Will My Insurance Go Up If I Was a Hit and Run Victim?

Being the victim of a hit-and-run accident can be a distressing experience, often leaving individuals with vehicle damage and financial concerns. A common worry is whether filing an insurance claim will lead to an increase in premiums. This article clarifies the factors that influence insurance premiums and how a hit-and-run claim might specifically impact your policy.

Understanding How Insurance Premiums Are Determined

Auto insurance premiums are calculated using various factors to assess risk. These include a driver’s record, vehicle type, garaging location, age, and driving experience. Insurers also consider coverage limits, deductibles, and average annual miles driven.

A driver’s history, including past accidents, traffic violations, and previous claims, significantly influences premium costs. A clean driving record results in lower premiums, while a history of incidents indicates higher risk. Insurers differentiate between “at-fault” and “not-at-fault” claims, though even not-at-fault incidents can sometimes play a role in their assessment.

Relevant Insurance Coverages for Hit and Run Incidents

When a vehicle sustains damage in a hit-and-run, two primary types of insurance coverage are relevant. These coverages address damage to your vehicle when the at-fault driver is unknown or uninsured. Understanding their scope is important for navigating a claim.

Uninsured Motorist Property Damage (UMPD) coverage is relevant in hit-and-run scenarios because the fleeing driver is considered uninsured. This coverage helps pay for vehicle damage. While UMPD often has a deductible, it is usually lower than a collision deductible, and some states may require a police report for validity.

Collision coverage can cover damage to your vehicle from an impact, regardless of fault. This coverage is generally optional but often required by lenders for financed vehicles. When filing under collision coverage for a hit-and-run, a deductible applies, which is the amount you pay out-of-pocket before your insurance covers repair costs.

Claim Filing and Its Impact on Premiums

After a hit-and-run incident, specific steps can streamline the insurance claim process. Report the incident to the police as soon as possible, ideally within 24 hours, to obtain an official police report. Documenting the damage with photographs and gathering any available evidence, such as witness information or surveillance footage, is beneficial before contacting your insurer.

Once these initial steps are completed, contact your insurance company to initiate the claim. Provide them with details of the incident, including the police report number and any evidence collected. The insurer will assign an adjuster to assess the damage and determine the cost of repairs or replacement.

The impact of a hit-and-run claim on your insurance premiums is not always straightforward, but it is often less severe than an at-fault accident. Since a hit-and-run classifies you as a not-at-fault party, many states limit or prohibit insurers from increasing premiums solely based on such incidents.

Despite the not-at-fault nature, a premium increase is still possible due to various factors. Some insurers may view any claim, regardless of fault, as an indicator of increased risk, particularly if there’s a history of multiple claims. Individual insurer policies vary; some offer “claim forgiveness” for not-at-fault incidents, while others might adjust rates by removing claim-free discounts. The type of coverage used, whether UMPD or collision, might also influence how the claim is perceived by the insurer regarding future premiums.