Cheap Auto Insurance Companies That Don’t Penalize You if an Accident Isn’t Your Fault in 2024
Auto insurance companies that don't penalize you if an accident is not your fault won't increase your rates. Car insurance companies that do penalize you if an accident is not your fault usually cover the property damage expenses. Penalties can increase your rates by 32%. Shop around and compare until you find a company with the best rates.
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Kristen Gryglik
Licensed Insurance Agent
Kristen is a licensed insurance agent working in the greater Boston area. She has over 20 years of experience counseling individuals and businesses on which insurance policies best fit their needs and budgets. She knows everyone has their own unique needs and circumstances, and she is passionate about counseling others on which policy is right for them. Licensed in Massachusetts, New Hampshire,...
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UPDATED: Mar 4, 2024
It’s all about you. We want to help you make the right coverage choices.
Advertiser Disclosure: We strive to help you make confident auto insurance decisions. Comparison shopping should be easy. We are not affiliated with any one auto insurance provider and cannot guarantee quotes from any single provider. Our auto insurance industry partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different auto insurance companies please enter your ZIP code on this page to use the free quote tool. The more quotes you compare, the more chances to save.
Editorial Guidelines: We are a free online resource for anyone interested in learning more about auto insurance. Our goal is to be an objective, third-party resource for everything auto insurance related. We update our site regularly, and all content is reviewed by auto insurance experts.
UPDATED: Mar 4, 2024
It’s all about you. We want to help you make the right coverage choices.
Advertiser Disclosure: We strive to help you make confident auto insurance decisions. Comparison shopping should be easy. We are not affiliated with any one auto insurance provider and cannot guarantee quotes from any single provider. Our auto insurance industry partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different auto insurance companies please enter your ZIP code on this page to use the free quote tool. The more quotes you compare, the more chances to save.
On This Page
- Accidents can increase your auto insurance rates by 32%
- If you qualify for an accident forgiveness add-on, you can prevent a penalty after an at-fault accident
- Some smaller auto insurance companies provide accident forgiveness regardless of your auto insurance coverage
Are you having trouble finding car insurance companies that don’t penalize you if an accident is not your fault?
Not-at-fault accidents work differently at various auto insurance companies. But which auto insurance companies don’t penalize you for not-at-fault accidents?
Don’t worry – our guide explains which auto insurance coverages you need for not-at-fault accidents and why multiple accidents can make you a high-risk driver regardless of fault.
After you learn everything about auto insurance companies that don’t penalize you if an accident is not your fault, enter your ZIP code in the free online quote tool above to compare multiple companies in your area.
What are the best auto insurance companies that don’t penalize you if an accident is not your fault?
Most car insurance companies don’t penalize you for a not-at-fault accident, and you might not even be charged for an at-fault accident if you have accident forgiveness attached to your policy.
When shopping for car insurance, some auto insurance companies allow new and current customers to purchase accident forgiveness, such as The General (Visit our “The General Auto Insurance Review: Should you buy?“).
Meanwhile, some insurance companies provide accident forgiveness as a reward for having insurance without any incidents. If you live in one of the states with the fewest auto-related scam reports, insurers may also be more likely to offer accident forgiveness as they are less likely to deal with fraudulent accident claims.
https://youtu.be/8NL8_aXtLtM
Here is the list of companies that provide accident forgiveness.
- Allstate
- Geico – see our Geico auto insurance review here.
- Farmers – see our Farmer’s auto insurance review here.
- Liberty Mutual – see our Liberty Mutual auto insurance review here.
- Progressive – see our Progressive auto insurance review here.
- Nationwide – see our Nationwide auto insurance review here.
- State Farm – see our State Farm Auto Insurance Review: Should you buy? here.
- Travelers – see our Travelers auto insurance review here.
If you’re not at fault in a car accident, you won’t need to need to use your accident forgiveness perk.
Accident forgiveness usually prevents your rates from going up after a chargeable accident – in most cases that means an at-fault accident.
But if a car accident is not your fault, does your insurance go up when you don’t have accident forgiveness?
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Can auto insurance companies increase rates if an accident is not your fault?
Generally, no. Most car insurance companies don’t increase rates when an accident is not your fault.
When you are at fault in an accident, your rates increase. On average, your auto insurance rates can go up by 32% after an accident.
Let’s look at a few sample rates to see how accidents increase auto insurance costs.
Average Monthly Full Coverage vs. Liability-Only Auto Insurance Rates by Company
| Companies | Full Coverage Auto Insurance Rates with a Clean Driving Record | Full Coverage Auto Insurance Rates Based with One Accident | Liability-Only Auto Insurance Rates with a Clean Driving Record | Liability-Only Auto Insurance Rates with One Accident |
|---|---|---|---|---|
| Allstate | $318 | $416 | $162 | $212 |
| American Family | $224 | $310 | $114 | $158 |
| Farmers | $288 | $377 | $147 | $192 |
| Geico | $179 | $266 | $91 | $136 |
| Liberty Mutual | $398 | $517 | $203 | $264 |
| Nationwide | $229 | $283 | $117 | $144 |
| Progressive | $283 | $398 | $144 | $203 |
| State Farm | $235 | $283 | $120 | $144 |
| Travelers | $287 | $357 | $147 | $182 |
| USAA | $161 | $210 | $82 | $107 |
| Average | $260 | $342 | $133 | $174 |
We decided to concentrate on accidents and show you how full coverage auto insurance and liability car insurance coverage differ in cost.
The cheapest companies are Geico, Nationwide, American Family, and State Farm.
Why not include USAA? USAA auto insurance is only for military veterans and their immediate families. Therefore, the other companies are an excellent choice for people who aren’t in the U.S. Armed Forces.
Will a not-at-fault accident affect my auto insurance for the rest of the policy?
It depends on the car insurance company. Penalties can last up to six months or more. The auto insurance company may decrease your rates after a few months if you don’t have any incidents.
Does a not-at-fault accident go on your record?
The answer is yes. Accidents are reflected on your driving record and insurance history, and accidents will remain on your driving history for at least three years.
However, the Comprehensive Loss Underwriting Exchange (C.L.U.E.) may hold on to it longer. The C.L.U.E. also shows the insurance claims you’ve made over the years.
How can I save money on auto insurance after an accident?
You should target auto insurance discounts. If you currently have an auto insurance policy, try enrolling in a usage-based insurance program.
Programs like Allstate Drivewise and Nationwide SmartRide allow customers to save money on car insurance when they practice good driving habits.
Also, non-driving factors such as good credit and vehicle safety features can help you save an additional 30% on auto insurance rates.
Am I a high-risk driver after a not-at-fault accident?
The answer is no. However, the auto insurance company will raise your rates if you don’t have accident forgiveness and multiple at-fault accidents on your driving record, which can affect your auto insurance points.
What should I do if I get into an accident?
First, do not panic. As an insured driver, you’re financially responsible and capable of covering the cost of damage to another vehicle and covering expenses of bodily injuries.
You won’t determine fault by yourself, so you’ll need to contact law enforcement to establish fault.
If you’re not at fault, you can file a claim with the at-fault driver’s auto insurance company.
Take photos of the damage, get a copy of your police report, and call the at-fault driver’s insurance provider once you get your vehicle to a body shop or back home.
But you should contact your insurance company and file a claim when you’re the at-fault driver. However, you’ll need collision car insurance to get coverage for your damaged vehicle.
All collision claims require a deductible. Your car insurance company won’t issue a claim without it.
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How do I get an auto insurance policy with multiple accidents?
Multiple accidents in a short amount of time could make you a high-risk driver. Too many accidents may cause car insurance companies to reject your policy request.
But you can secure an insurance policy with high-risk auto insurance companies. Some of the best high-risk insurance companies include:
- The General
- Dairyland
- Good2Go Auto Insurance
- Acceptance Insurance
- Direct Auto
Some of these companies may carry higher-than-average rates, but you won’t know for sure until you get a quote.
Read more:
- Dairyland Auto Insurance Review: Should you buy?
- Direct Auto Insurance Review
- Good2Go Auto Insurance Review
Auto Insurance Companies That Don’t Penalize You if an Accident is Not Your Fault: The Bottom Line
Multiple accidents where you’re not at fault may not affect you as much since your auto insurance company isn’t footing the bill for each accident.
But numerous at-fault accidents on your driving record will raise some concerns.
Although full coverage isn’t required, it’s something you should consider adding to your budget, even if it’s not mandatory.
Now that you know more about auto insurance companies that don’t penalize you if an accident is not your fault, enter your ZIP code into our free online quote tool to compare multiple companies near you.
Frequently Asked Questions
Will my rates go up if I am involved in an accident that is not my fault?
While every insurance company has its own policies and guidelines, there are auto insurance providers that do not raise rates for accidents that are not the policyholder’s fault. It’s important to review the terms and conditions of your policy or inquire with your insurance company directly to understand their specific approach to non-fault accidents.
Do cheap auto insurance companies that don’t penalize for non-fault accidents compromise on coverage quality?
Not necessarily. While affordability is an important factor, it’s crucial to review the coverage options and policy details provided by the insurance company. Some companies may offer competitive rates without compromising on coverage quality or customer service. It’s important to strike a balance between affordability and adequate coverage to ensure your needs are met.
Can I switch my auto insurance provider if my current company penalizes me for accidents that aren’t my fault?
Yes, you can switch your auto insurance provider if you are dissatisfied with your current company’s policy of penalizing you for non-fault accidents. Before making the switch, research other insurance companies that offer fair policies and rates, and consider obtaining quotes to compare the cost and coverage options. Once you have found a suitable alternative, contact the new insurance company to initiate the switching process. Be sure to review the terms and conditions of the new policy before finalizing the switch.
Will my insurance premium increase if I file a claim for an accident that is not my fault?
In most cases, filing a claim for an accident that is not your fault should not result in an increase in your insurance premium. However, it’s essential to check the specific policies of your insurance company regarding non-fault accidents. It’s also a good idea to consult with your insurance agent or contact your insurance provider directly to understand their approach to handling claims in such situations.
Can I negotiate with my insurance company if they raise my premium after a non-fault accident?
Yes, you can attempt to negotiate with your insurance company if they raise your premium after a non-fault accident. Start by contacting your insurance agent or customer service representative to discuss the increase and express your concerns. Provide any relevant information, such as evidence that the accident was not your fault. Depending on the circumstances and the insurance company’s policies, they may be willing to reconsider the premium increase or offer alternative solutions.
Compare Quotes From Top Companies and Save
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Kristen Gryglik
Licensed Insurance Agent
Kristen is a licensed insurance agent working in the greater Boston area. She has over 20 years of experience counseling individuals and businesses on which insurance policies best fit their needs and budgets. She knows everyone has their own unique needs and circumstances, and she is passionate about counseling others on which policy is right for them. Licensed in Massachusetts, New Hampshire,...
Licensed Insurance Agent
Editorial Guidelines: We are a free online resource for anyone interested in learning more about auto insurance. Our goal is to be an objective, third-party resource for everything auto insurance related. We update our site regularly, and all content is reviewed by auto insurance experts.