Auto Glass Claims: Understanding The Impact On Insurance Premiums

Whether or not auto glass claims affect insurance premiums depends on the insurance company and the state in which the claim is made. In most states, windshield repair claims do affect insurance, but the rate increase is usually small as these claims are not related to the policyholder's driving. However, insurance companies in California and Oklahoma are not permitted to raise premiums for not-at-fault claims. While most insurance companies' underwriting guidelines do not consider comprehensive claims as surchargeable, frequent windshield claims may cause insurance companies to raise your deductible or refuse to pay for further windshield claims.

Comprehensive coverage includes auto glass repair

Comprehensive coverage is an optional insurance policy that automatically includes auto glass coverage. This means that if your windshield or other types of glass on your car get damaged, comprehensive coverage will provide for repair or replacement. Comprehensive coverage protects your vehicle from damage not related to car accidents or collisions, such as fire, theft, and damage from natural events like hail or a fallen tree.

With comprehensive coverage, if a repair is needed, your deductible is usually waived. However, if replacement is required, you may need to pay a deductible. The cost of windshield replacement is determined by your deductible. Depending on insurance companies, comprehensive deductibles can range from $0 to $2,000, and you choose the amount when signing up for a new insurance policy. Some insurance companies offer a zero-deductible benefit for windshield repairs, meaning they will cover the cost of repair with no out-of-pocket expense for you.

Comprehensive coverage is one of three types of coverage that form an accident policy, the other two being liability and collision. Liability insurance is mandatory, while comprehensive and collision are optional. Liability covers any damage you cause to other people or their property, including their vehicles. Collision insurance covers the cost to repair your vehicle if you hit something and are at fault. Comprehensive insurance, on the other hand, covers almost anything else that is not a collision, including theft, hail, vandalism, and damage from flying objects or animals.

It's important to note that comprehensive coverage may not cover all types of auto glass repair or replacement. For example, if your windshield is damaged in a car accident involving another vehicle or a stationary object, collision coverage would typically apply instead of comprehensive coverage. Additionally, comprehensive coverage may not include full glass coverage, which is an optional add-on that waives the deductible for auto glass repair or replacement.

Collision coverage applies in an accident with another vehicle

Whether you're at fault or not, auto glass repair or replacement is a concern for all drivers. The cost can be high, so it's natural to wonder about the impact on your insurance. The good news is that, in most cases, your insurance premium will not be affected by a windshield claim. This is because windshield replacement or repair is covered by your comprehensive coverage, which is separate from your liability and collision coverage. Comprehensive coverage deals with damage to your car from sources other than collisions, such as theft, vandalism, natural disasters, and civil disturbances. So, if your windshield is cracked by flying gravel, your comprehensive coverage will take care of it without affecting your premium.

However, it's important to note that comprehensive coverage is optional and not required by state law. If you lease or finance your vehicle, your lender may require you to have it. Additionally, there may be limits on the number of windshield claims you can make. If you have too many, your insurance company could raise your deductible or refuse to pay for more claims.

Now, let's focus on collision coverage. Collision insurance is a type of auto insurance that covers repairs or replacement of your vehicle in the event of a crash or accident with another vehicle or object. Unlike liability insurance, collision coverage applies even if you are at fault. While liability insurance covers any damage you cause to other people or their property, collision coverage is for repairs to your own vehicle. For example, if you hit a guardrail, telephone pole, or another car, collision coverage will help pay for the repairs.

Collision coverage is also considered optional and is not legally required in any state. However, if you lease or finance your vehicle, your lender may require it to protect their investment. If you choose not to carry collision coverage and are found at fault in an accident, you will be responsible for the repair or replacement costs of your vehicle. On the other hand, if the other driver is at fault, their liability coverage will typically cover the damage to your vehicle.

When deciding whether to include collision coverage in your insurance policy, consider the value of your vehicle and your ability to pay for repairs or a replacement out of pocket. If your vehicle is new or worth a considerable amount, collision coverage can provide peace of mind and help with expensive repairs. On the other hand, if your vehicle is older and not worth much, you may decide that collision coverage is not necessary. Ultimately, the decision to include collision coverage depends on your individual needs and financial situation.

Claims may be refused after multiple claims

While auto glass claims are unlikely to affect your insurance premiums, making multiple claims may cause your insurance company to raise your deductible or refuse to pay for any more windshield claims. This is because, while most insurance companies' underwriting guidelines do not consider comprehensive claims as surchargeable claims (i.e., claims that directly impact your insurance premium), a high frequency of windshield claims may be taken into consideration when determining future premiums.

It is important to note that auto glass is typically covered under the comprehensive portion of your auto insurance policy, and comprehensive coverage is optional. Therefore, if you have comprehensive coverage that includes glass damage, your insurance company will likely cover the cost of repairing or replacing your windshield without increasing your premium, as long as you do not make too many claims.

To avoid having your claim refused, it is advisable to review your policy and understand the limits on the number of windshield claims you can make. Additionally, consider repairing small chips or cracks as soon as you notice them to prevent them from turning into major cracks that may require a full windshield replacement.

If you are unsure about your coverage or have questions about filing a claim, it is recommended to contact your insurance company or a trained representative who can guide you through the process and help you understand your policy's limitations.

Rates may increase slightly after a claim

While making a claim for auto glass repair or replacement will not directly impact your insurance premium, there are other factors to consider that may lead to a slight increase in your rates.

Firstly, it is important to understand the different types of insurance coverage. There are three main types of coverage that form an accident policy: liability, collision, and comprehensive. Liability insurance is mandatory and covers any damage you cause to other people or their property, including their vehicles. Collision insurance covers the cost of repairing your vehicle if you hit something and are at fault. Comprehensive insurance, on the other hand, covers a range of other scenarios, including theft, hail damage, vandalism, and damage caused by flying objects or animals.

When it comes to auto glass repair or replacement, this typically falls under comprehensive coverage. Most insurance companies do not consider comprehensive claims as surchargeable claims, which means your rates should not increase due to a single claim for a cracked windshield. However, if you make multiple auto glass claims within a short period, your insurance company may view this as a factor in determining future premiums, potentially leading to a slight increase in your rates.

Additionally, while your rates may not increase, there could be other consequences. For instance, your insurance company might raise your deductible after multiple claims or refuse to pay for any more windshield repairs or replacements. This means that if you need to make another auto glass claim, you will have to pay a higher amount out of your own pocket.

It is also worth noting that comprehensive coverage is not mandatory, and in some places with a high number of windshield claims, such as Alberta, companies may remove windshield coverage from the policy in exchange for a rate break. Therefore, it is crucial to carefully review your insurance policy and understand what is and isn't covered, as well as any potential limitations on the number of claims you can make.

Some states waive deductibles for broken windshields

In the US, some states waive the deductible for windshield replacements or repairs as part of comprehensive insurance coverage. These are known as "zero-deductible" or "free windshield replacement" states. Florida, Kentucky, and South Carolina are the only three states that waive the car insurance deductible for windshield repair or replacement. This means that if you have comprehensive coverage and meet all coverage requirements, your insurance company will cover the cost of a windshield replacement without charging you a deductible.

However, it's important to note that you still need to pay for your comprehensive coverage as part of your premium, even in these three states. So, while the windshield replacement itself may be deductible-free, you're still paying for it indirectly through your insurance premium.

Additionally, some states offer separate glass coverage with no deductible or a lower deductible for windshield claims. These states include Arizona, Connecticut, Massachusetts, Minnesota, and New York. This means that even if you don't live in a zero-deductible state, you may still have the option to purchase additional coverage specifically for glass repairs or replacements, which can provide financial protection in the event of a broken windshield.

It's also worth mentioning that insurance companies may offer policies with no deductible for glass repairs or replacements, regardless of your location. These policies typically cover more than just the front windshield, including side windows, glass sunroofs, rear windows, vent glass, and quarter glass.

Frequently asked questions