You probably know that if you cause an accident, your auto insurance company will be liable for damages and, as a result, your premiums will probably increase. What you might not realize, though, is that your premiums may increase even if another driver caused the crash.
The New York Times recently profiled a study from the Consumer Federation of America, which revealed that four of the five biggest insurance companies in the United States – Farmer’s, Allstate, Geico, and Progressive – occasionally increase their premiums after not-at-fault collisions. State Farm was the only insurance provider in the study that did not increase premiums after such accidents.
Before you agree to an insurance policy, it is important that you know every reason why your provider would increase your premiums. Often, there are steps you can take to lower your premiums such as buying multiple policies from one insurer, choosing a higher deductible, or not being cited for any traffic violations.
It is also important that all drivers learn the strategies that insurance companies use to deny and undervalue claims. If you were injured in an accident, expect the insurance company to look for any possible reason to reduce your payout or deny your claim. Do not make recorded statements to the adjuster, and do not post any sensitive information about your case on social media.
A personal injury lawyer from Eells & Tronvold Law Offices, PLC can handle correspondence with the insurance company on your behalf and help you avoid mistakes that would harm your claim. We will interview witnesses, evaluate the police report, and gather evidence to prove the value of your damages. Call 319-393-1020 today to schedule a consultation with an accident attorney in Cedar Rapids.
Why Would the Insurance Company Increase My Premiums after a Not-at-Fault Accident?
By increasing the premiums for current policyholders who are involved in collisions, the insurer is able to offer lower premiums to attract new customers. Some insurance providers have also argued that car accidents are rarely one driver’s fault, so despite what the police report says, any collision is a sign that a driver is a high-risk policyholder.
As previously mentioned, this is just one of several strategies that insurers use to boost their profits. If you intend to file a personal injury claim, it is highly advisable that you speak with an attorney before doing so.
The lawyers at Eells & Tronvold Law Offices, PLC understand the tactics that insurance companies use to cheat claimants out of fair compensation. The adjuster might try to coerce you into admitting fault or making other misguided statements to use as testimony against you. The insurer might also offer a low settlement quickly – before you have had enough time to learn the full extent of your injuries.
A Cedar Rapids accident attorney from Eells & Tronvold Law Offices, PLC will handle correspondence with the insurance adjuster and help you navigate every step of the claims process. Call 319-393-1020 to schedule a free initial consultation.