Can an insurance company raise premiums based on a single accident if you were at fault?

Insurance companies have the authority to raise premiums based on a history of claims, including accidents in which you were at fault. When you file a claim for an accident, especially if it is determined that you are responsible, the insurer may view you as a higher risk. This is because being at fault typically indicates a likelihood of future claims. Therefore, they may raise your premiums as a way to offset the increased risk they take on by insuring you.

The option that suggests that premiums cannot be raised does not take into account the common practices within the insurance industry, where insurers assess risk based on driving records and claims history. The variations in premium increases can depend on the severity of the accident and the individual policies, but it is standard for companies to adjust rates following an at-fault accident, regardless of its seriousness or the assessed damages.