Greetings to everybody
Right now, we use a Geico. In the parking lot, we witnessed a hit-and-run.
A reliable body shop provided a quotation of approximately $7,000. They claimed that since the trim needed to be removed and reattached, reuse wouldn’t be effective. A other shop offered ~$3,000 (using the existing trim piece).
Will the next renewal premium be impacted by the difference in repair costs? I know it depends on some things, but generally speaking…As of right now, we have no claims for the previous five years. We enjoy Minnesota (no fault).
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"‘No fault’ coverage applies solely to bodily injury.
The amount your insurance company pays out can affect your policy. Even if your state prohibits premium increases due to claims where you were not at fault, it could still impact your overall loss ratio and potentially lead to non-renewal.
If you notice a significant difference in quotes, also consider the cost of labor. Your insurance will only cover the average labor rates for your area. If you choose a shop with higher labor rates, you’ll be responsible for paying the difference."
After dealing with a hit-and-run in the parking lot while I was with Geico, I faced a similar situation. I had two quotes: one for $7,000 from a reliable shop that wanted to replace the trim and another for $3,000 from a different shop that planned to reuse the existing trim. From my experience, the difference in repair costs could influence your insurance renewal premium, but it’s not always straightforward. In my case, having no claims for the previous five years helped keep my premiums lower, and Minnesota’s no-fault system means your premium may not rise significantly if it’s a single claim. However, the actual impact can vary based on your insurer’s policies and claims history.
A hit-and-run accident can raise your car insurance premiums at renewal. Here’s why:
- Increased Risk: Insurers see hit-and-run incidents as high-risk, leading to higher premiums.
- Unpaid Claims: If the driver isn’t found, your insurer may cover the repairs, impacting your premium.
- Loss of Discounts: You might lose discounts like safe driver or accident-free rewards.
To reduce the impact:
- File a Police Report: Document the incident for your insurance claim.
- Complete Paperwork: Provide all necessary information to your insurer quickly.
- Shop for Insurance: Compare quotes from different companies for better rates.
- Consider Alternative Coverage: Look into liability-only coverage if your vehicle is older.