Accident Forgiveness Insurance is an optional coverage offered by some insurance companies in Ontario. It’s designed to protect drivers from increases in insurance rates after an at-fault accident.

Typically, when a driver is involved in an at-fault accident, their insurance rates will increase at renewal time. This increase can be significant, particularly if the accident resulted in a large insurance claim. Accident Forgiveness Insurance, however, allows drivers to avoid this increase by forgiving one at-fault accident on their record. This means that even if the driver is at fault for an accident, their insurance rates will not increase as a result.

It’s important to note that Accident Forgiveness Insurance is not automatically included in all insurance policies and must be added as an optional coverage. Additionally, not all insurance companies offer this coverage, so it’s important to check with your insurance provider to see if it’s available.

It’s also important to note that Accident Forgiveness Insurance typically only applies to the first at-fault accident and may have specific restrictions and limitations. For example, the driver may need to have a clean driving record for a certain number of years prior to the accident, and the coverage may not apply if the driver has multiple at-fault accidents on their record. It’s important to read the terms and conditions of the coverage carefully to understand how it works and what it covers.

How does accident forgiveness work in Ontario?

Accident Forgiveness is an optional coverage that is available from some insurance providers in Ontario. The coverage is designed to protect drivers from rate increases following their first at-fault accident. Here’s how it generally works:

1. Purchase the coverage: To take advantage of Accident Forgiveness, you will need to purchase this optional coverage from your insurance provider. Not all insurance providers offer this coverage, so be sure to check with your provider to see if it is available.
2. Meet the eligibility requirements: There may be certain eligibility requirements you must meet to qualify for Accident Forgiveness coverage. For example, you may need to have a clean driving record for a certain period of time prior to purchasing the coverage.
3. Experience an at-fault accident: If you are involved in an at-fault accident, your insurance rates may typically increase at renewal time. However, if you have Accident Forgiveness coverage, your insurance provider will not increase your rates as a result of your first at-fault accident.
4. Renew your policy: To continue to receive the benefits of Accident Forgiveness, you will need to renew your policy with the same insurance provider. If you switch insurance providers, you may lose the Accident Forgiveness coverage and any benefits that come with it.

It’s important to note that Accident Forgiveness coverage may have specific restrictions and limitations, and not all insurance providers offer the coverage. Additionally, while Accident Forgiveness can protect drivers from rate increases following their first at-fault accident, it does not protect them from other potential rate increases, such as those resulting from traffic violations or claims related to non-driving issues like theft or vandalism. It’s always a good idea to read the terms and conditions of the coverage carefully and to compare insurance policies and coverage options from multiple providers to find the best policy and rates for your specific needs.

Is accident forgiveness worth it Ontario?

Who has Accident Forgiveness?

Accident Forgiveness is an optional coverage that is offered by some insurance companies in Ontario. Here is a list of some of the insurance providers in Ontario that offer Accident Forgiveness:

1. Allstate
2. Aviva Canada
3. Belairdirect
4. Cooperators
5. Desjardins Insurance
6. Economical Insurance
7. Intact Insurance
8. Johnson Insurance
9. RBC Insurance
10. TD Insurance
11. CAA Insurance
12. Gore Mutual Insurance
13. Wawanesa Insurance
14. Sonnet Insurance
15. Northbridge Insurance
16. Travelers Canada
17. Pembridge Insurance
18. Echelon Insurance
19. The Guarantee Company of North America
20. Coachman Insurance

Problems with Accident Forgiveness coverage

While Accident Forgiveness coverage can be a valuable option for drivers looking to protect themselves against rate increases after an at-fault accident, it’s important to be aware of some potential problems or limitations with this coverage. Here are a few examples:

1. Limited availability: Accident Forgiveness coverage may not be available from all insurance companies, or it may only be available as an option for certain policy types. This means that not all drivers may be able to take advantage of this coverage.
2. Restrictions on the number of accidents: Accident Forgiveness coverage typically only applies to the first at-fault accident on a driver’s record. This means that if a driver is involved in more than one at-fault accident, they may not be protected from rate increases after subsequent accidents.
3. Restrictions on eligibility: Some insurance companies may have specific eligibility requirements for Accident Forgiveness coverage. For example, a driver may need to have a clean driving record for a certain period of time before being eligible for this coverage.
4. Higher premium costs: Accident Forgiveness coverage is typically an optional coverage that can be added to an insurance policy for an additional cost. This means that drivers who choose to add this coverage may end up paying a higher premium for their insurance.

It’s important to carefully review the terms and conditions of any insurance coverage, including Accident Forgiveness, to understand the potential limitations and costs associated with the coverage. It’s also a good idea to compare insurance policies and coverage options from multiple providers to find the best policy and rates for your specific needs.