It's important to know how an auto accident can impact the cost of insurance in Florida. Auto insurance premiums are adjusted regularly, and as a policyholder, if you are involved in an accident, it could cause your insurance to go up dramatically.

Accidents happen every day across the Florida highways. Some are more severe than others. People are injured and cars end up in collision and body shops for repairs. All of this is going to be at a cost – and the cost is what can send your auto insurance sky rocketing.

SAFE DRIVER STATUS

One of the first things that auto insurance companies do when they provide you with a quote is to look at your driving history. The more tickets and accidents you have been involved in, the more expensive your policy is likely to be. This is because you are no longer identified as a "safe driver." Your goal is to be as safe as you can be on the road so that you can reduce the cost of your insurance premiums.

The moment you are involved in an auto accident, whether it is your fault or not to, your "safe driver" status can disappear. You have now been involved in an accident, which is going to cost you and the insurance company money.

EXPENSE OF ACCIDENT

Even though insurance companies can save your money because of taking care of the damage to your car, medical bills, and more, insurance companies don't want to spend money. As soon as they have to spend money, it is going to cost them and you. Your premiums will go up, and they may go up more depending upon how much the insurance company has to pay out on a claim.

Depending upon the severity of the accident, you may have required a large number of repairs to your vehicle, medical bills, as well as a rental car for the duration of the time your car was at the mechanic. All of this adds up, and will be taken into consideration when your policy premiums are re-calculated by the insurance company.

Every accident has a cost. A simple fender bender may be more affordable than that of a major collision and this is likely to be taken into consideration when your insurance is calculated. Don’t assume you have to pay more for your insurance, though. Rate comparing between companies can save you money.

Understanding more about how your auto accident can cost you more on your insurance is critical. You can talk to an independent insurance agent to learn more about how premiums are calculated. Further, if you have been involved in an accident and your premium has gone up, you may want to consider exploring other insurance companies – and an agent can help.