Will A Non-Fault Accident Affect My Insurance

Hassanbro560
September 3, 2024
Insurance & Compensation Strategies
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Being involved in a car accident that was not your fault, your insurance should cover your back. But wait, what will happen after that? Is it enough? If you think proceeding with your claim with your insurance company will not affect your no-claim bonus, you might be wrong.

Thousands of people avoid making a non-fault accident claim to insurance to protect their no-claim bonus.

Before filing a non-fault claim for a road accident, understanding the difference between at-fault and non-fault claims is crucial.
If you are searching for the query “Will a non-fault accident affect my insurance?” Simply read out this guide.

Understand the Difference Between Non-Fault & At-Fault Accident

When it comes to car accidents, it is essential to understand the difference between a non-fault accident and an at-fault accident. Knowing these differences lets you understand how they might significantly improve your insurance premium and how the claim process unfolds.
Noting the difference between these two claims can help you understand the impact of insurance policies.

Depending on the accident, you are a non-fault driver, where a third party is liable for the incident. In a non-fault claim, an insurer can recover the cost of repair and damages from the faulty party. But if the insurer cannot retrieve the cost from the guilty driver, this will consider you at fault, even though you were not.

If you were at fault and proceeded with your claim with your insurance or even a claim management company, you’ll be responsible for paying the compensation amount. In this case, your insurance company handles the claim or negotiates with the insurance company. So, an at-fault accident can even affect your insurance premium rates.

Does A Non-Fault Accident Affect the Insurance?

Claiming your non-fault accident to your insurer will inspect all the factors involved, including all related information about the driver and the accident, to ensure your innocence. Being involved in a non-fault accident does not mean your insurance premium will increase directly. Typically, premium rates are considered based on the frequency and severity of accidents.

The non-fault claimant reports to the insurer immediately for possible actions. Your insurance policy will determine how you contact them and explain all the incidents to prove yourself non-faulty. You should be honest with your insurer when they ask you for the information. Whether you are involved in a non-fault accident, you can determine an increment of percentage in your premium if you approach the insurer.

Insurance companies consider numerous factors when calculating premiums, such as age, driving record, location, and vehicle model. While a non-fault accident does not directly affect your premium rates, it can increase for other reasons.

Increase in Insurance Premium Rates

No doubt your car accident and claiming non-fault will increase the premium rate cost of your car insurance. Although it must have the effect that making an at-fault claim would. If you decide to change your insurer, you would expect a new provider to ask about your claim history. Your insurance premium will not directly increase after submitting your non-fault claim to the insurer, but a few elements will help to raise it in future:

To keep your premium stable, you must maintain a clean driving record without any accidents, regardless of whether you have a non-fault claim. A frequent accident claim can make you a high-risk driver for the insurer analysis to set your premium. Therefore, it will increase your premium to cover your return cost.

Similarly, if you sustain potential injuries to yourself or any passenger, it can increase the premium rates due to medical records.

Some extensive vehicle damage requires repair and restoration that indirectly affects your premium.

Affect the No-Claim Bonus

When claiming a non-fault accident to the insurer, it might be unfair to lose your no-claim bonus, even if that was not your fault. After all, no claim bonus refers to a clean driving record without any accident.

This implies that you will lose your no-claim discount and increase the premium in the future. A non-fault claim will have less impact. Sometimes, it depends on whether the insurance company wants to deduct your no-claim bonus.

Increased Excess Payment

As a policyholder, your insurance company expects you to cover the total policy excess when making a claim. Once the compensation is processed, you must claim this back from the at-fault driver's insurance firm.

If you're financially able, consider paying out minor damages instead of making a claim. If you must pay for repairs and your voluntary excess, gather repair quotes beforehand to estimate whether you'll likely receive a payout from your insurer.

Can I Switch the Insurance Company to Avoid Excess Rates?

If you change your insurance provider after a car accident, the chances of the new provider reviewing your driving records and any accidents you may have encountered are increased. The premiums may increase once your new provider spots trouble, especially those indicating your responsibility.

Insurance companies usually inspect claims event reports to outline the liability involved from the insured driver’s perspective. Again, this risk process deters higher premium pricing.

Proceed Your Claim with an Accident Claim Management Company

Here are a few things that help you understand why accident management company consideration is best among your insurers:

Complete the non-fault claim form to contact a claim management company such as Continental Car Hire. Waiting on the phone will not be necessary, as these firms have a dedicated team of claims-handling specialists ready to guide you.
If you are looking for accident claim management services, Continental Car Hire is ready to help. Call us to discuss your no-fault claim accident. Contact our team to claim non-fault car accidents and start your no-cost credit hire process today!
When faced with damage to your car, an Independent accident claim management company offers an objective evaluation of the harm and value of your vehicle to ensure you get proper compensation for your loss.
There is no need to worry about paying expensive deductibles because the at-fault insurer covers all expenses.