Understanding the Impact of Multiple Accidents on Your Auto Insurance: What You Need to Know
If you’ve recently experienced a couple of car accidents within a short period, you might be feeling anxious about how they could affect your insurance rates or coverage options. Here’s a straightforward overview to help you understand what might be coming your way and what choices you might consider moving forward.
Recent Incidents and Their Implications
In the past four months, I’ve been involved in two traffic-related incidents. The first was a minor fender bender in April while parking, which resulted in some damage to my vehicle’s door that Progressive insurance covered, totaling $2,500. The second was a rear-end collision today, where I caused minor scratches to another vehicle by contact with my license plate. Instead of offering to pay directly, I shared my insurance information with the other driver.
Context and Personal Background
A bit about my situation: I am a 27-year-old woman residing in Ohio. I’ve been insured with Progressive for a year, maintaining a clean driving record until these recent events. My policy was $90 per month, with six months remaining until renewal. I have an excellent credit score of 800, which often influences insurance premiums.
Questions to Consider
- How might these recent accidents influence my insurance premiums?
- Is there a significant risk of being dropped by my insurer?
- Does the severity of the incidents play a role in major rate hikes or cancellations?
Insurance Strategy and Vehicle Considerations
I own a fully paid 2012 Honda Civic with an estimated value of around $5,000. Currently, I have about $5,000 in savings. Given the recent accidents, I’m contemplating whether switching from comprehensive collision coverage to a liability-only plan makes sense financially.
Additional Notes
I recently increased my collision deductible from $500 to $1,000. I wasn’t fully aware of how low my premiums were, likely due to my rural Ohio location and the absence of prior accidents. For perspective, my previous coverage with my mother’s plan was approximately $204 annually, based on shared policies. Among friends and family, typical car insurance costs hover around $140 monthly, with some exceptions due to prior violations like DUI offenses.
Final Thoughts
If you find yourself in a similar situation, it’s crucial to review your policy details, consider your vehicle’s value, and weigh the potential costs of maintaining full coverage versus shifting to liability. While these incidents might raise your rates or,
