I’m in need of assistance with something pertaining to my auto insurance. I recently purchased a car and insured it for my friend and myself, designating my friend as the primary driver and me as the policyholder. We filed a claim after my friend was in an at-fault collision. We’re going to part ways right now, and I want to know if this claim will have an impact on my rates going forward. I will be obtaining a new policy and we will be terminating the existing one. Since I wasn’t in the accident, what can I do if the claim does effect my premiums?
A claim’s impact is heavily influenced by your current state and the specifics of the loss. Even if the take back is not recorded as a loss directly ascribed to you, it might nevertheless have an impact on other components of your insurance.
Having dealt with a similar situation where I insured a vehicle primarily used by a friend, I understand your concern about how an at-fault claim could impact your future insurance rates. Even though you weren’t driving at the time of the accident, your policy and the claim will likely still affect your premiums, as the claim is tied to your policy. When you get a new policy, the claim history may be considered, and it could potentially raise your rates. To mitigate this, you might want to discuss the details with your new insurer and provide context about the claim. Some companies might offer options or discounts to offset the impact, so it’s worth exploring those possibilities.