What Factors Could Influence A Premium Increase?
A range of factors can determine whether your premium rises after an accident that wasn’t your fault. Insurers may typically assess the overall risk profile after an incident. Some factors that might influence this decision include:
- Your claims history and driving record
- Whether the insurer has recovered all costs from the at-fault party
- The type of accident and severity of the damage
- The number of claims made within a certain period
- Any added risk associated with your location or driving habits
What Happens If The Other Driver Is Uninsured?
If the other driver involved in the accident is uninsured, your insurer may not be able to recover the costs. This can make it more likely that your premium could increase, as your insurer bears the full financial burden. Having uninsured driver protection can help reduce the impact, but it’s regularly seen as advantageous to check your policy details to see if this cover is included.
Will A No-Claims Discount Protect Your Premium?
A no-claims discount (NCD) can offer some protection against premium rises, but it may not always prevent an increase altogether. Some insurers provide no-claims protection, which allows you to keep your discount after one or more claims, depending on the policy. However, the overall cost of your insurance could still go up after an accident, even if your NCD remains intact. It’s worth looking at whether you have this protection and understanding how it works.
Is It Worth Informing Your Insurer About A No-Fault Accident?
Even if you don’t make a claim, you are usually required to inform your insurer about any accidents you’re involved in. Failing to do so could lead to problems down the line if the insurer discovers the accident later on. Some insurers may increase your premium just for being involved in an incident, even if no claim is made. Always check your policy terms to ensure you comply with reporting requirements.
How Can You Minimise The Impact Of A Premium Rise?
Whilst a premium increase after a no-fault accident isn’t always avoidable, there are steps you can take to reduce its impact. These include:
- Shopping around for better deals from other insurers
- Increasing your voluntary excess to lower premiums
- Improving your overall driving record to maintain a good risk profile
- Adding features like no-claims protection or uninsured driver cover to your policy
If you’ve recently had an accident and are concerned about rising premiums, it’s a good time to compare car insurance quotes. Look for the right cover at a price that works for you.
Why not get quotes now?