Claims forgiveness is a feature provided in your property insurance policy and auto insurance policy. The definition and conditions vary based on the insurance company. It is important to speak to a broker to understand the claims forgiveness that you have on your policy. In short it means your first claim will be forgiven and forgotten and never used against you.
Auto Insurance - This only applies to AT FAULT accident. If you are involved in an accident and you are at fault the insurance company will forgive the accident. It cannot be used to raise your insurance rates the following renewal term or any term if you are insured with the same insurance provider. However, if you have a second at fault loss within a certain time frame (usually 6 years) then the second accident can be penalized. There are terms and conditions you need to fulfill to be eligible for claims forgiveness or accident forgiveness.
Home Insurance - In home insurance all claims are at fault. Hence it becomes very important to speak to your broker before reporting a claim to your insurance company. Just Like Auto Insurance, claims forgiveness, forgives and forgets the first claim. You need to be claim free to 3 to 5 years in most cases to be eligible for claims forgiveness in case of the property or home insurance. Your broker should make you aware if you are eligible for claim forgiveness and you should pick a company that provides the coverage.
In both Home Insurance and Auto Insurance the claims forgiveness needs to be purchased as an additional coverage and you should be eligible for it. Speak to a broker and ask for it before you purchase your home and auto insurance.
Remember Claims forgiveness or accident protection or accident waiver are not additional costs. These features protect you from Insurance Premiums increases and gives your family the peace of mind.
When your policy comes up for renewal please call the Durham branch of Aaxel Insurance Brokers ltd at 289 274 4807 to get a no obligation quote and verify if you are eligible for Claims forgiveness.