What Is Accident Forgiveness, and Should You Get It? 

Accident forgiveness is not a standalone policy but an added benefit that may be included in your auto coverage or offered as a purchasable upgrade. Its core purpose is to shield you from a rate increase after your first at-fault accident.

Without this feature, even a minor accident could impact your premium for several years, depending on the severity of the damage and your previous driving record. With accident forgiveness, your insurer agrees to overlook that one mistake, maintaining your current rate rather than recalculating it based on the incident.

However, not all drivers automatically qualify for this benefit. Insurance carriers often place strict eligibility requirements on who can receive accident forgiveness. A common condition is a clean driving record for a specific number of years, ranging from three to five, depending on the provider. New drivers or those with recent infractions might not be eligible until they’ve demonstrated a safe driving history.

When Accident Forgiveness Makes Sense

Drivers who share their vehicles with multiple household members, particularly inexperienced ones, may find it helpful to have extra protection in case someone makes a costly mistake behind the wheel. Parents with teens on their policies might find that accident forgiveness adds a layer of stability to their long-term insurance costs, especially when new drivers are more likely to be involved in accidents.

Accident forgiveness usually applies to one at-fault accident per policy, not per driver. If you or someone else on your policy has another accident after the first one has been forgiven, the following incident could still result in a higher rate. Some policies may also limit which types of accidents are eligible, such as excluding accidents involving DUI or reckless driving citations.

Reviewing the fine print matters. Some insurers might revoke the benefit if you switch providers, meaning your accident could count against you when applying for coverage elsewhere.

Contact Us

Contact Licona Insurance Group to learn more about your accident forgiveness options and get a quote.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.