The question we are often asked, & the confusion we hear about more than any other, is using your own insurance coverage to handle your personal injury claim. Most people believe that their insurance rates will increase. While there is certainly some truth to this, if you are at fault for an accident, yes, your rates can go up, but they will not go up if you are not to blame for an accident.
The State of Louisiana has addressed this issue in La. R.S. 22:1466(A), which says that:
“No insurer shall increase the rate, increase or add a surcharge, cancel, or fail to renew any policy of motor vehicle insurance when such action is based on consideration of one or more non-fault incidents.”
There are a few things to pull out of that statute:
- The insurance company can not add any type of charge to your account for you making a claim on your insurance.
- They can not take the claim into account, for insurability purposes or for rate purposes, when it comes time for you to renew your policy.
- It doesn’t matter at all how many times you make a claim on your policy, as long as you are not assessed any fault for the accident.
At Gordon & Gordon, we have had several clients who seem to have a target on their back. One client was rear-ended three times in a year and we were able to make Uninsured Motorist claims without any impact whatsoever on his policy or rates.