Will my auto insurance rate rise if someone on my policy gets in an accident?
Question:
Answer:
Yes, they will likely rise. Most companies will not allow you to delete someone from your policy if they are still living with you, unless they have their OWN auto policy. A few will let you, but only if you "exclude" them from all coverage - pretty risky, as if they DO drive while excluded, the policy is void.
It depends on the company. Most companies will raise your monthly payments, but a few offer safety (accident) protection.
Allstate offers a new policy called, "Your Choice Auto".
This policy allows you to select multiple accident forgiveness and then you won't see your rates go up when you have accidents.
The first question I have is who is the person? Is this someone that lives in the same household with you and you are adding them as a driver to your vehicle? Or are you trying to add their car?
You can't just add another persons car to your policy. I don't know of any insurance company that will do that, even if the two people live in the same household.
My other question is, why are you adding them? Is it because they can't get insurance on their own because of a bad driving record? If you add them as a driver to your insurance because they live in your house, then your insurance company is going to check their record with motor vehicles anyway and if they have a lot of tickets and accidents, your rates will probably go up anyway, even if they don't have an accident.
Third, if they do have an accident and your rates go up, they will not go back to their old rate by taking them off your policy. The accident will then be part of your record because it happened on your policy.
Talk to your insurance agent about whether or not you would even be able to add this person. It will depend, in part, on whether the person is a member of your household or not.
Most insurance companies will raise your rates if they have to pay out for an accident.
Removing the driver wont fix the problem unless that driver goes out and get's their own insurance. In that case you can show your insurance carrier that the driver is no longer on the policy and has their own insurance. In most cases, the insurance company is not permitted to charge you if you can show that the driver involved in the accident is insured elsewhere.
To answer your first question, if the accident is their fault, yes your rates will increase.
To answer your second question: maybe. First off that person will have to get a policy of their own before the insurer will remove them from the policy. You can ask that they be excluded (the insurer may or may not agree depending on the circumstances), however this will not affect the increase in premium because of the accident. However if this person went out and got a policy of their own, and you can prove that the other company is charging the other person for the same accident (they are rating the person based on the at fault accident), then your insurer MAY decide to restore your rates. Your insurer, however, may decide to inform the other insurer since it was they who paid out it is they who will charge for the accident. Speak with your broker/agent and go through the scenarios with them.
Most cases you can not just add anyone, they would need to be a family member, or at least live in your household. If you are not honest and there is a claim due to a loss/accident you may find yourself with no insurance. If they are a family member or live with you, and you want them off your policy (should you get them on as I need more info on who it is) you can always have them be an EXCLUDED driver thus they do not have coverage at all when driving any of your vehicles.
I guess every state has different rules. In my state, any driver named in the policy will cause the insurance premium to climb Now, ab out removing this person from the Policy. If this person is going to keep driving the car is a big mistake. because if something happens you will have a serious problem with the company. In my state the insurance company won't remove a person from the policy unless you can show that this person has his own coverage or is covered under some other policy
It very well may, but it is not certain. That will depend on the company, and the cost of the claim. You can exclude members of your household from your policy, but then there is no coverage for them if they drive your vehicle. This person you are asking about, do they live with you? You do have coverage on your auto policy for any licensed driver that you have given permission to drive your auto without specifically naming them on your policy.
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