Will Filing An Insurance Claim Increase My Home & Auto Premiums?

Filing an insurance claim can be stressful enough without worrying about how it might affect your future premiums. Whether it’s a car accident or property damage at home, one of the most common questions people ask is:

“Will filing an insurance claim increase my home and auto insurance premiums?”

The short answer: yes, in most cases, your premiums will go up—but how much they increase depends on several key factors. Let’s break down the top 5 things to consider before filing a claim.

1. At-Fault vs. Not-At-Fault Claims (Auto Insurance)

In auto insurance, the impact of a claim often hinges on who was at fault.

If you’re at fault, expect your rates to increase—sometimes significantly.
If the accident was not your fault, your premiums may still rise, but typically by a smaller amount (depending on your insurer and state laws).

Some companies offer “accident forgiveness” for your first at-fault accident, but not all do.

2. Frequency and Severity of Claims

Insurance companies assess risk—and frequent or severe claims signal higher risk.

Frequent small claims (like minor car repairs or small home water leaks) can still trigger a rate increase.
A large claim—such as a major house fire or total car loss—will almost always result in a noticeable premium hike.

Pro tip: Consider paying out-of-pocket for small repairs to avoid unnecessary premium increases.

3. Type of Claim Matters

Not all claims are treated equally. For example:

Theft or vandalism claims may affect your premium differently than a weather-related home claim.
A comprehensive auto claim (e.g., hitting a deer or storm damage) is often treated more leniently than a collision claim where you were at fault.
Claims involving uninsured motorists might still affect your rates, even though you weren’t responsible.

4. Each Insurance Company Is Different

Every insurance company has its own underwriting rules and claims response policies:

Some offer claims forgiveness or discounts that can cushion the impact of a claim.
Others may raise your premiums regardless of fault or claim type.

That’s why working with an independent agent (who can shop multiple carriers) can be a major advantage.

5. Your Personal Insurance Profile

Even within the same insurance company, individual circumstances matter. Insurers will consider:

Your driving record
Your insurance score/credit
Your claims history
How long you’ve been a policyholder

Someone with a clean history and good credit may see smaller increases than someone with multiple past claims or poor driving habits.

Final Thoughts: Should You File That Insurance Claim?

Before filing any home or auto insurance claim, take a step back and evaluate:

Is the cost of the damage close to or below your deductible?
Will the claim impact your premiums more than it helps you financially?
Do you have prior claims in the last 3-5 years?

When in doubt, consult your agent before filing. There is no right answer but they can help you understand the long-term impact on your coverage and premiums.

📞 Need help reviewing your policy or navigating a claim? We’re here to help.