Is Accident Forgiveness Worth it in Laurel, Maryland?

Navigating the realm of insurance is a tricky thing. It seems like there are so many different things you have to consider when you are deciding which company or independent agent to use. Many of the insurance companies have started offering benefits such as accident forgiveness in an effort to boost their client base. You may wonder if this is something that could benefit you now or down the road. Learn more about what accident forgiveness really is, so you can decide if it is something that would benefit you when you go to renew or redo your auto insurance coverage.

For the most part, insurance companies use a star rating system to determine what you pay for your car insurance. The rating goes from 0 to 6 stars. A person with a 6 star rating will pay the least amount, while those with a 0 star rating will pay the most, if they are even able to purchase insurance.

When you have an at-fault car accident, you will likely lose a certain number of stars. This would normally make the cost of your insurance go up, possibly considerably. However, a policy that offers accident forgiveness would “forgive” a first accident, essentially making it where your rate didn’t go up despite the accident.

This may or may not be a good deal for you. The problem is that most policies that offer accident forgiveness come at an added cost. If you never have an accident, you are paying extra for no good reason. It’s a matter of weighing the risk versus reward. Talk with your agent, and if you do not have one, perhaps finding a local agent in Laurel, Maryland is the way to go. An agent will better be able to tell you if this would be a major benefit for you.