One at-fault accident claim with more than $2,000 in damages increases your car insurance rate by 57%, or $1,075 a year.
“Your car insurance rate is based on your risk of filing a claim,” says Carole Walker, executive director of the Rocky Mountain Insurance Information Association. “So, if you are at fault in a crash, you are now considered a higher-risk driver. That will likely affect your premium.”
Finding cheap car insurance after an accident can be challenging. Here’s what you need to know.
- An at-fault property damage accident of $2,000 or more can remain on your record for three to five years, spiking your rate by 57%.
- The cheapest car insurance after an accident is from State Farm, followed by Travelers.
- Drivers with two at-fault property damage accident claims of more than $2,000 will see their rates skyrocket by an average of 123%, or $2,340 annually.
How can I get cheap car insurance after an accident?
The best way to get cheap car insurance rates after an accident is to comparison shop. As outlined below, CarInsurance.com’s rate research shows that the average driver with a recent accident can save thousands of dollars by comparing car insurance quotes.
Insurance companies assess risk differently, so your current carrier may not be the most affordable after an accident claim. That’s why shopping around for the best price should be on your list of what to do after a car accident.
Cheap car insurance companies for accidents
Insurers consider your personal driving history, including prior moving violations and accidents when determining your car insurance premiums. They factor in claims costs, accident fault and your age and address. These all help determine how much you pay.
When shopping for the cheapest car insurance companies for accidents, several factors impact your premiums, including the type of accident, damages and any injuries you caused.
CarInsurance.com’s rate analysts have identified the companies with the cheapest car insurance for accidents involving property damage (under and above $2,000), bodily injury and two property damage accidents over $2,000.
The cheapest car insurance company with an accident is USAA, but it is available only to military service members, veterans and their families. State Farm and Travelers offer the cheapest coverage to drivers who do not qualify for USAA coverage.
See the table below for other national car insurance companies’ rates for full coverage with 100/300/100 liability limits and $500 deductibles.
| Company | Property damage under $2,000 | Property damage over $2,000 | Bodily injury | Two property damage accidents over $2,000 |
|---|---|---|---|---|
| Allstate | $4,064 | $4,154 | $4,283 | $5,585 |
| Farmers | $3,895 | $3,920 | $4,127 | $5,943 |
| Geico | $3,146 | $3,154 | $3,319 | $4,726 |
| Nationwide | $2,516 | $2,546 | $2,673 | $3,567 |
| Progressive | $3,113 | $3,118 | $3,127 | $4,292 |
| State Farm | $2,407 | $2,413 | $2,499 | $2,803 |
| Travelers | $2,481 | $2,482 | $2,602 | $3,209 |
| USAA | $2,083 | $2,085 | $2,159 | $3,370 |
How much does an accident raise insurance rates?
An accident typically increases your rate for at least three to five years following the claim. The amount it increases is based on specific factors such as fault, claim amount, bodily injury and how many accidents are on your driving record.
At-fault accidents increase your rate by an average of 57%, or $1,075 over the annual rate of $1,895. Learn more about the increases you may see after an accident in the table below showing annual rates for full coverage with 100/300/100 liability limits and $500 deductibles.
| Accident claim | Average rate after an accident | $ increase | % increase |
|---|---|---|---|
| One at-fault property damage accident over $2,000 | $2,973 | $1,075 | 57% |
| One at-fault property damage accident under $2,000 | $2,952 | $1,055 | 56% |
| At-fault bodily injury accident | $3,096 | $1,199 | 63% |
| Two at-fault property damage accidents over $2,000 | $4,238 | $2,340 | 123% |
Car insurance rate comparison for accident claims
Finding the cheapest cheap car insurance with an accident on your record can take some work. Compare car insurance quotes by shopping different companies. This simple process can save you hundreds of dollars in annual premium costs, even with an accident on your record.
Take a look at our cost comparisons by car insurance companies below for at-fault accidents involving bodily injury, those above and with less than $2,000 in damages and two accidents with damages above $2,000.
How an at-fault bodily injury accident affects annual rates
When you’re involved in an accident with injuries, certain expenses are typically covered by your car insurance’s bodily injury liability policy. This includes medical and funeral expenses, loss of income, pain and suffering and legal fees. You may see an average rate increase of 63% or $1,199 yearly after an at-fault bodily injury accident.
The cheapest car insurance company after a claim with an at-fault bodily injury accident is State Farm. USAA is the most affordable for military members and families.
The table below shows other cheap car insurance companies for at-fault bodily injury accidents. It shows annual rates for full coverage with 100/300/100 liability limits and $500 deductibles.
| Company | Average annual rate | Average rate after an accident | $ increase | % increase |
|---|---|---|---|---|
| Allstate | $2,509 | $4,283 | $1,773 | 71% |
| Farmers | $2,387 | $4,127 | $1,741 | 73% |
| Geico | $1,763 | $3,319 | $1,556 | 88% |
| Nationwide | $1,548 | $2,673 | $1,126 | 73% |
| Progressive | $1,998 | $3,127 | $1,129 | 56% |
| State Farm | $1,984 | $2,499 | $515 | 26% |
| Travelers | $1,606 | $2,602 | $996 | 62% |
| USAA | $1,381 | $2,159 | $778 | 56% |
How an at-fault property damage accident affects insurance rates
After an accident, damages will be estimated and assessed. These include damages to your vehicle and others’ property. If these expenses total more than $2,000, your car insurance rate could increase after the claim by 57%, or $1,075 a year on average.
The cheapest car insurance company after a claim for an at-fault property accident with more than $2,000 is State Farm. USAA is the cheapest car insurance company for military, veterans and their families.
Explore other at-fault property damage accidents’ average car insurance rates after a claim below showing annual rates for full coverage with 100/300/100 liability limits and $500 deductibles.
| Company | Average annual rate | Average rate after an accident | $ increase | % increase |
|---|---|---|---|---|
| Allstate | $2,509 | $4,154 | $1,645 | 66% |
| Farmers | $2,387 | $3,920 | $1,533 | 64% |
| Geico | $1,763 | $3,154 | $1,391 | 79% |
| Nationwide | $1,548 | $2,546 | $998 | 64% |
| Progressive | $1,998 | $3,118 | $1,120 | 56% |
| State Farm | $1,984 | $2,413 | $429 | 22% |
| Travelers | $1,606 | $2,482 | $875 | 54% |
| USAA | $1,381 | $2,085 | $703 | 51% |
At-fault property damage accident less than $2,000
Some at-fault accidents are minor fender-benders. They don’t involve injuries or a lot of property damage. If your accident claim is less than $2,000, your rates might increase slightly less than for a severe accident. On average, you would see a 56% increase – or $1,055 annually – which is only 1% lower than an at-fault property damage accident over $2,000.
State Farm is the cheapest car insurance company after an at-fault property damage accident claim that is less than $2,000 in damages. USAA offers the most affordable option for service members and their families.
The table below shows other car insurance companies’ average annual rates for full coverage with 100/300/100 liability limits and $500 deductibles.
| Company | Average annual rate | Average rate after an accident | $ increase | % increase |
|---|---|---|---|---|
| Allstate | $2,509 | $4,064 | $1,555 | 62% |
| Farmers | $2,387 | $3,895 | $1,509 | 63% |
| Geico | $1,763 | $3,146 | $1,383 | 78% |
| Nationwide | $1,548 | $2,516 | $968 | 63% |
| Progressive | $1,998 | $3,113 | $1,115 | 56% |
| State Farm | $1,984 | $2,407 | $423 | 21% |
| Travelers | $1,606 | $2,481 | $875 | 54% |
| USAA | $1,381 | $2,083 | $701 | 51% |
Two at-fault property damage accidents more than $2,000
Drivers with two at-fault property damage accident claims of more than $2,000 on their record will see an average increase of 123% in their car insurance premiums, or $2,340 annually.
State Farm is the cheapest car insurance company after a claim for two at-fault property damage accidents. USAA is the cheapest option for military members, veterans and their families.
See other annual rates in the table below for full coverage with 100/300/100 liability limits and $500 deductibles.
| Company | Average annual rate | Average rate after an accident | $ increase | % increase |
|---|---|---|---|---|
| Allstate | $2,509 | $5,585 | $3,076 | 123% |
| Farmers | $2,387 | $5,943 | $3,557 | 149% |
| Geico | $1,763 | $4,726 | $2,963 | 168% |
| Nationwide | $1,548 | $3,567 | $2,019 | 130% |
| Progressive | $1,998 | $4,292 | $2,295 | 115% |
| State Farm | $1,984 | $2,803 | $819 | 41% |
| Travelers | $1,606 | $3,209 | $1,603 | 100% |
| USAA | $1,381 | $3,370 | $1,989 | 144% |
How long until an accident is off your insurance record?
It varies by state. In some states, accidents don’t even go on your driving record or only appear if you were deemed at fault and ticketed for a traffic infraction. In other states, accidents go on your record and stay anywhere from three to five years.
Contact your state’s Department of Motor Vehicles to determine if the accident will go on your record and how long it will stay there.
How long will I pay the increased rate after an accident?
After an accident, your premium likely will be higher for as long as the incident is on your record. Typically, this is a period of three to five years. Other factors can impact your rates, including:
- Car insurance company claims and assessment process
- Number of claims you’ve filed in the past five years
- Severity of violations on your record in the past five years
- Total cost of claims against you
You can sometimes avoid a rate hike by purchasing accident forgiveness. This coverage option helps drivers with one at-fault accident on an otherwise clean driving record. Rules vary by company.
How do insurers calculate rate increases after an insurance claim?
Insurance companies use proprietary data when determining an increase. They may or may not place a ceiling on how high the rate can rise after an accident. The resulting increase will likely remain attached to your premium for three years after you file the claim.
According to the Insurance Information Institute (Triple-I), rates will often increase when you file a claim above a set dollar amount and are found at fault for the accident.
How does accident forgiveness work, and which companies offer it?
Accident forgiveness prevents car insurance rates from increasing after you are involved in an accident. The coverage usually applies to your first accident only.
Each insurer that offers accident forgiveness has its own policies for determining how the perk works. Here are some examples of accident forgiveness and which companies offer it.
- Allstate: Policyholders can add accident forgiveness as an option to their coverage.
- American Family Insurance: Accident forgiveness is available to drivers with an excellent driving record.
- Geico: In states where it is available, policyholders can add accident forgiveness to their policy. Those with good driving records might have it added automatically.
- The Hartford: Available when all drivers on a policy are accident-free for five years.
- Liberty Mutual: Drivers who are accident- and violation-free for five years might be eligible for accident forgiveness.
- Nationwide: In select states, policyholders can purchase accident forgiveness as an addition to their policy.
- Progressive: Offers accident forgiveness to policyholders whose first claim is less than $500.
Strategic ways to lower car insurance premiums after an accident claim
The passage of time is the best cure for high insurance rates in the wake of an accident.
“Unfortunately, a claim surcharge for an at-fault crash can impact your premium for up to three years,” Walker says.
A driver must have an accident-free record for at least five years before the policyholder will be eligible for accident forgiveness and discounts based on a clean driving record.
However, you can take several steps immediately to lower your car insurance costs. They include the following.
- Comparing quotes: The best way to lower your costs is to shop around for the best coverage. Each insurer has its own method for setting rates, and your driver profile will likely be a better fit for some insurers than others.
- Raise your deductible: According to the Insurance Information Institute, increasing your deductible from $200 to $500 could trim the cost of your collision and comprehensive premiums by 15% to 30%.
- Drop coverages you don’t need: If your car is old and paid off, you can drop collision and comprehensive coverage to save money. Just be aware that doing so means your vehicle will no longer be covered for any damage it sustains.
- Bundle your coverage: Purchasing multiple insurance policies with the same insurer will often get you a discount.
- See if you qualify for a low-mileage discount: Policyholders who do not commute for work and drive only a few thousand miles a year might be eligible for a discount.
- Improve your credit score: Most insurers use information from your credit history when setting rates. Paying your bills on time and avoiding running up significant debts can improve your credit score, which helps you to access better insurance rates.
“If you have a claim due to an at-fault crash, talk to your insurance professional about other ways to save money or discounts that may be available,” Walker says.
Final thoughts on cheap car insurance after an accident claim
Even the safest drivers can be involved in an at-fault accident. While this typically means your insurance rate will spike as a penalty for the incident, you can find cheap car insurance after an accident by cost-shopping and comparing rates.
While the average rate increase after a bodily injury accident claim is 63%, it may help your rate penalty if this is your first moving violation within five years.
FAQ: Cheap car insurance after an accident
Will my rates go up if I wasn’t at fault?
Typically, your insurance rates will increase if you file a claim above a specific dollar amount and are responsible for the accident. However, your rates may increase even if you are not responsible for the accident.
Some insurers may look at your history of accidents and assume you are a higher risk going forward, even if you were not responsible. This can even be true in a comprehensive claim where damages were unrelated to a collision.
Can I remove or reduce coverage to lower premiums after an accident?
It is possible to reduce your coverage and lower your premium. For example, dropping collision and comprehensive coverage should result in a sizable decrease in cost.
However, remember that reducing or eliminating coverage can dramatically increase out-of-pocket costs if you have a future accident. It rarely makes sense to reduce your liability coverage. If you are sued and your liability coverage is inadequate, you could be on the hook for paying thousands of dollars in damages out of pocket.
Will my accident still affect insurance rates if I switch companies?
If you file a claim after an accident and your rates increase, you may consider looking for a policy with a new insurer.
While shopping around for the best deal is always smart, remember that insurance companies will look at your accident history. Nevertheless, you might still find an insurer willing to cut you a better deal.
Resources & Methodology
Sources
- Insurance Information Institute. “Nine ways to lower your auto insurance costs.” Accessed March 2025.
- Insurance Information Institute. ”Do auto insurance premiums go up after a claim?” Accessed March 2025.
Methodology
CarInsurance.com editors pulled rates from Quadrant Information Services’ Auto Problems Report 2023 for 40-year-old male and female drivers with a Honda Accord LX and a full coverage insurance policy with limits 100/300/100 and $500 comprehensive and collision deductible. We analyzed 5,073,544 records, 1,468 ZIP codes, and 138 insurance companies nationwide.
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