It's not fair. You didn't do anything wrong except being in the wrong place at the wrong time. So why are your insurance rates going up? It wasn't you that just rear-ended the car in front of you, or merged into a lane with other cars in it. You're the victim.....in more ways than one.
Auto insurance carriers have developed intricate and sophisticated computer programs that analyze everything. Credit, driving record, location and gender are just a few of the factors that go into a rate. The predictive modeling done by insurance carriers tells them exactly how much they have to charge a particular driver in order to make enough money to cover all expenses, claims, marketing and profit they have in their budgets.
One factor is Not-At-Fault accidents. The computer says drivers that have been in a not-at-fault accident are statistically more likely to get into an At-Fault accident. It's apparently just math. And it's not fair to a lot of drivers. But it is understandable on some level. For instance, it's probably more likely that an aggressive driver will get hit by another car because of how they drive...changing lanes, speeding up and slowing down, etc... A defensive driver, on the other hand, is probably more reliable and predictable. They don't follow too close, they don't stop short that often and they change lanes only when necessary.
All of this means you have to be very careful about what gets reported to your insurance company when you're not at fault in an accident. If you can be reasonably assured you'll get a proper settlement with the other driver's insurance than that may be the best choice.
Your agent should have a quick conversation with you about what to do in the case of an accident or claim so you can make an educated decision. If not, you're probably not getting the service you deserve.
