• How Accident Forgiveness Insurance Works and Which Companies Offer It?

    Accident Forgiveness Insurance ensures that if a driver has one accident on an otherwise clean driving record, they will not be penalized by their insurance premium increasing. Nationwide is a large American insurance company that philosophizes that accidents do happen, even to the safest of drivers. This coverage is only valid on the first at-fault accident. Any accidents after that will result in having your insurance premium increased possibly by up to 30 percent. This particular policy, also offers a 10 percent discount to anyone with over five years driving experience if they have not made a claim.

    Your insurer can also decide to drop your rating one or two points, instead of to zero. How an “at fault accident” is handled depends on your contract and your insurer. You can get a quote for accident forgiveness policy over phone, online, or in a branch, depending on which is more suitable for you.

    Accident forgiveness insurance is once again coming in to vogue and most major insurance companies now offer insurance with accident forgiveness as a way to attract customers. Some companies offer it as an add-on, while others have it as part of their standard policy. All companies require you to have had the policy in effect, in good standing for three to five years, and to have been accident free for at least three consecutive years. Accident forgiveness only counts for the first accident, not every accident. Companies currently offering “accident-free” discounts are: Allstate, Progressive, Liberty Mutual, Erie Insurance, Farmers, GEICO, Nationwide and State Farm.