Insurers typically review claims over a period of several years. So, whether you filed two insurance claims in six months or two claims in two years, you'll see that you have multiple car insurance claims. When you've had multiple claims, your rate may increase, even if you weren't at fault for the accident (depending on your state and your insurance company). While an insurer can't cancel your policy in the medium term if you've made several claims, it can choose not to renew it.
When you receive a quote for a new insurance policy, the agent or insurer can pre-select coverage limits or present you with some options. The insurance limits in your policy determine the maximum amount your insurer can pay for claims in each category of coverage. Generally, a higher coverage limit means a more expensive insurance premium, and vice versa. That's why it's also important to know how much car insurance you need, so as not to jeopardize your personal assets in the event of an accident.
By requiring specific liability insurance for victims of an accident caused by you, they can receive financial help for injuries and property damage without seriously affecting their own financial well-being. Comprehensive car insurance and collision insurance are also common types of car insurance coverage, although no state requires them. The insurance company and the insured will pay the chosen appraiser and bear the costs of the appraisal and the arbitrator. Learn more about North Carolina's car insurance requirements and some optional coverages, and then learn how to easily get a North Carolina car insurance quote through Progressive.
For other types of auto insurance coverage, such as comprehensive auto insurance coverage and collision auto insurance coverage, the insurance limit is usually the cash value of the car, which normally takes into account the depreciation of the vehicle. Whether you have two car accidents in one day, two car accidents in three months, or two accidents spread out two and a half years apart, your insurer can look at them the same way. Also known as the amount of your coverage, your insurance limit is the maximum amount your insurer can pay for a claim, as stated in your policy. The main reason car insurance is mandatory in almost every state is because of your personal liability (liability) if you cause an accident.
This information is not an insurance policy, does not refer to any specific insurance policy, and does not modify any provision, limitation, or exclusion that is expressly stated in any insurance policy. If you file multiple claims over a short period of time, the insurer may increase your rate or may choose not to renew your car insurance policy when you reach the end of your term. However, drivers who choose not to purchase auto insurance must show that they have sufficient funds to meet the state's financial responsibility requirements (PDF) in the event that they cause an accident.
