When you have an accident or violation that results in a surchare to your car insurance policy, an insurance company will apply the surcharge on the following policy renewal date. The surcharge will remain in effect until the renewal that comes once 39 months have passed from the date of your chargeable incident.
Here is an example. If you have a chargeable accident in July 2005 and your policy renews in January 2006, your company will surcharge you on your January renewal. The surcharge for that chargeable incident will be on your policy for 39 months following the incident (some companies only look back 36 months). So in this case, the surcharge will be on your car insurance policy until your renewal in January 2009.
Keep in mind, not all tickets and accidents will result in a surcharge. If you receive a minor speeding ticket (usually considered less than 15 miles over the speed limit), there will probably not be a surcharge for the ticket. However, get 2 of those within a 39 month period and the second incident will be surcharged. A similar measure applies for accidents. If the amount of damage caused in an accident falls under a certain threshold, currently $1,000 (in NY state), the accident is not considered chargeable.
The best thing that you can do is discuss these issues with your insurance agent. If you have a surcharge for an incident that is more than 36 months old, perhaps you should quote your policy with some other companies to see if you can eliminate the surcharge prior to your next renewal.
Here is an example. If you have a chargeable accident in July 2005 and your policy renews in January 2006, your company will surcharge you on your January renewal. The surcharge for that chargeable incident will be on your policy for 39 months following the incident (some companies only look back 36 months). So in this case, the surcharge will be on your car insurance policy until your renewal in January 2009.
Keep in mind, not all tickets and accidents will result in a surcharge. If you receive a minor speeding ticket (usually considered less than 15 miles over the speed limit), there will probably not be a surcharge for the ticket. However, get 2 of those within a 39 month period and the second incident will be surcharged. A similar measure applies for accidents. If the amount of damage caused in an accident falls under a certain threshold, currently $1,000 (in NY state), the accident is not considered chargeable.
The best thing that you can do is discuss these issues with your insurance agent. If you have a surcharge for an incident that is more than 36 months old, perhaps you should quote your policy with some other companies to see if you can eliminate the surcharge prior to your next renewal.
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