Will my car insurance rates go up if I report an accident but no payouts are made?

[sindian]

Will my car insurance rates go up if I report an accident but no payouts are made?

[Prayask]

It is possible.  Insurance rates are based on risk, not just the claims paid.  For example, if you get a ticket for speeding, it is perceived that you are a riskier driver.  While this did not cost the insurance company anything, your rates will likely increase.

[Sami]

Your insurance premium is computed on the basis of Vehicle make / model and Registration Location. If there is no claim made in your ongoing policy, then you become eligible for a No Claim Bonus which is a discount on the Own Damage (OD) section of the policy which considerably lowers your premium.

If you have made a claim and withdrawn it, then the NCB benefit would be provided at renewal. However, if your claim is rejected by your insurance company, then the NCB gets withdrawn at renewal.

Hence, making even a small claim can increase your premium on account of NCB withdrwal. Some insures may also charge a loading for multiple claims made in a policy year.

[Arti · Accepted solution]

Dear Sir , 

The car renewal rates may go up in case if there are any change in the renewal premium rates for OD section & TP section & IDV depreciation & NCB if any  respectively .

If the claim is registered but not paid out there will be impact on the NCB , discount will be offered on the renewal OD section as per policy terms & conditions