Will My Insurance Premium Go Up If I Make a Claim After a Car Accident in Florida?

After a car accident, many people are hesitant to contact their own insurance company because they are worried about one thing: Will my insurance rates go up if I make a claim? It is an understandable concern. Florida auto insurance is already expensive, and the last thing most drivers want is a higher premium, especially when someone else caused the accident. Fortunately, Florida law provides important protections for drivers who are involved in accidents that were not their fault.

Under Florida Statute § 626.9541, an insurance company generally cannot impose an additional premium for certain automobile insurance coverages or refuse to renew your policy solely because you were involved in an accident, unless the insurance company has information in its file supporting a good-faith determination that you were substantially at fault for the accident.

In other words, simply being involved in an accident does not give your insurance company the right to surcharge your policy. This protection can be especially important because Florida accident victims frequently need to make claims under their own insurance policies, even when another driver caused the crash.

Florida's insurance system often requires injured people to turn to their own insurance coverage first after an accident.

For example, you may need to make a claim for:

1. Personal Injury Protection (PIP) benefits to help pay medical expenses;
2. Collision coverage to repair or replace your vehicle; or
3. Uninsured/Underinsured Motorist (UM/UIM) coverage when the at-fault driver does not have enough insurance to compensate you for your injuries.

Using insurance coverage on your own policy does not entitle an insurance company to raise your premiums.

What If My Insurance Premium Goes Up Anyway?

There is an important distinction between an accident-related surcharge and a general change in insurance premiums.

Insurance rates can change for many reasons unrelated to a particular accident. An insurer may change its rates across a particular territory or class of policyholders, for example. Your renewal premium therefore could potentially increase even though you were not at fault for an accident.

What Florida law restricts is an insurer imposing an additional premium or refusing to renew certain automobile coverage solely because you were involved in an accident when the insurer cannot make a good-faith determination that you were substantially at fault.

So, if your premium increases after an accident, don't automatically assume the accident caused the increase.

Ask your insurance company why your premium changed.

Should I Be Afraid to Use My Own Insurance After a Florida Car Accident?

You should not avoid making a legitimate insurance claim simply because you are afraid that contacting your insurer will automatically cause your rates to increase.

You paid premiums for the coverage contained in your policy. Depending on the circumstances of the accident, your own policy may provide important benefits while your claim against the at-fault driver is being investigated or pursued.

Before deciding not to use available insurance coverage, it is important to understand what coverage you have, what deadlines apply, and how making—or failing to make—a claim could affect your rights.

Injured in a Car Accident in Southwest Florida?

If you were injured because of another driver's negligence, understanding the different insurance coverages available to you can be confusing.

At Abraham Law, PLLC, we help individuals and families throughout Southwest Florida understand their rights after serious car accidents and pursue the insurance benefits and compensation available to them.

Personalized Attention. Powerful Advocacy.

Contact Abraham Law, PLLC at (239) 421-7090 to discuss your case.

This article is provided for general informational purposes only and does not constitute legal advice. Every case is different, and the application of Florida law depends upon the specific facts and circumstances involved.