Please Help! Quick Car insurance Question

[vegasmom]

I just rear ended someone today. Not too hard, but smashed their bumper nonetheless. It shouldn't be too costly to fix. My car is not damaged at all. I don't have to pay my deductible for liability (to fix their car), right? I ask here instead of my insurance because if I have to pay my $1,000 deductible, I'd rather just pay the person I hit and leave the insurance out of it. I don't want my insurance to go up! If my insurance doesn't make me pay for liability, I'll have them pay and hope they don't raise my rates. The police officer said I can go to traffic school and avoid any points on my license and my insurance won't go up. Is he right? I have no accidents or tickets. Any help would be greatly, greatly appreciated!!!!!!

[fredjacksonsan]

Hi, and Welcome to AF!

First off, your Liability coverage doesn't usually carry a deductible, so if you report it to the insurance company (which I strongly suggest, see below) then they should fix the other person's car without you paying the deductible. The deductible typically applies to your Collision coverage, which is used to repair your own car. Check your policy to be sure, it will lay it all out for you.

If you choose to get into the situation where you pay for their damages instead of reporting to your insurance company, two bad things may happen: 1. They may keep coming after you for little things they found wrong, or say you never paid, and 2. if your insurance finds out they may cancel you - since it's in your contract somewhere that you are required to notify them of accidents.

Typically, unless you're a brand new policyholder, a minor accident won't increase your rates, as there is some forgiveness built into the system. I don't know what the NV laws are, but they may be different than here in VA, and the insurance companies go by the state you live in.

Hope that helps, let me know if I covered everything.

[vegasmom]

Thank you! Thank you! Thank you! I really appreciate your help!!! I called my insurance, and I just have to wait until renewal time to see if my insurance goes up. Hopefully, it won't because it was such a minor accident and my first! Thank you!!!

[fredjacksonsan]

You are welcome, hope it turns out well for you, let us know how it turns out.

[ansidious]

Originally Posted by vegasmom

The police officer said I can go to traffic school and avoid any points on my license and my insurance won't go up. Is he right? I have no accidents or tickets. Any help would be greatly, greatly appreciated!!!!!!

I am not sure how the officer could be so sure about the insurance not going up (or whether is was something you concluded from what he said) but the change in insurance rates depend on the insurance company. Some would not increase if you get the points off your record. Others would first increase your insurance for having an accident and then provide some discount for taking a defensive driving course but effectively increase the insurance slightly. There's no definite guideline for the insurance industry as I hear. In general, it's good to write off points if you want to avoid an increase in insurance.