What would you say if someone came along and told you that the very first time you get into an accident, even if you've had a flawless driving record for 60 years, you were going to watch your auto insurance rates climb 40%-possibly higher? You'd probably say it stinks, followed a quick and firm litany of the reasons that it just ain't fair. Guess what? You'd be right-and somebody in the auto insurance industry finally figured it out.
Welcome to the wide, wonderful world of accident forgiveness. A privilege reserved exclusively for those whose clean driving records have put them in a position to be given the benefit of the doubt after they've been in an accident. With accident forgive3ness auto insurance companies look at your driving history, see that you've been the insurance agent's best friend and agree to let the accident slide-this time.
Before you start to rejoice, however, there are a couple of things about accident forgiveness you really, really need to know:
1) First and foremost, not all insurance carriers consider accident forgiveness to be a part of their standard policy package. Some of them may ask that you pay a little extra each month to make sure you're covered-just in case.
2) Even if you are covered, there's no guarantee that your accident will be forgiven completely. Every company has its own policies, and they may use the extent of the damage cause by the accident to help them determine whether they want to leave your auto insurance rates untouched or if they're going to raise them-by considerably LESS than 40%! (2-10% is about normal in these cases.)
3) Forgiven doesn't mean forgotten. Your auto insurance company can only control what goes on inside their own hallowed halls. The accident is still going to be on your driving record, and the negative points that accident is going to cause is still going to have an extremely detrimental effect on your auto insurance rates if you decide to switch companies-even more incentive to love the one you're with!
4) Accident forgiveness usually depends entirely on whether or not you qualify for a five year good driver discount. They're willing to give you a second chance, but most auto insurance companies draw the line at three or four.
5) If you have a teenage driver in the house you may find that your auto insurance company is willing to extend your accident forgiveness credit to them, since you share a policy and any increases in your auto insurance rates are going to affect all of you.
Accident forgiveness can be the answer to your prayers when it comes to keeping your auto insurance rates from plunging you deep into debt. That 40% can really hurt when it gets right down to it! If you don't know if you qualify for accident forgiveness or not but are fairly certain you don't have any black marks on your driving record at the moment, feel free to pick up the phone and give your insurance agent a call. Remember, you've got nothing to lose-and everything to gain.
