Rachel Bodine graduated from college with a BA in English. She has since worked as a Feature Writer in the insurance industry and gained a deep knowledge of state and countrywide insurance laws and rates. Her research and writing focus on helping readers understand their insurance coverage and how to find savings. Her expert advice on insurance has been featured on sites like PhotoEnforced, All...

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Jeffrey Johnson is a legal writer with a focus on personal injury. He has worked on personal injury and sovereign immunity litigation in addition to experience in family, estate, and criminal law. He earned a J.D. from the University of Baltimore and has worked in legal offices and non-profits in Maryland, Texas, and North Carolina. He has also earned an MFA in screenwriting from Chapman Univer...

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Reviewed by Jeffrey Johnson
Insurance Lawyer Jeffrey Johnson

UPDATED: Mar 7, 2022

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Just the Basics

  • Allstate Accident Forgiveness is only available on Gold and Platinum packages
  • Accident Forgiveness doesn’t raise your car insurance rates for an accident that you cause
  • Take advantage of discounts and programs like Safe Driving Bonus and Drivewise to get lower rates

We’ve all seen the Allstate Accident Forgiveness commercials claiming an accident won’t raise your rates. While this is true, you might not know that you have to enroll in specific plans to sign up for Accident Forgiveness.

Typically, Allstate car insurance rates increase after every accident you cause. However, the Allstate accident waiver enhancement feature, Accident Forgiveness, doesn’t raise rates after an accident.

In addition to Accident Forgiveness from Allstate, discounts and other programs like Deductible Rewards save you money. Keep reading to learn more about Allstate Accident Forgiveness and if it’s right for you.

How does Allstate Accident Forgiveness work?

Accident Forgiveness is just like it sounds. Drivers are not penalized with higher car insurance rates when they cause accidents. While many car insurance companies now offer this coverage, Allstate was the first to provide it.

It may seem that you can add Accident Forgiveness to your standard Allstate car insurance policy. However, that’s not the case.

Accident Forgiveness is only available through the Gold and Platinum programs with Allstate. Typically, drivers have to be accident-free for three years to qualify.

With Allstate Accident Forgiveness, Gold plan members can have one accident reported on their policy forgiven.

So, for example, if you have multiple drivers on your policy and two get in accidents, only the first one is ignored. As a result, rates will increase after the second accident.

The Allstate Accident Forgiveness reset will begin with your accident. After that, coverage won’t kick in again for three years.

However, the Platinum plan works a little differently. The Platinum plan forgives all accidents. Also, Accident Forgiveness begins the day you sign up for it. There is no waiting period or limit to the number of accidents that are forgiven.

That doesn’t mean you can cause as many accidents as you want. Allstate reserves the right not to renew coverage for drivers with too many accidents on their driving records.

In addition, Gold and Platinum plans are more expensive than standard Allstate rates. However, as with traditional coverages, rates vary by driver.

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How do accidents affect Allstate car insurance rates?

While there are many factors that affect the price of car insurance, your driving record is one of the most significant. Your driving history shows car insurance companies if you are risky to insure.

This table shows average annual car insurance rates from top companies based on driving records. Drivers with accidents, tickets, and DUIs on their driving records see much higher rates.

Average Annual Car Insurance Rates by Driving History
CompanyClean Record1 Accident1 DUI1 Speeding Violation
American Family$2,693.61$3,722.75$4,330.24$3,025.74
Liberty Mutual$4,774.30$6,204.78$7,613.48$5,701.26
State Farm$2,821.18$3,396.01$3,636.80$3,186.01
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One accident raises your Allstate car insurance rates an average of $100 a month. Although, Allstate Accident Forgiveness coverage means you won’t see that rate increase.

However, remember that Accident Forgiveness is only available on the Gold and Platinum plans, which come with higher rates.

What are other Allstate car insurance discounts?

When you’re looking for how to reduce the cost of car insurance, discounts offer the most significant savings. While Allstate Accident Forgiveness doesn’t raise your rates, discounts provide a way to significantly lower auto insurance rates.

This table shows car insurance discounts from top companies, including Allstate, for comparison. The savings amount is listed if it is available.

Car Insurance Discounts by Company
Car Insurance DiscountsAllstate (%)American Family (%)Farmers (%)GEICO (%)Liberty Mutual (%)Nationwide (%)Progressive (%)State Farm (%)Travelers (%)USAA (%)
Adaptive Cruise ControlN/AN/AN/AN/A5xxN/AN/AN/A
Adaptive HeadlightsN/AN/AxN/A5xxN/AN/AN/A
Anti-lock Brakesxxx555x5xx
Claim Freexxx26x10x152312
Continuous CoveragexxxxN/AN/AxN/A15N/A
Daytime Running Lightsxxx155xN/Axx
Defensive Driverxxxx105105103
Distant StudentxxxxN/A10xx7x
Driver's Edxxxx10N/A101583
Driving Device/AppxxN/Ax30402050305
Early SigningxxxxN/A8xN/A1012
Electronic Stability ControlxxxN/A5xxN/AN/AN/A
Emergency DeploymentN/AN/AN/A25N/AN/AN/AN/AN/AN/A
Engaged CoupleN/AN/AN/AN/AN/AN/AN/AN/AN/AN/A
Family LegacyN/AxN/AxN/AN/AxN/AN/A10
Family PlanN/AxxN/AN/A25N/AN/AN/AN/A
Farm VehiclexN/AxxN/AN/AN/AN/AN/AN/A
Federal EmployeeN/AN/Ax810N/AN/AN/AN/AN/A
Forward Collision WarningN/AN/AN/AN/A5xxN/AN/AN/A
Full PaymentN/Axxx$5N/AxN/A7.5N/A
Further EducationN/AN/AN/Ax1015N/AN/AxN/A
Good CreditxxN/AN/AN/AxxxN/AN/A
Good Studentxxx1522.510x2583
Green VehiclexN/A5N/A10N/AN/AN/A10N/A
Lane Departure WarningN/AN/AN/AN/AxxxN/AN/AN/A
Life InsurancexN/AN/AN/AN/AxN/AN/AN/AN/A
Low Mileagexxxxxxx30xx
Military GaragingN/AN/AN/AN/AN/AN/AN/AN/AN/A15
Multiple DriversN/AN/AN/AN/AN/AN/AN/AN/AN/AN/A
Multiple Policies1029x102010121713x
Multiple Vehiclesxxx25102010208x
New Customer/New PlanN/AN/AN/AN/AxN/AN/AN/AN/AN/A
New GraduateN/AN/AN/AN/A5N/AN/AN/AN/AN/A
Newer VehiclexN/AxxN/Axx401012
Newly LicensedN/AN/AN/AN/A5N/AN/AN/AN/AN/A
Occasional OperatorN/AN/AN/AN/AN/AN/AN/AN/AN/Ax
On-Time PaymentsxN/AN/AN/AN/AN/AN/AN/A15N/A
Online ShopperN/AN/AN/AN/AN/AN/A7N/AN/AN/A
Paperless DocumentsxxxN/AN/A5$50N/AN/AN/A
Paperless/Auto BillingxxxN/Ax$30x$233
Passive Restraintxxx40x20x40xx
Recent RetireesN/AN/AN/AN/A4N/AN/AN/AN/AN/A
Roadside AssistanceN/AN/AN/AN/AN/AN/AN/AN/AN/AN/A
Safe DriverN/AN/Ax15N/A3531152312
Seat Belt UseN/AN/AN/A15N/AN/AN/AN/AN/AN/A
Senior DriverxN/AxN/AN/AN/AN/AN/AN/Ax
Stable ResidenceN/AN/AN/AN/AN/AxxN/AN/AN/A
Students & AlumniN/AxN/Ax107N/AN/AN/AN/A
Switching ProviderN/AxxN/A10N/AxN/AN/AN/A
Utility VehiclexN/AxxN/AN/AN/AN/AN/AN/A
Vehicle Recoveryxxx153525x5xx
VIN EtchingN/AN/AxN/A5xxN/Axx
Young DriverN/AN/AN/AN/AxN/AxN/AN/A$75
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Discounts such as safe driver and defensive driver also reward drivers for driving as safely as possible. Finally, for the most savings, bundle all available car insurance discounts.

Additionally, take advantage of additional Allstate perks like the Deductible Rewards to get even more savings.

Gold and Platinum drivers also receive Deductible Rewards. For accident-free drivers, your deductible decreases by $100 a year up to a total of $500.

So, for example, if you have a $1,000 deductible, the first year, it would reduce to $900, and so on as long as you don’t file a collision claim. However, most states require at least a $100 deductible, so you can’t totally get rid of it. The program is also not available in California.

In addition, Allstate car insurance rates after an accident are some of the highest around. So shop around for cheaper coverage. Compare multiple companies to find the best coverage and lowest rates available for you.

Is Allstate Accident Forgiveness worth it?

While Accident Forgiveness is a good option for drivers who spend a lot of time on the road or are unsure of their safe driving skills, you have to sign up for either the Gold or Platinum plan to get coverage. Both plans come with higher rates.

Drivers with the Gold plan can have one accident per policy forgiven. However, drivers have to wait three years for coverage to begin again once an accident is reported.

Platinum drivers will have all at-fault accidents forgiven on their policy. There is no accident limit, but Allstate may not renew coverage if driving behaviors are too risky.

Allstate car insurance rates are very high, especially after an accident. Shop around to see which car insurance company offers you the lowest rates.