Understanding How a Collision with an Uninsured Driver Can Impact Your Car Insurance Rates in Maryland
Recently, I experienced a minor car accident in Maryland—specifically, I was rear-ended while stopping for a pedestrian at a crosswalk. Immediately after the incident, I contacted the at-fault driver’s insurance company to file a claim and also notified my own insurance provider.
However, I later discovered that the other driver’s insurance had expired, and GEICO, my insurer, declined to cover the damages. I promptly reported the incident to the state authorities to ensure proper documentation.
The collision resulted in only minor damage: a noticeable scuff on my bumper and a small gouge. While I prefer to have it repaired professionally, I’m somewhat comfortable living with the cosmetic imperfections for now.
This situation raises an important question for many Maryland drivers: Will filing a claim through my own insurance after an accident involving an uninsured or lapsed-insured driver cause my premium rates to increase?
Understanding Insurance Impact in Maryland
In Maryland, insurance companies consider various factors when adjusting premiums, including claims history, driving record, and the circumstances of each incident. Typically, when you are involved in a collision—even if the other driver is at fault and uninsured—the way you handle the claim can influence your rates.
What You Need to Know
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Claim Type Matters: Filing a claim for minor damage, especially if you decide to pay out-of-pocket, can sometimes prevent your rates from increasing. However, submitting a claim to your insurer might be recorded as a claim history that could impact future premiums.
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Uninsured Motorist Situations: Since the at-fault driver was uninsured, your options include filing a claim under your policy’s uninsured motorist coverage, if you have it. This coverage often helps cover damages caused by uninsured drivers without affecting your premiums as much.
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State Regulations and Insurance Policies: Maryland law and individual insurance policies vary; some insurers offer accident forgiveness programs or non-renewal protections that can influence rate increases after a claim.
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Mitigating Premium Increases: To minimize potential rate hikes, consider paying for repairs out-of-pocket if the damage is minor. Also, discuss with your insurance provider about any options for reducing the impact of a claim, such as bundling or safe-driving discounts.
Final Thoughts
While submitting a claim through your insurance after a minor collision with an uninsured driver might sometimes lead to increased premiums, every situation is different. It’s important to weigh
