Does Your Car Insurance Increase if Someone Hits You?

Categories: Automobile

Does your car insurance increase if someone hits you? As leading providers of car insurance solutions, the team at Mountainview Insurance is frequently asked this question. While this may seem like a simple question, the answer will vary significantly based on several factors. Of these factors, fault is the most important as the party at fault for the accident will likely experience an increase in their insurance premiums. To help drivers understand the correlation between accidents and insurance premiums, our team has compiled some information to explain how fault can affect your insurance policy.

Learn about some important questions to ask before buying car insurance.

How Fault Can Affect Your Insurance Policy

When it comes to small collisions and significant motor vehicle accidents, one party is typically found to be at fault for the impact. When a party is determined to be at fault, this means that they were the primary cause of the accident. Fault can affect your insurance premiums in many ways depending on the situation. The following situations are the most common when discussing fault:

If You Are Responsible

If you are deemed to be 100% responsible (at fault) for a crash, any vehicle repairs owed to the other party involved in the crash will still be paid for by their Basic Vehicle Damage coverage, up to $200,000. Collision coverage, if you have it, pays for your vehicle repairs. Your ICBC basic insurance will also pay for your medical and rehabilitation expenses. If you are responsible for a crash, your basic insurance premiums will likely increase significantly. The costs for any optional insurance such as Collision may go up as well. In general, the​ more crashes you are responsible for, the more you will pay for insurance.

How much does car insurance cost?

If You Are Not Responsible

If it is determined that you were not responsible (not at fault) for a crash, your own Basic Vehicle Damage coverage will pay your vehicle repairs, up to $200,000. Your Enhanced Accident Benefits will also cover any medical costs or wage loss due to injury. If the accident was deemed to be entirely the other party’s fault, your insurance premiums should remain unchanged.

How long after an accident is your car insurance rate effected?

If The Responsibility is Shared or Undetermined

It can be difficult to determine fault for some accidents, especially if there are conflicting driver statements, no witnesses, or a lack of conclusive evidence for each party. In these cases, drivers can be found 25%, 50%, or 75% responsible for a crash. If you are found partially responsible (at fault), this means you will share responsibility with the other driver. If you are more than 25% responsible for a crash, your insurance premiums will likely increase. In accidents that are deemed to be 50/50 (both parties equally at fault), both parties will experience an increase in insurance pricing.

To learn more about car insurance premiums or to inquire about our other insurance solutions, get in touch with the experts at Mountainview Insurance. We can be reached through our online contact form and will be happy to answer any questions you may have.

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