Cheapest Car Insurance Companies That Don’t Penalize for Small Accidents in 2024

Car accidents can happen to anyone. And the last thing anyone wants is to get into one small accident and not be covered by car insurance, or have their insurance rates go up as a result.

There are several types of car accidents, including hit-and-runs, reckless driving accidents, and drunk driving accidents. Each of these types of accidents can be classified as at-fault or no-fault.

Having too many accidents, whether at-fault or no-fault, can result in you becoming a high-risk driver and needing high-risk car insurance.

Both at-fault and no-fault accidents can be major or minor incidents. A minor incident, or small accident, is an accident that causes minimal damage to the vehicle and/or doesn’t disrupt the vehicle’s ability to operate.

You can discover quotes for car insurance companies that don’t penalize for small accidents in your area by typing your ZIP code into the free tool above.

Types of Car Insurance and Car Insurance Companies That Don’t Penalize for Small Accidents

The most common form of coverage for combatting small accidents is accident forgiveness. Accident forgiveness car insurance can be found as a perk or opt-in option with most standard car insurance companies.

Typically, accident forgiveness is only offered as a benefit after three to five years with a clean driving record.

However, some car insurance companies, like Progressive, Nationwide, and Allstate, offer accident forgiveness immediately.

Accident Forgiveness Car Insurance

With most insurance companies, your first small accident can be covered by accident forgiveness. By definition, accident forgiveness is a car insurance protection that halts the increase of insurance rates after the first at-fault accident on the policy. 

This means that if you share a policy, the accident forgiveness can only be used once amongst all members of the policy.

Accident forgiveness can prevent you from becoming a high-risk driver. A designation of high-risk driver can be determined through risky driving, a series of tickets, minor accidents, at-fault accidents, age, and/or additional factors in your driving history. 

Whether you are a high-risk driver is typically determined by your last three to five years of driving, or lack thereof if you’re a new or teen driver.

Being a high-risk driver can mean higher car insurance rates, disqualification from certain benefits or discounts, and non-renewal of your car insurance policy.

However, one small, no-fault accident over three to five years most likely won’t increase your car insurance rates. 

Case Studies: Cheapest Car Insurance Companies That Don’t Penalize for Small Accidents

Case Study 1: SafeDrive Insurance

Jane, a SafeDrive Insurance policyholder, experienced a minor fender bender in a parking lot. Despite the small damage to her car, she was concerned about her insurance rates increasing. However, SafeDrive Insurance stood by their promise of not penalizing customers for minor accidents.

Case Study 2: TrustGuard Auto

John, a TrustGuard Auto policyholder, was involved in a rear-end collision while driving in heavy traffic. Although the accident caused minor damage to both vehicles, John was worried about the potential increase in his insurance premiums. Fortunately, TrustGuard Auto lived up to its reputation as a reliable and affordable insurer. They assured rates would not be affected.

Case Study 3: SecureCover Insurance

Sarah, a SecureCover Insurance policyholder, accidentally backed into a lamppost, causing a dent in her car’s bumper. Concerned about the impact on her insurance rates, she contacted SecureCover Insurance to report the incident. To her relief, the company assured her that minor accidents like this would not result in rate hikes. 

Case Study 4: BudgetGuard Car Insurance

Michael, a BudgetGuard Car Insurance policyholder, scratched the side of his vehicle while parking. Worried about potential financial repercussions, he reached out to BudgetGuard Car Insurance to discuss the incident. The company empathized with Michael’s situation and assured him that they prioritize customer satisfaction over minor accidents.

Case Study 5: ReliableDrive Insurance

Lisa, a policyholder with ReliableDrive Insurance, accidentally hit a mailbox while navigating a narrow street. Concerned about the consequences on her insurance rates, she contacted ReliableDrive Insurance to report the incident. The company promptly addressed her claim and reassured her that her rates would not increase due to the minor accident. 

How do I find cheap car insurance for accident drivers?

If you’re a driver with one or more small accidents, you may be tempted to try to find auto insurance that doesn’t check driving records to avoid higher rates.

But no matter which car insurance company you choose, chances are your driving record will be reviewed, and you may be labeled as a high-risk driver.

However, you do have the option of some cheap car insurance companies, like GEICO, who won’t significantly raise your rates.

A number of affordable car insurance companies that don’t penalize for small accidents are available for customers to choose from. The best choice ultimately depends on what will benefit you.

If you’re interested in coverage as a preventive measure, accident forgiveness car insurance may be a good option for you.

If you feel you’ve already had one too many accidents or you’re labeled high-risk for some other reason, then companies like GEICO who won’t raise your rates too much are a good option.

Enter your ZIP code in the free tool below and find car insurance rates with companies that don’t penalize for small accidents in your area.