Will filing a claim raise both insurance rates?

Question

I just got in a car accident and my car is pretty messed up in the front. However, the truck's rear bumper only has a few scratches on it and it was my fault. If he decides to file a claim, will his insurance rates go up also?

Answer 1

Only your insurance should go up.  His insurance company would know nothing about it most likely since he should file a claim with your insurance company.

Answer 2

An insurance policy is more than just keeping compliant with state law, you are paying money for your actions so used it!

Your liability coverage will pay towards the other party's damages of their vehicle. Your rate cannot go up for making a claim. Your rate will go up, if you had a chargeable accident above a certain threshold of damage. For example, in California, if you have an at fault accident, the damages paid must be over $750 to be a chargeable accident in the eyes of an insurance carrier. So you can cause 5 accidents that were all under $750 damages, and your rate would not be effected.

The only thing that making a claim could hurt you, is if you make too many claims. A company can cancel/non renew your policy for "Increase in Hazard," if you make too many claims.

Therefore, to your answer... he can make a claim and it would not go up. But, in reality, it is your insurance policy that should be paying for it. Unless you are in a "No Fault" state.

Answer 3

Both your rates will go up.  

Once the accident is reported, the DMV has a record, which is accessible by the insurance companies.  Any accident, your fault or not, will cause rates to rise.