Will my car insurance rates go up after an accident?

If you’ve recently been in a car accident, one of your biggest worries might be: Will my car insurance rates go up? This is a common concern, especially if the accident wasn’t your fault. Let’s break down what you need to know, in simple terms.

If You Were at Fault, Your Rates Will Likely Go Up

Let’s start with the easier situation: you were at fault in the accident.

If someone else makes a claim against your insurance—whether for injuries or damage to their car—it’s very likely your insurance rates will increase. Insurance companies raise rates to reflect the risk they believe you pose. If you’re the one who caused the crash, you’re seen as a higher risk.

That’s straightforward. But what happens if you weren’t at fault?

What If You Were Not At Fault?

Here’s where it gets a little more complicated but also more critical to understand. People ask about this all the time and we get why.

Let’s say you’re in a car accident, and it’s clearly not your fault. You make a claim against the other driver’s insurance. That’s normal and expected.

But sometimes, the other driver’s insurance doesn’t cover everything. Maybe your medical bills are too high, or your car repair costs are more than what their insurance will pay.

In that case, you may need to make a claim with your insurance company under what’s called uninsured or underinsured motorist coverage.

And here’s the good news: Your insurance company is not allowed to raise your rates just because you filed a claim in an accident that wasn’t your fault.

Know Your Rights

This is really important. If you were not at fault, your insurance company cannot punish you by raising your rates simply for using your coverage.

If your rates do go up after such a claim, you have the right to ask your insurance company for an explanation. You can say:

“Can you tell me exactly why my insurance rate went up?”

In most cases, they’ll give you a clear reason. And if they say it’s because of the accident, and you weren’t at fault—that’s a red flag. If they say that, ask them to put that in writing.

In fact, it could be the start of a bad faith insurance claim.

What Is Insurance Bad Faith?

Bad faith insurance means your insurance company is not treating you fairly. They have a duty to act in your best interest because you are their customer—or what they call “the insured.”

If they raise your rates for a reason that’s not allowed, like filing a not-at-fault claim, you may be able to take legal action against them.

In that case, it’s time to talk to a lawyer who handles insurance disputes or bad faith cases.

Don’t Be Afraid to File a Claim

A lot of people hesitate to file a claim with their own insurance, even when they weren’t at fault. They worry that their premiums (monthly payments) will go up just for using their policy.

But remember this: you pay for insurance so that it protects you when you need it. You should use it when you need it!

If you’re hit by:

• A driver with no insurance (uninsured)

• A driver who doesn’t have enough insurance to cover your damages (underinsured)

…you still deserve help. That’s exactly why your policy includes special coverage for those situations.

Don’t skip making a claim just because you’re worried about a rate increase.

What Should You Do If Your Rates Go Up?

If your rates go up after an accident where you weren’t at fault, here are some steps to take:

1. Ask for a written explanation. Your insurance company should tell you exactly why your rates went up.

2. Check if the reason involves the accident. If it does, and you were not at fault, that may be illegal in your state.

3. Speak to a personal injury or insurance attorney. You may have a case for unfair treatment, and an attorney can help you fight back.

Final Thoughts

Car insurance is there to protect you—not punish you. If you’re in an accident and it wasn’t your fault, you should feel confident in using your coverage.

Insurance companies are not allowed to raise your rates just because you used your policy after someone else caused a crash.

So don’t avoid getting the help you need. File your claim, ask questions, and stand up for your rights. And if something doesn’t feel right, talk to a lawyer.

That’s what they’re there for—to help you get the support and coverage you paid for.

Need help with a claim? If you’ve been in a car accident and have questions about your insurance or your rights, give us a call 505-416-4150.