Understanding How Auto Insurance Companies Access Driver Records After an Accident
If you’ve recently been involved in a car accident that wasn’t your fault, you might wonder how such incidents impact your insurance profile and what records insurance providers review before offering a quote. Recently, some drivers in Texas have noticed that their Department of Public Safety (DPS) driving records display a “CRASH EVENT” notation after a rear-end collision, with no specific indication of fault. This observation raises questions about how insurance companies assess driver risk and the sources of the information they use.
The Impact of Driving Records Following an Accident
In Texas, when a traffic collision occurs, a crash report is typically filed with the Texas Department of Transportation (TxDOT). This information is then reflected on a driver’s official record, which can be accessed and reviewed by various entities, including insurance providers.
Interestingly, in some cases, the driver’s record will note the occurrence of the crash but may not clearly specify whether the driver was at fault. For example, a record may show a “CRASH EVENT” without additional fault details. This ambiguity prompts a key question: when shopping for auto insurance, do insurers rely solely on these state-maintained records, or do they consult other sources?
Do Insurance Companies Rely on State Records or External Data?
Insurance providers typically consider a combination of information sources to evaluate risk. While state and DMV records provide official documentation of traffic incidents, many insurers also utilize third-party data services such as LexisNexis and CLUE reports. These sources compile claims history, accident details, and sometimes even driving behaviors.
It’s important to understand that LexisNexis and similar data aggregators usually receive information directly from insurance companies and claims adjusters, who submit data about incidents and claims. This process ensures that the data reflects actual insurance claims, including whether the driver was at fault or not, which is crucial for accurate risk assessment.
How Do These Data Sources Influence Insurance Premiums?
When you apply for auto insurance, providers may review your driving record for recent accidents or violations. These records help insurers determine your risk profile. Notably, if the record indicates an accident without fault information, the impact on premiums may differ compared to a clearly marked fault accident.
Additionally, since third-party databases like LexisNexis often contain claims histories, insurers might incorporate this information into their underwriting decisions. This layered approach enables insurers to form a comprehensive picture of a driver’s history beyond just what state records show.
