How an at-fault collision impacts your car insurance rates

Updated: April 2026

An at‑fault collision increases your car insurance rates because insurers see drivers who cause accidents as higher risk—and that higher risk is reflected directly in your premium.

When a collision results in a claim, a determination of fault is the single most important factor insurers use to decide whether your rates will go up. After an adjuster completes their investigation, if you’re found to be 50% at fault or more, the accident is considered chargeable, meaning it can be used to justify a premium increase at renewal.

From an insurer’s perspective, an at‑fault collision signals a greater likelihood of future claims. As a result, even one chargeable accident can push your premium significantly higher, while multiple at‑fault collisions can limit your access to standard insurance markets altogether.

How much does an at‑fault collision raise your car insurance rates?

An at‑fault collision can dramatically increase your car insurance rates—by nearly 70% after just one accident and more than 160% after two.

To better understand how fault affects pricing, we ran test quotes using our auto insurance quoter for a hypothetical 35‑year‑old male driver living in Toronto. The driver finances a 2025 Honda Civic LX 4DR and starts with a clean driving record (see methodology below).

With no accidents on record, the lowest monthly premium available was $289.75. We then added a single at‑fault collision within the last four years to see how pricing would change. The impact was immediate: the driver’s lowest available rate rose to $491.67/month, an increase of nearly 70% or $201.92 more than a clean record.

Next, we adjusted the quote to include two at‑fault collisions within the same four‑year period. At that point, the increase was even more severe. With two at‑fault accidents, the lowest available rate jumped to $760.50, representing a 163% increase compared to a clean record, an additional $470.75 monthly.

Drivers with multiple at‑fault collisions may be considered too high‑risk by many insurers and could be declined coverage altogether.

When standard markets are no longer available, facility insurance—designed specifically for the highest‑risk drivers—may be the only option, and it typically comes with substantially higher premiums.

Learn more: What happens if you get into an accident outside your province?

Can accident forgiveness coverage shield you from rate increases for first at-fault collision?

Accident forgiveness coverage is one way to protect yourself against a an increase in your insurance after your first at-fault collision. 

Depending on the insurance provider, this coverage may be purchased as an endorsement/add-on to your existing policy, or come included as part of your contract.

However, in the context of insurance, to forgive is not the same as to forget. Even though your rates don’t reflect the at-fault collision, your driving record will still show that you’ve had an at-fault collision.

This means if you switch car insurance companies, you likely won’t be able to maintain low premiums. Accident forgiveness doesn’t follow you from insurance company to insurance company—and it’s only valid for one at-fault collision.

Related: Do different types of collisions impact your car insurance rates?

Important things to remember when it comes to fault and collisions

Getting into a collision can be overwhelming. If you know you were at fault for the crash, either fully or partially, don’t admit responsibility—either verbally or in writing.

Fault determination should always be left to the authorities and insurance providers.

What to do at the scene

• Allow police and insurers to investigate and determine who is at fault
• Do not attempt to settle damages privately, as doing so can expose you to future liability. Hidden vehicle damage or delayed injury claims may arise later, potentially resulting in out-of-pocket costs or legal issues that may not be covered by insurance.
• Report the collision according to provincial requirements and contact your insurer promptly

What to collect from the other driver

Make sure to document the following information:

• Full name
• Home address
• Phone number
• Driver’s licence number
• Insurance company name and policy number
• Vehicle make and model
• Licence plate number

Additional evidence to gather

• Photos or videos of:
  • Vehicle damage
  • The crash scene
  • Road conditions
  • Any visible injuries (if appropriate)
• Contact information for any witnesses

Your insurance company will use this information—along with police reports and other evidence—to assess fault and handle the claim.

The good news is that an at‑fault collision won’t affect your insurance forever. For each year you remain insured without another at‑fault accident, the impact of the original collision generally decreases. Over time, this can help you move back toward lower auto insurance rates.

Read next: How Ontario drivers are saving money on premiums: survey

Frequently asked questions (FAQ)

How long does an at‑fault accident affect insurance rates in Ontario?

Most Ontario insurers consider at‑fault collisions for up to six years. While the impact on pricing is strongest early on, remaining claim‑free over time generally reduces the surcharge until the accident falls off your rating record.

Will insurance rates increase if you’re only partly at fault?

Yes. Under Ontario’s Fault Determination Rules, accidents where you are 50% or more at fault are considered chargeable and may result in higher premiums, including shared‑fault collisions.

Does an at‑fault collision affect insurance if no claim is paid?

Usually not. If no insurer pays any damages—including to the other driver—the accident typically isn’t used to increase rates. Once an insurance payout occurs, however, the collision will be rated as at‑fault at renewal.