Home » Automotive Blog » How Much Will Car Insurance Increase After an Accident

How Much Will Car Insurance Increase After an Accident

  • 5 mint read
Uk Car Insurance Rates After Accident

You walked away from the crash. Your car got towed. Maybe the other driver was at fault, or maybe it was your momentary lapse in judgment. Either way, one question is now stuck in your mind: How much will my car insurance increase after this accident?”

Even minor collisions can leave a major dent, not just in your bumper but in your bank account. The insurance increase after an accident is one of the most dreaded aftershocks of a crash, and yet, many drivers don’t fully understand how it works until it’s too late.

Average Car Insurance Increases after an Accident

On average, you can expect to see an increase in insurance of 20-50%. It also depends on the severity of the accident and injuries. Your average insurance increase depends on the factors given below:
    • Your insurance provider’s policies
    • Your driving history and claims record
    • The severity of the accident
    • Whether you were found fully or partially at fault
    • Your location (insurance pricing regulations differ by region)
 
Average premium increase examples after accidents (UK)
Accident Type Average Premium Increase Example
Minor at-fault accident 12% Premium rises from £559.41 to £626.66 after a single at-fault claim.
Major at-fault accident (with injury) 20%–40% Serious accidents can cause premiums to rise significantly.
Multiple at-fault accidents Up to 53% or more Four claims can increase premiums by around £469 (≈53%).
Non-fault accident (other driver’s fault) 0%–10% Premiums may still rise slightly, depending on the insurer.
Non-fault accident (unidentified / hit-and-run) 10%–20% Hit-and-run incidents can lead to moderate premium increases.
Accident with no-claims bonus protection 0%–20% Premiums may still increase despite NCB protection, depending on the insurer’s policy.

Factors that Affect the Insurance Rate

There are some crucial factors to consider that influence your insurance rate after an accident.

Who was at fault?

If you were at fault during the accident, expect a significant increase in your insurance. In case you were not at fault, your insurance may remain unchanged. But it also depends on your insurance company. 

Severity of Accidents

It also matters a lot to increase your insurance after an accident. For example, if you were involved in a minor fender bender, there are fewer chances of having a major increase in your insurance. But if you get involved in a major accident where there are serious injuries and more car damage, then there can be a significant increase in your insurance.

Claim Amount

If you pay a higher amount to the other party, there is a higher chance of increasing your insurance. 

Your Driving History

Your driving history also plays an important role in increasing the insurance premium. For instance, if you have a good driving record with no accidents before, your insurer might be more lenient.

Location

The location factor is considered to determine the accident risks or other crimes like theft. If you reside in an urban or densely populated area, there are more chances of accidents or theft, so insurance premiums increase. And if you are from a rural area, there are fewer chances of accidents. 

Your Insurance Company

The location factor is considered to determine the accident risks or other crimes like theft. If you reside in an urban or densely populated area, there are more chances of accidents or theft, so insurance premiums increase. And if you are from a rural area, there are fewer chances of accidents.  All the insurance companies have different rules and regulations. Some companies offer better options than others.

How long will the increase in insurance last?

Typically, an accident can increase your insurance for three to five years. After this period, your premium decreases if you maintain a safe driving record. 

Find Out More: Road Traffic Accident Compensation Rules

How to Lower Insurance After an Accident?

You can take some important measures to lower the insurance after an accident, for example:

  • Take a defensive driving course
  • Increase voluntary excess
  • Shop around and compare insurers.
  • Bundle policies like home+auto policies (purchasing multiple insurance policies from the same company to save money)
  • Install telematics (“black box”) insurance (monitors your driving habits and sends data to insurers)

Final Thoughts

To sum it up, car insurance premiums often rise after an accident, typically between 20% to 50%, depending on factors such as the severity of the crash, your driving history, and your insurer’s policies. These increases can last anywhere from three to five years. However, by practising safe driving habits and making smarter insurance choices, you can manage and reduce these costs over time.

For additional support in handling claims and minimising post-accident stress, consider working with a trusted Car Accident Management Company that can guide you through the process efficiently.

Popular Categories

RELATED ARTICLES & GUIDES 👇
Load More