurance companies tend to consider similar information when they set premiums.
Here are some things to consider when making a decision to file a claim against another driver.
To help us resolve your claim quickly, here are some things you should do if your car is a total loss.
Understand windshield and glass damage coverage or report a glass claim.