When Do Accidents Come Off of Insurance? 

There’s no disputing it: accidents can be very costly. Although the details of every auto accident are different, they are all likely to become an important factor in calculating your future insurance premiums. If you are already receiving a surcharge that resulted from your involvement in an accident, you know this all too well. You are probably wondering, “when do accidents come off of insurance?”Leaving aside the potential medical, physical or psychological outcomes of an auto accident, figuring out when related premium surcharges will come off of your bill can be difficult. Here are some basic expectations that you should have. 

After the Accident

Following your accident, you will typically be subject to the cost of your deductible in the case of a claim. On top of that, the accident will appear on your driving history when your carrier pulls violation and accident reports. In many cases a surcharge will be applied when your policy renews. So if your policy renewal is months away, you won’t experience any financial impact aside from the deductible until the renewal date. If your accident occurs less than a month before your renewal, there is a chance that your accident may not register on the carrier’s radar until after your renewal. It may depend on how frequently your carrier pulls reports to update your information.

Now That the Accident Is on My Insurance, When Does It Come Off?

In most cases, there is a five-year window, beginning the day of your accident, within which your accident may factor into your insurance premium calculation. The accident surcharge will typically decrease over time, with more substantial decreases occurring after the three-year mark. These time periods are fairly standard within the industry, so expect to have to wait for accidents to come off, even if you switch insurers. If your renewal date is farther into the future with your current carrier, there may be an advantage to staying put, rather than switching and having the accident factor immediately included in your new rate.

Ways to Lower Your Rate After an Accident

If you are paying an accident surcharge currently, there are a few things that you can do to lower your bill, short of simply waiting. Check with your carrier or agent about available discounts for bundling your home and auto, taking a defensive driving course or being a member of a driving club or special affinity group. Beyond discounts, you can always adjust your coverages and deductibles to bring your premium more in line with your budget.

In the Meantime, Keep Your Driving Record Clean

One very important thing to remember when you are in the middle of waiting out an accident surcharge is to drive safely and conservatively. Stay violation-free and accident-free in order to avoid the unpleasant experience of starting the clock over. The three-year window after your accident is the typical window in which it is crucial to avoid additional violations and at-fault accidents. Driving defensively is always important, but an addition to your record in this period can be especially costly.

Final Thoughts on Accidents Coming off Your Insurance

Whether you are trying to lower your insurance premium after an accident or just trying to understand how a recent accident will affect your rates, Plymouth Rock’s licensed agents have seen it all and can offer expert advice. We’ve been serving NJ drivers for almost four decades and can give you straightforward and concrete solutions to your auto insurance challenges. We also have information about different coverage options, so if you are looking for more information about full coverage or gap insurance, simply click the links. We also have information about how much insurance is mandatory in the state of New Jersey and why it's important to have it. All of the information that we provide is to help you know your options and get the best value you can get.

Call 855-993-4470, get your free quote online, or find an agent to learn about when accidents come off of insurance in NJ. If you need additional information it can be found on our Contact Us page.