What Is Accident Forgiveness?

Accident forgiveness prevents your car insurance premiums from being surcharged after your first at-fault accident. This add-on could save you from a 20-30% increase in your car insurance costs. However, you can’t buy it after a crash, it’s not available in all states and you have to meet your insurer’s requirements of a “good driver” before you can purchase it.

How can you get accident forgiveness?

Some providers offer accident forgiveness for sale as extra coverage while others gift it as a perk to loyal policyholders. 

The catch is that you must have a clean driving record, and not every provider sells it. Most insurers require you to not have had an accident or other traffic violations for three to five years, but this can vary by company and by state. For example, accident forgiveness is not sold in California, Connecticut or Massachusetts.

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Considering the average cost of full coverage car insurance is $397 a month after an at-fault accident (about 20-30% higher than someone with no accident on their record), accident forgiveness coverage presents a lot of potential savings. You can check its availability and your eligibility by calling your insurance agent.

Should you get accident forgiveness?

The latest research shows high-risk drivers on a clean driving streak are most likely to benefit from accident forgiveness coverage. Consider adding it to your auto insurance policy if you’ve been accident-free for several years and:

1. You’re a young driver: A 2022 study from the Insurance Institute for Highway Safety (IIHS) found that your risk of getting into a car accident decreases substantially once you turn 20 and is lowest when you hit 70 years old.
2. You’re male: Men generally drive more than women and are involved in more accidents, according to a separate 2022 study from the IIHS.
3. You drive regularly: The National Safety Council found that in 2022 both fatal and non-fatal car accidents occur most frequently from 4 p.m. to 8 p.m., with fatal accidents occurring most often on Saturdays. You’re also at risk if you travel on holidays like Christmas and Thanksgiving
4. You drive an older car: Vehicles with safety features like rear automatic braking, parking sensors and a rearview camera are less likely to get into a front-to-rear crash than those without.
5. You have high-risk habits: According to the Insurance Information Institute, of all drivers involved in fatal crashes in 2022, 18.5% were speeding, 11% were driving under the influence, 8.9% were involved in careless driving and 5.2% were distracted driving.
6. You live in a rainy area: In low-traffic conditions, rainfall increases your chances of getting into a car accident.

If you fall into one or more of these categories, you’re at a higher risk of being in an accident, so it’s probably worth looking into accident forgiveness.

You can’t buy accident forgiveness after an accident

Not every provider offers accident forgiveness, and the ones that do apply different limits, rules and exclusions, depending on your state. Here’s where you can get it and how:

How to lower your rates after a car accident

While every provider is different, there are three general rules for accident forgiveness: It doesn’t remove accidents from your state driving record, you can’t buy it after an accident happens, and it only applies to one accident per vehicle, not per driver. 

If you’ve had a car accident, here are the best ways to save:

• Compare car insurance quotes: Shop around with at least three insurers to find the cheapest rate after an accident.
• Practice safe driving: Using an app like DriveShield can help you improve your driving skills and get insurance discounts at the same time.
• Search for auto insurance discounts: If you don’t yet qualify for accident forgiveness, you may be able to save money if you buy home insurance from the same company or take a defensive driving course.