Accident Forgiveness

Yes, Allstate has accident forgiveness as part of its optional Gold and Platinum auto insurance packages. Gold-level Allstate accident forgiveness applies to one at-fault accident per policy every three years, while Platinum-level accident forgiveness is not limited to a certain number of accidents.

Allstate accident forgiveness allows customers to keep all previous discounts, like a safe driver discount. Drivers also avoid any accident surcharges that would normally apply. But since Gold-level forgiveness is per-policy, members of a household who share one policy cannot have different accidents forgiven. On the other hand, Platinum forgiveness is unlimited, so multiple people on the same Platinum policy can be forgiven for separate accidents. One driver with a Platinum policy could also have several accidents herself and have them all be forgiven.

However, having Platinum-level accident forgiveness from Allstate is not an excuse to drive recklessly. Platinum customers cannot be downgraded from a Platinum policy to a lower level, but Allstate reserves the right to not renew the policies of customers whose driving habits suggest that they are unacceptably risky to insure.

Because of the added accident forgiveness, Gold and Platinum packages are more expensive than the “Silver,” or standard, level of coverage that most customers purchase.

Another Form of Allstate Accident Forgiveness

Both the Gold and Platinum packages from Allstate also include a deductible rewards program. This perk lowers a customer's collision deductible by $100 on the day they enroll. The collision deductible then decreases by another $100 for every 12 months without a chargeable accident (an accident that would usually lead to a rate increase).

In certain states, the deductible cannot be less than $100, and the deductible decrease is limited to $500 overall. The deductible decrease is also earned, used, and lost at the policy level, meaning that it cannot be applied to multiple accidents.

The cost of Gold and Platinum Allstate packages differs by state and individual driver. In addition, Allstate accident forgiveness is not available in California due to state laws. You can call Allstate or get a quote online to determine the exact price of Allstate accident forgiveness for your individual circumstances.

You should get accident forgiveness if it's included at no extra cost or if the added peace of mind outweighs the price, especially for any high-risk drivers on your policy. Accident forgiveness car insurance is available from many insurers and usually prevents one at-fault accident from increasing your premium every three years.

Some car insurance companies include accident forgiveness as a free loyalty perk for long-time customers. Others charge extra for it. And if it's only available for purchase, you should carefully weigh its costs and benefits in the context of your specific circumstances to determine whether or not purchasing accident forgiveness is worth it.

When It Might Be Worth It to Pay for Accident Forgiveness

• You are a high-risk driver or have a history of at-fault accidents or claims.
• You have a teen driver on your policy.
• You drive more miles than the average driver.
• You live in an area with plenty of traffic and accidents.
• Your premium would increase significantly if you got into an at-fault accident.

Part of determining whether accident forgiveness is worth it is to consider the alternatives. An at-fault accident will raise car insurance premiums by 20% to 40% on average. The exact increase depends on the company, location, and the amount the insurer has to pay for the accident. In most cases, this price increase will remain for three years. However, an at-fault accident can sometimes disqualify you from a good driver discount for 5-10 years, costing you extra.  

The types of drivers on your policy are important, too. High-risk and young drivers are especially likely to need accident forgiveness. However, it's important to note that many insurers require a few years of driving experience without accidents in order to qualify for accident forgiveness. So you should be sure to read the fine print to see if you and other named drivers on your policy are eligible.  

Drivers should also consider risk factors besides age. For instance, drivers who live in areas with poor road conditions and high accident rates are more likely to need accident forgiveness. More hours on the road means a higher chance of causing an accident as well. Similarly, driving at night or while tired is particularly risky.

In short, customers should be honest about their risk factors and driving habits when deciding whether or not to get accident forgiveness. Drivers should also be aware of the nuances of their insurer's accident forgiveness policy.

Conclusions

Regardless of whether you are a safe or risky driver, remember that accident forgiveness programs have different exceptions. Some do not forgive new drivers' accidents. Others still raise rates if an accident is deemed intentional, which sometimes includes DUI-related crashes.

If you are considering purchasing accident forgiveness car insurance, it's best to compare quotes with and without accident forgiveness. Then, compare the additional cost of accident forgiveness with how much your premium would increase if you cause an accident. Finally, consider your personal circumstances and whether the peace of mind of accident forgiveness is worth the expense.

Yes, Farmers has accident forgiveness. Farmers accident forgiveness prevents a single at-fault accident per policy from increasing premiums once every three years. Accident forgiveness is automatically applied to eligible car insurance policies from Farmers.

Drivers must be Farmers customers and licensed U.S. drivers for at least three years to qualify for accident forgiveness. However, customers under 21 years old are eligible even if they have less than three years of U.S. driving experience, as long as one parent qualifies.

Drivers may not have any signs of a poor driving record from the past few years, either. Consequently, drivers cannot have any recent minor violations like speeding tickets, major violations like a DUI, or at-fault accidents that could lead to a rate increase.

Not every state allows accident forgiveness, so contact your Farmers agent or the customer service department if you're wondering about your eligibility. Finally, for more information, check out WalletHub's guide to accident forgiveness.

Yes, USAA has accident forgiveness for car insurance customers. USAA accident forgiveness is available at no added cost to drivers who have had USAA auto insurance for the past five years without any at-fault accidents. Qualifying customers get accident forgiveness automatically applied to their policy.

In some states, USAA customers who do not qualify for loyalty-based accident forgiveness can purchase forgiveness coverage instead. Purchased accident forgiveness provides the same benefits as loyalty-based accident forgiveness, but is available for newer USAA customers as an optional add-on.

USAA accident forgiveness is per policy, not per driver. As a result, if one driver on a shared policy caused an accident in the past five years, the other drivers on the policy cannot have separate accidents forgiven. It's also worth noting that USAA accident forgiveness is not available at all in Connecticut, Delaware, North Carolina, California or New York.

For more information on whether you qualify for USAA accident forgiveness, contact USAA or get a quote online. But before you do so, check out WalletHub's USAA Insurance Review and read about how to decide if accident forgiveness is worth the extra cost.

No, you cannot add accident forgiveness after an accident in order to get that same accident forgiven. Accident forgiveness is designed to be purchased or earned in advance, so it cannot be applied retroactively after an accident.

If you recently had an at-fault accident and want to buy accident forgiveness for future crashes, some insurers will allow you to purchase an accident-forgiveness add-on. For example, Allstate offers Gold and Platinum auto insurance packages, which are available at an additional cost and provide accident forgiveness with no eligibility requirements. On the other hand, accident forgiveness from insurers like Progressive and State Farm requires years of a clean driving record, meaning you cannot get it soon after an accident.

If you don't have accident forgiveness already, you will likely be stuck paying increased premiums after an at-fault accident. However, having an at-fault accident is a good time to compare quotes, since every insurer will raise your premium by a different amount after an accident. And keep in mind that for small amounts of damage, it might be cheaper to pay for repairs yourself than to file a claim and increase your insurance costs in the long-run.

Accident forgiveness eligibility varies by state and insurer, so call your agent or insurance company if you're wondering whether you qualify. And if you are paying higher rates due to an at-fault accident, check out WalletHub's guides to Switching Car Insurance Companies and Car Insurance Discounts.

You should be eligible for accident forgiveness insurance if you have a clean driving record and have been with the same insurance company for a certain number of years (usually at least five). Some insurers, including Allstate, also allow drivers to purchase accident forgiveness without any eligibility requirements.

You see, accident forgiveness programs are divided into two groups: loyalty-based accident forgiveness for good drivers and accident forgiveness for purchase. Loyalty-based programs usually have strict requirements, while add-ons for purchase do not.

Loyalty-Based Accident Forgiveness Eligibility Requirements by Insurance Company

• State Farm – customer for nine years, with no accidents during this period.
• Progressive – customer for five years, no violations or accidents during the past three years.
• USAA – customer for five years without any at-fault accidents.
• Liberty Mutual – no accidents or violations for five years, regardless of carrier.
• Farmers – customer for three years without accidents.
• American Family – five years without at-fault accidents or major violations.

If you do not qualify for loyalty-based accident forgiveness, several major insurers allow drivers to purchase accident forgiveness as a policy add-on.

Allstate accident forgiveness is available through the company's more expensive Gold and Platinum auto insurance packages. Drivers do not have to meet specific qualifications for these Allstate packages.

For Geico accident forgiveness, drivers must meet “driving record and driving experience requirements,” but the details are undisclosed.

Similarly, Nationwide and Travelers do not specify any eligibility requirements for their accident forgiveness, which customers must purchase.

Yes, car insurance can be cancelled after an accident, but insurance companies usually won't do so unless the driver has multiple infractions on their record or the accident was caused by a serious violation like DUI. If the insurer does cancel the policy, they will likely wait until it expires and decline to renew it. However, if your license is suspended or revoked after the accident, some states like California and Texas will allow your insurer to drop you mid-policy.   

The good news is that if your insurance company decides not to renew your policy, they are legally required to let you know, usually 30 days prior to the policy's expiration.

Although it's not as common for a policy to be cancelled before it expires, most states allow insurers to cancel a new policy for any reason within 60 days of it going into effect. After that point, if your insurance company decides to cancel your coverage mid-policy, you will be notified anywhere from 10 to 100 days in advance, depending on the state.

This will give you plenty of time to start looking for a new policy elsewhere. It's essential that you avoid a lapse in coverage, which will only make you seem more high-risk.

On that note, if your insurance company decides to drop your coverage after an accident, you need to find an insurer who will sell you a high-risk policy. While several major insurers offer high-risk policies, you should also consider getting quotes from nonstandard insurance companies that specialize in insuring high-risk drivers. If you're still struggling to find coverage, then you might need to temporarily enter your state's assigned-risk pool while you work to improve your driving record.

Accident forgiveness resets after 3-5 years with most insurance companies. Loyalty-based accident forgiveness, which does not cost extra, normally requires drivers to go five years without at-fault accidents to get an accident forgiven, while accident forgiveness policies that drivers can purchase usually take three years to reset. Timeframes vary by insurance company, though.

How Long Accident Forgiveness Takes to Reset, by Company

• Progressive: 3 years
• Farmers: 3 years
• Travelers: 3 years
• Allstate: 3 years
• Geico: 5 years
• Liberty Mutual: 5 years
• USAA: 5 years
• State Farm: 9 years

The time it takes for accident forgiveness to reset can differ from the time it takes to qualify for accident forgiveness originally. For instance, although Progressive accident forgiveness resets after three years, drivers must be a Progressive customer for five years to qualify in the first place.

Policies from the same company aren't always handled the same way, either. For example, Allstate's Gold auto insurance package includes accident forgiveness that resets every three years, while its Platinum package forgives an unlimited number of accidents.

Yes, State Farm does have accident forgiveness, which allows qualifying drivers to avoid surcharges and keep their accident-free discount after one at-fault accident per policy. State Farm accident forgiveness is only for drivers who have been State Farm customers for nine years without any accidents. This makes State Farm's accident forgiveness unique among major insurers' offerings, most of which require three to five years without accidents to qualify.

Without accident forgiveness, an at-fault crash leads to an average premium increase of 25% for State Farm customers. However, it's important to note that State Farm accident forgiveness is state-specific and is not available everywhere. Contact a State Farm agent in your area for more information on your eligibility.

Yes, Nationwide offers accident forgiveness as an optional policy add-on. Nationwide accident forgiveness keeps premiums from increasing after the first at-fault accident per policy every three years.

In addition to accident forgiveness, Nationwide offers minor moving violation forgiveness. This option prevents one minor citation every three years from increasing your premium. Since the charge has to be minor, something like a speeding ticket qualifies, but a DUI or reckless driving charge does not. This benefit can also be used just once per policy, not once per driver.

Minor moving violation forgiveness is a separate add-on, meaning that you can purchase one, both or neither forgiveness program. If you are interested in violation or accident forgiveness from Nationwide, ask about your specific eligibility and the additional cost when getting a Nationwide quote. Nationwide's forgiveness programs are not available everywhere, due to state regulations.