Cheapest Car Insurance Companies That Don’t Penalize for Small Accidents in 2023

Enter your zip code below to view companies that have cheap auto insurance rates.

Jeffrey Johnson

Insurance Lawyer

Jeffrey Johnson is a legal writer with a focus on personal injury. He has worked on personal injury and sovereign immunity litigation in addition to experience in family, estate, and criminal law. He earned a J.D. from the University of Baltimore and has worked in legal offices and non-profits in Maryland, Texas, and North Carolina. He has also earned an MFA in screenwriting from Chapman Univer...

Insurance Lawyer

UPDATED: Mar 24, 2023

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Key Takeaways

  • Your first small accident can be covered by accident forgiveness
  • Your driving record will always be a factor in your car insurance rates
  • Accident forgiveness car insurance can be awarded immediately or after three to five years of good driving

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.

Car Insurance Providers with Accident Forgiveness
Car Insurance︃ Provider Period Before Accident Forgiveness is Awarded Period Before Accident Forgiveness Can be Purchased How to Get Accident Forgiveness
Allstate Immediate Immediate Optional Purchase/Premium Package
Farmers 3 years Immediate Optional Purchase
GEICO3 years Immediate Optional Purchase
Liberty Mutual 5 years
Nationwide Immediate Immediate Optional Purchase
Progressive Immediate Immediate Optional Purchase/Premium Package
State Farm 9 years
Travelers Immediate Immediate Optional Purchase
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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. 

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.

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