This site is operated by a third party, not by Costco. Use of this (and any destination sites you reach through this site) is subject to the site's Terms of Use and Privacy Policy rather than those of Costco.
CONNECT, powered by American Family Insurance, has changed its name to American Family Insurance. No action is needed by you. Please see our FAQ for quick answers to common questions.
Skip to Main Content
1-888-404-5365
American Family Insurance Logo
Quote
Sign in
Call
Search
Sign in
Call
Search

Claims

    Blonde woman driving a car

    What effect does a not-at-fault accident have on my insurance?

    This can depend on several factors. Statistically speaking, if you file one car claim (whether at-fault or not-at-fault), you’re more likely to file more claims in the future. Insurance companies factor in those projected losses when they determine how much premium to charge you. While it may be frustrating to see a premium increase in a situation like this, insurers need to align rates to the individual risk associated with each policy. The statistical evidence demonstrating higher future insurance costs, even when an individual was not at fault, is significant and should be reflected in premiums.

    Additionally, in a majority of states, accident claims are filed against the driver who is at fault. But in some cases, you may be involved in a hit-and-run scenario where the at-fault driver is nowhere to be found. Or, you could be involved in an accident with a driver who has no insurance at all. In these cases, your insurance company will have to foot the bill for the damage, although the other driver was the one at-fault. These situations increase the cost of doing business for insurance companies, and, as a result, cause premiums to rise.

    Tools & resources

    Explore our tools and smart tips.
    a desk with a keyboard, notepad, glasses and coffee
    View more resources
    Check out more resources.
    Resources
    a woman reading on a laptop
    More articles
    Browse more articles.
    Resources
    a couple signing a document with an agent
    View our coverages
    Find coverage that best fit your needs.
    Resources
    Coverages
    American Family Insurance is our brand name. Auto policies are underwritten by American Family Connect Property and Casualty Insurance Company, American Family Connect Insurance Company, or Midvale Indemnity Company, Madison, WI. Property policies are underwritten by Homesite Indemnity Company, Homesite Insurance Company, Homesite Insurance Company of California, Homesite Insurance Company of Florida, Homesite Insurance Company of Georgia, Homesite Insurance Company of Illinois, Homesite Insurance Company of New York, Homesite Insurance Company of the Midwest or Homesite Lloyd's of Texas, Boston, MA. American Family Connect Insurance Agency, Inc., places policies with related and unrelated companies. In Texas, certain property coverages may be underwritten by Ranchers & Farmers Mutual Insurance Company. Each company has sole financial responsibility for its products. Products, pricing, discounts, benefits, and availability vary by state and may be subject to change. Exclusions apply.

    Costco Insurance Agency, Inc. is not licensed in New York state. Insurance products are not obtained through the Costco Insurance Agency, Inc. in New York. Costco Wholesale, Costco Insurance Agency, Inc. and its subsidiaries do not underwrite insurance, pay claims or guarantee any of the products or services. Costco Insurance Agency, Inc. (CIA), a licensed insurance agent, may receive compensation.

    This article is for informational purposes only and based on information that is widely available. We do not make any guarantees or promise any results based on this information. We are not responsible for the content of any third-party sites that may be linked in this article. This article does not afford, offer, or guarantee any coverage.