Whenever you’re determined to be at-fault in a collision, your auto insurance premium is going to go up. Risk is a huge factor in determining what your auto insurance premium is going to be, and the more collisions you cause, the higher your risk, and therefore the higher your auto insurance premium. This often leads people who find themselves to be at-fault in a collision to wonder if they can change auto insurance companies to try and get a lower rate. Unfortunately, doing so isn’t always a good idea.
You can change your auto insurance company any time you want – even after an accident where you’re the at-fault driver – but the company you had at the time the collision occurred is the one that will deal with the accident and any subsequent lawsuits (if any). If you’re sued for damages beyond what your policy limit was at the time of the collision, you’ll still have to pay out-of-pocket to cover the difference.
When you’ll want to seriously consider changing auto insurance companies after an at-fault accident is when you’re facing a sharp increase in your insurance premium. Unless you have accident forgiveness on your policy, you’re going to face an increase in the price of your premium.
However, if the increase is relatively minor, odds are you aren’t going to find a better price by switching companies. If you do, the difference would likely be insignificant. However, in some cases, a person’s car insurance premium can go up by as much as 50% to 80% after an at-fault accident. If this is the case, looking for a new car insurance company might be worth it.
You won’t save much money by changing auto insurance companies after an at-fault collision. Once you have one of those on your record, every company is going to charge you more than they would if you weren’t in the accident. Generally speaking, you’ll only want to look into changing companies if your premium is going to increase substantially if you stay with your current insurer.