How Much Will My Insurance Go Up After an Accident?
It is estimated that even a minor accident for which you are considered at fault will cause your insurance premium to increase by 20 to 30%. This can place a significant dent in anyone’s bank account, especially when insurance is already so expensive. If you are curious about the reasons behind this increase, our Plano car accident lawyers would like to provide their insight.
You are Considered High-Risk
Insurance companies want to provide insurance, collect premiums, and pay out little to nothing in claims. The bottom line means everything to an insurer, so they do not want to insure someone in a high-risk category. Insurance companies even implement surcharges for policyholders who are at fault in an accident. These surcharges are tacked on to your premium, causing your rates to spike. However, some car insurance companies offer accident forgiveness for drivers with a clean driving record who are deemed responsible for a collision, but this only applies to the first accident.
You are More Likely to Have Accidents in the Future
Having several accidents within a few months will cause the insurance company to classify you as a high-risk driver. If you have a history of accidents, then the insurance company will most likely increase your insurance rates. Even a single at-fault accident can cause your premium to increase by 50%! Drivers with multiple accidents even face their insurer cancelling their policy, which is a main reason that drivers flee the scene of an accident (known as a hit-and-run).
Can I Avoid an Insurance Rate Increase Following a Crash?
Even if you believe you caused the crash, you should never admit fault. Insurance rates increase after an at-fault accident. Anything that can be construed as admitting fault, such as apologizing or saying something along the lines of “I didn’t see you coming,” should be avoided. These statements will impact your ability to recover damages and place you at risk of having your rates increase or even having you dropped by your insurer.
Guidance from a Car Accident Attorney
If you have recently been involved in a crash, it is important to work with an experienced car accident lawyer. In many accidents, the insurance company may pin liability on the other driver so that their insurer will have to pay out damages. Since Texas is an at-fault state, if a driver is found responsible for a crash, their insurance will have to pay for the other driver’s medical expenses, lost wages, and vehicle repairs.
Hiring experienced counsel will give you a leg up, ensuring that a thorough investigation will be conducted to determine each party’s liability. The state of Texas practices modified comparative negligence, so each party will be awarded damages based on their percentage. However, damages cannot be recovered if you are more than 50% at fault. If the insurance company is placing greater liability on you than is warranted, then our Plano car accident attorneys will pursue other legal remedies.
Reach Out to Our Plano Car Accident Lawyers Today
The stress of a car accident is only exemplified by medical bills, vehicle repair costs, and various doctors’ appointments to assess your condition. When you are deemed at fault, you will also have to deal with a spike in your insurance premiums. This rate increase is far from fair, but it is something that millions of drivers have dealt with. Thankfully, the Plano car accident attorneys at The Law Office of Joel Vecchio, P.C., are committed to reducing your legal liability and keeping money in your pocket. If you have recently been found at fault in an accident, contact us online or call (972) 381-4610 to schedule your free consultation.