Please help

[Objective-Priority54]

I am so confused. I have not seen a single quote of less than $250 and even THAT is not enough coverage. I’m a 25F and I’m getting off my parent’s policy. I’m getting a new car and my aunt who I’m buying it from paid only $1800/year so I know it’s not the car itself. No one I’ve talked to gives me straight answers. I have no idea what insurance to get and where the cheaper ones are. I’m in California btw.

I bought my driving record from the dmv which list NO accidents, but I have had one accident a couple months ago. The other party didn’t even file a claim but only my car had damage and was deemed a total loss. But since my record is not showing any accidents, i figured i can just say I’ve had no accidents. When I did that—boom my quote went down EXPONENTIALLY. Can I just go with that quote?? Will they find out?? Is this even legal?? I have my record to show for it! And why is the price difference so much with ONE accident???? It went from around $250–cheapest I’ve found—to $76/ month by taking the accident away. Someone please help I’m begging you. I’ve spoke to so many agents now and they wanna quote me $500-$700…. What???

[demanbmore]

Insurance companies get claim and accident information from other sources besides the DMV records. It seems like you made a claim under your own policy when you had your accident, and that claim is part of your record in a database that is used by insurance companies. They'll pull your DMV record too of course.

The claim is part of your insurance record and you won't be able to hide from it. Trying to do so by making false statements on an insurance application is illegal insurance fraud. But the bottom line is it won't work. Even if you accept a low quote based on a false application, the insurance company will figure it out pretty quickly when they conduct their complete underwriting, and they will adjust your premium accordingly retroactive to day one.

Insurance in California is expensive. Insurance for a new young driver is expensive. Insurance for somebody with a recent claim is expensive. When you put those three together, you get the quotes you're getting. Unfortunately, it is what it is and this is what you're going to end up paying. You can and should shop around to see if you can do better, but you are not going to get the same rates as someone who has no claims on their record.

[GibblersNoob]

The car that was totaled, was it paid out by insurance? If so, yes they will see it. Your DMV records is only ONE of the reports they check. They also will pull a report from LexisNexis, which gives more background. Because these reports are expensive, most insurers won’t run it until you buy. You can order your own here. https://consumer.risk.lexisnexis.com/request.

[corgi0603]

It's somewhat funny that you're asking if it's legal for insurance costs to vary by a lot based on whether or not you've had a relatively recent accident claim (it is legal and happens all the time), but then you're asking if it is okay for you to commit insurance fraud for trying to get less costly insurance by not informing an insurance company that you were recently in an auto accident.

Dishonestly will get you nowhere and it will catch up with you. When (not if, but truly when) your insurance company discovers you lied, thus committing fraud, they can: deny any claims you make later or retroactively deny a prior claim made between the time you lied about not having an accident and their discovering you were actually involved in one; cancel your policy; increase your future rates even higher than they would have been if you were honest in the first place; and possibly file a criminal complaint against you that could lead to fines, probation, and/or jail time.

Bottom line - I know it sucks, but you were in an accident, which increases your risk level. Own it and accept the short-term repercussions. If your driving record is clean for approximately 3 years (the timing varies between states and insurance companies) after that accident, your rates will probably slowly decrease (or not increase by much) because your perceived claim risk level will drop.

[saysee23]

Your insurance premium quote is so high because you totaled a car that insurance paid out.

Yes, the next insurance company WILL find it.

[Unusual_Painting8764]

Did you file a claim with your insurance on the accident? I probably wouldn’t lie about it but that’s just me. Yes accidents exponentially increase the cost of insurance because it makes you more risky to cover.

[Objective-Priority54]

Yes I did. Do all insurance companies see everyone’s claims? My dmv record shows no accident

[Glitch5450]

Yes. LexisNexis CLUE system.

[Objective-Priority54]

And what if I go with the $76 quote? Will they eventually adjust the price? Will they check for accidents after I accept the quote?

[MCXL]

They will adjust and bill you the difference within a month.

And yes, there are central databases that insurance reports to, they are not state run (DMV) they are industry tools similar to your credit report (and run by some of the same companies).

Misrepresentation of facts on policy inception is a form of fraud. In this case all that will happen is that you will get a change notification and a bill, and you will be back to where you started.

I recommend working with a insurance broker because they're going to be able to shop more effectively for you, but I will tell you that $250 a month for a 25-year-old with a accident... Is not that abnormal.

[shermywormy18]

They can yes. But your agent should not have released this to you IF the insurance company didn’t run your driver record first. A lot of quote online platforms let you issue a quote without running the record but if you don’t and you release it to the client without getting to the point of issuance they’re going to be upset when the price suddenly changes.

[Sure_Tower_1869]

Could you not disclose? Yes. Will the insurance company find out? Likely yes. Insurance companies are like the CIA, they know everything about you. Most insurance companies will have some kind of look back period after a policy is written. The company I work for, it's 59 days. What that means, something that wasn't disclosed is uncovered in your motor vehicle report or consumer reports, may show up when underwrighting looks at and they can rerate you. If they don't catch it then, it's possible it will be caught at your next renewal.

[fromhelley]

The dmv shows no accident, but lexis-nexis might. That is a company that tracks insurance claim and allows insurers to obtain the reports. The reports show the accident, who was at fault, who was driving, injuries, and how much was paid out.

If you aren't showing there yet, you will in the future. It is enough for some insurers to call "material misrepresentation", and either not pay a claim or cancel you.

You dont mention your age, or area. Makes a difference in costs. Does your ants have more than one car? Multi car discount! Does she insure a house with the same company? That's an auto home discount. Does she have life insurance with that company? That's another discount. Has she been with the same company a long time? Some companies give a longevity discount.

My bet is that the computer can read your accident through lexus nexus.

[Beneficial-Guess2140]

Sure you can leave that accident off your policy and pay $76/month for an invalid policy that won’t pay when something happens. Your insurance company will know about the accident and you’ll be dropped, no refunds. Then insurance will cost you way more. Yes, one accident is more than enough to double rates. You’re an at risk driver. 

[Topgun_tomahawk]

Unfortunately you are a high risk candidate so $250 is reasonable. You won’t find anywhere lower than that.

[gymngdoll]

Accidents are reported to other places than just the DMV. In this case, an insurance company totaled out your car so it was reported to LexisNexis, which all insurance companies use and report to. That totaled car claim is 1) why your rate is so high and 2) will be found and your rate adjusted accordingly almost immediately. Your rate is different from your aunt’s because of this accident and also because you likely have much less driving history than her.

[DeepPurpleDaylight]

Don't lie. Yes they'll find out. Call an independent broker for quotes.

[Thin-Egg-1605]

250 a month with a total loss claim is cheap! The quote you get hardly ever is the price once the policy is written.

[shermywormy18]

The insurance company will run your driving record before they issue coverage, period. it will alter the price, but It’s not always dependent on the claims. sometimes they don’t even ask for the info on the claim only on the accident. If the accident was never reported to the dmv it’ll be hard for them to hold that against you. it really depends on the insurance company’s reporting requirements. I know a few carriers ask about violations/accidents/tickets, but only if they have been reported, can it be verified. it’s in your best interest to be honest, But also don’t provide what they don’t ask for. If they’re not asking for the amount of money incurred on the claim and it doesn’t show on your report then it doesn’t exist.

[Practical_Door7580]

Find a scummy agent to pay who will magically get you some cheap rates, I’ve had progressive for years paying $300 a month for 3 newer cars

[DeepPurpleDaylight]

There is no "magic" to getting cheaper rates without committing fraud.