Car insurance went up $520 after one at fault accident?!

[sunshine158]

Hello, im a 25 (f) who has had my lisence since I was 16. Insured & driving and I have never been in a car accident, had a speeding ticket, etc. but in October I got in an accident where I hit a car that was pulling out of a parking spot. I was at fault for it. We exchanged info, everything was smooth. But I just got a letter from Allstate saying my insurance is going up $520?! I knew it was gonna go up after the crash but that much??? Is there anything I can do? That just seems insane to me after one accident in 8 whole years….is this normal? Should I call and speak to them or is this a lost cause and this is just how it is? Im on the insurance with 3 other family members and all of us are insuranced in each other’s cars (4 total) 520$ increase? Im just stunned. Is this how insurance works?

 

[mike331]

@sunshine158 Yes, this is normal.

No, you can’t fight it with them.

You can shop for a different carrier. An independent agent would be a great idea in this case.

 

[resjudicata]

@mike331 $520 bucks to me isn't that much of an increae.

Edit to add.. I'm assuming this is for the period and not a month.

 

[flowernbloom]

@resjudicata You’re assuming in a very optimistic way

 

[sunshine158]

@mike331 What do you mean by independent agent? Im pretty ignorant about this as my dad has all our isurance and we just pay him monthly. It’s a huge jump from my monthly insurance which used to be around $182 and now plus $520, which is just not even doable for me

 

[manyan]

@sunshine158 An independent agent is an agent that represents multiple companies. An Allstate agent is what is called a “captive” agent - they only have one product (Allstate) to sell. The third way to buy insurance is direct, with no agent - like Progressive or Geico.

 

[resjudicata]

@manyan

The third way to buy insurance is direct, with no agent - like Progressive or Geico.

Which I would absolutely not recommend in OP's case as she seems to be unfamiliar with the industry. Absolutely do not want to buy too little coverage.

 

[chabod]

@manyan All Allstate agents aren't captive. j/s

 

[manyan]

@chabod Thats true, but I was speaking in shorthand.

 

[chabod]

@manyan Np. Just clarifying. I have an Allstate sign in my window, but i'm independent. I don't want anyone driving by looking for an independent and ignore those of us who have an Allstate appt but also many others.

 

[manyan]

@chabod Fair. I also have Allstate in my agency. Not a giant fan.

 

[chabod]

@manyan lol, me neither. Good look!

 

[flowernbloom]

@manyan Independent agent = broker

 

[tomepa]

@sunshine158 Do you live with your father? Are you in the same household as he is?

 

[sunshine158]

@tomepa I am currently but I haven’t the whole time I have had this insurance idk if that matters

 

[resjudicata]

@sunshine158 Are you sure nobody else on the policy got accidents or tickets? Why are you responsible for the entire increase?

 

[manyan]

@sunshine158 Understand this - that $520 is not just for your accident, you were probably going to get a standard rate increase anyway because of inflation, etc, and because you had that accident you ended up with a higher increase. You say you have 2 other drivers, so the rates could have changed because the statistics on one of them - Dad may have aged into a higher rate based on local statistics about drivers his age in cars like his. The makeup of your city itself could change rates too - more people moved there which means more claims, etc. While your accident contributed to the increase, it was certainly not the only factor.

 

[chabod]

@manyan OP should call the agent and see how much the price would change if they took them and the car off the policy. The difference in the price with them on there and without the on there is what the actual cost of OPs insurance is.

 

[mabet]

@chabod Came here to say this. In my teenage years I was not the best driver. Every renewal my father would call our insurance company and have them run a quote without my accident and charge me the difference. Have your father do the same to find out what the policy would be without your accident. If you really want to get into it you can divide the general increase in renewal by four (for your portion) and then add the cost of the loss and that would be your specific increase.

 

[chabod]

@mabet Thanks! Great minds think alike.