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Why Get Accident Forgiveness Clause?


Motorists are aware that the holiday season is the most hassling time to be on the road. The roads are always heavy on traffic, slippery and full of falling holiday decorations or billboards. It would be in the best interest of a motorist to get “accident forgiveness clause” included in their car insurance policy especially during the holidays.

Accident forgiveness clause is an inclusion in certain automobile insurance policies. If this clause is included in your policy, the company you got your policy from will refrain from increasing premiums even if you encounter an accident where you are at-fault. Being involved in an accident is very costly and it can be a cause for your company to increase your premium the next time you apply for a policy. Therefore, it would be very wise to have accident forgiveness clause in your policy during holiday season where the chances of meeting an accident are significantly high.

There are a number of auto insurance companies who offer accident forgiveness clause to clients who have been loyal to the company. There are also some companies who offer this deal to new clients who have switched to their companies. Some companies also offer this deal to parents who have teenaged children who drive, knowing that teenagers are generally regarded by companies as high risk. This offer is fairly attractive but somehow, it seems too good to be true.

There will always be a catch in automobile insurance policies as in all good offers. You need to be ready to spend more for this kind of inclusion in your policy. Some companies have included the clause in every policy they sell but clients will have to pay a higher amount. Others give their clients an option to include or not include the clause in their policy but if the client does choose to include it, an extra fee will be charged. These conditions are all outlined in the policy’s terms and conditions if clients care to read them.

Drivers who are frequently getting into an accident for some reason will do good to have this clause included in their policy as car insurance premiums can jack up to forty percent the next time they apply for a policy due to the frequency of getting involved in road incidents. Meanwhile, drivers who are extra careful and highly disciplined may forego this clause as the need for it is not really likely. It may only count as an unnecessary expense.

To be more certain, you can discuss it with an agent who is selling you a policy. An agent can elaborate on the benefits and consequences of getting such clause included in your policy. You can also have the agent ask any question you have about such policy that are can not be found in brochures. Most likely, though, those who will need this are parents who have teenagers who are prone to drunk driving, over speeding, ignoring road signs and breaking almost all traffic rules discussed during Driver’s Ed.