In Arizona, an insurance carrier can not raise your rates for a collision that is not your fault.
A.R.S. § 20-263 provides that:
“No insurer shall increase the motor vehicle premium of an insured as a result of an accident not caused or significantly contributed to by the actions of the insured.” (See A.R.S. § 20-263 https://www.azleg.gov/ars/20/00263.htm )
This means that your rates can not be raised by a collision when you are not at fault. It does not matter whether you use your own insurance coverages such as UM/UIM, Medical Payments Coverages (Med-Pay), or if your insurance carrier pays for repairs and then recovers from the at fault driver’s insurance carrier. (For more information on the types of insurance coverages see my article http://www.hurtaz.com/types-of-auto-insurance-coverage/ ) Your insurance carrier may raise your rates if there is a single vehicle collision or if the person that damages your vehicle is not located. (For example if your car is damaged by an unknown person in a parking lot.) The statute also does not cover rate increases passed on to a population such as a whole city or state.
Your insurance carrier may raise your rates if you “significantly contribute[d]” the cause of the collision. This means that they may raise your rates if you are substantially at fault for the collision, but not in instances where the other driver is at fault.
The statute also requires that the insurance carrier “shall notify the insured of the reason for the increase.” (See A.R.S. § 20-263 A.)
This statute also gives authority to the Arizona Department of Insurance to investigate, fine, and recover damages for the insured if an insurance carrier violates this statute. (See A.R.S. § 20-263 B.)
I have been helping people injured in car accidents since 2001 and this not only includes maximizing their in-pocket settlement, assisting them with getting great medical care, assisting them with rental and repairs to their vehicle, but also advising them on their insurance coverage. This includes the roles that both insurance carriers play, whose insurance covers what, and whether your insurance carrier can increase your rates or not.
If you or a loved one have been injured in a car accident, call me I can help. My job is to get you paid for your pain, suffering, trouble, and inconvenience. We answer your questions fight to get the best recovery for you. We get results! Call now. I look forward to helping you!
