Best Auto Insurance Without Penalties for No-Fault Accidents in 2025 (Your Guide to the Top 8 Providers)

Amica Mutual, USAA, and Geico have the best auto insurance without penalties for no-fault accidents because they offer affordable rates, excellent coverage options, and ample discounts.

 

Finding cheap no-fault car insurance is usually easy since most major companies don’t penalize you for being involved. However, you can see your rates increase slightly even at the best auto insurance companies.

Our Top 8 Company Picks: Best Auto Insurance Without Penalties for No-Fault Accidents

All our top picks for cheap, no-fault auto insurance don’t penalize you for having a not-at-fault accident on your driving record. Enter your ZIP code above to get started on finding cheap insurance that doesn’t penalize for at-fault accidents.

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#1 – Amica Mutual: Top Pick Overall

Pros

• Generous dividends: Amica is a mutual provider, meaning certain policyholders have a stake in the company. One of the perks of buying coverage from a mutual is that you may receive dividend payments during years Amica does well.
• Excellent customer service: Amica is well known for its excellent customer service, especially for its quick response times to claims.
• Diverse coverage options: Drivers will find it easy to customize their policies with the exact amount of coverage they want with Amica.
• Bundling options: Earn potential savings by purchasing multiple policies from Amica, like home, renters, or life insurance. See other discounts you may qualify for in our Amica car insurance review.

Cons

• Higher rates: An Amica policy comes with many perks, but it also comes at a higher price. Despite offering several discounts, Amica rates tend to be on the high side.
• Limited availability: Most Americans are eligible for coverage from Amica, but you won’t be able to buy a policy if you live in Hawaii.

#2 – USAA: Best for Military Members

Pros

• Low rates: No matter where you live or what type of driver you are, USAA is almost always the cheapest option for insurance.
• Military discounts: Aside from popular car insurance discounts you can find at most companies, USAA has special savings specifically crafted for military members. Check out insurance savings for military members and their families in our complete USAA auto insurance review.
• Top-rated customer service: USAA has a reputation for providing excellent customer service, especially for how quickly it resolves claims.
• Financial services: USAA offers a lot more than insurance. Eligible members can also take advantage of financial services like loans and retirement funds.

Cons

• Coverage options limited: USAA offers enough coverage for a standard policy, but it lacks some of its competitors’ add-ons. One notable example is gap insurance – you’ll need to go elsewhere if you want this protection.
• Eligibility requirements: Only members can purchase USAA auto insurance. Membership is limited to active and retired military members or their direct families.

#3 – Geico: Best for Cheap Coverage

Pros

• Excellent discounts: Geico offers plenty of ways to save, including unique discounts for federal employees.
• Affordable rates: Most drivers will find that Geico is one of the cheapest options for car insurance. Learn more about Geico’s rates in our Geico auto insurance company review. 
• Unique coverage options: Geico offers add-ons that can be hard to find elsewhere, like rideshare insurance and mechanical breakdown coverage.

Cons

• Mixed reviews: Like most large insurance companies, Geico’s customer satisfaction rates can be hit or miss. Common complaints against Geico tend to focus on claims resolution.
• High-risk drivers pay more: Although Geico is usually affordable, drivers with speeding tickets, at-fault accidents, and DUIs should look at other companies. Typically speaking, Geico does not offer the most affordable high-risk auto insurance rates.

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#4 – State Farm: Best for Personalized Service

Pros

• Large network of agents: State Farm relies on an extensive network of local agents to provide personalized assistance to its customers.
• Add-on availability: State Farm offers a wide range of coverage options to help customize your policy, including rideshare insurance and roadside assistance. Explore more coverage options in our State Farm Car Insurance Company Review.
• Financial stability: As the largest insurance provider in America, State Farm has the financial stability to pay any future claim you might need to make.

Cons

• High rates for bad credit scores: Although State Farm is usually considered an affordable company, it charges much higher rates if your credit score is on the low side.
• Limited online options: While you can get a State Farm quote online, you’ll need to speak with a representative to finalize the purchase of your policy.

#5 – Progressive: Best for Drivers on a Budget

Pros

• Modernized insurance: Progressive focuses on providing its customers with the best online tool possible, making it easy to manage your policy, start claims, and purchase more coverage.
• Affordable rates: Progressive is typically one of the cheapest options for car insurance in every state.
• Name Your Price tool: With the Name Your Price tool, Progressive generates a list of insurance options that match the amount you want to spend each month on your policy. Explore other ways to save in our Progressive auto insurance review.

Cons

• Rates increase after an at-fault accident: Your rates won’t increase after a no-fault accident, but Progressive has one of the biggest price increases if you cause a collision.
• Limited high-risk coverage: One way that Progressive keeps its rates low is by limiting how many high-risk drivers it insures. If you have a DUI or multiple at-fault accidents, you’ll probably find cheaper coverage elsewhere.

#6 – Allstate: Best for Claims Satisfaction

Pros

• Claims satisfaction guarantee: Allstate guarantees any claim it agrees to pay. If you’re not satisfied with your service, Allstate will issue you a credit for future premiums.
• Coverage options: With one of the best lists of coverage options, building the perfect policy for your vehicle is easy with Allstate.
• Safety discounts: Since a no-fault accident doesn’t count against you, you may be eligible for one of Allstate’s good driver auto insurance discounts. Save even more by enrolling in Allstate’s usage-based car insurance program, Drivewise.

Cons

• Mixed reviews: Allstate often struggles with customer satisfaction, especially with its customer service ratings. Explore more reviews and ratings in our Allstate auto insurance review.
• High rates: Allstate is typically one of the priciest insurance options for any driver, regardless of where you call home.

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#7 – Erie Insurance: Best for Customer Service

Pros

• Competitive prices: Erie is usually an affordable option for insurance in the states in which it operates. Compare Erie’s rates with top competitors in our review of Erie auto insurance.
• Customer service: With a focus on its policyholders, Erie is considered one of the best insurance companies for customer service.
• Pet insurance: If you frequently have a pet in the car with you, you can purchase extra coverage to cover vet bills after an accident.

Cons

• Limited availability: Erie Insurance currently sells car insurance in just 12 states.
• Limited customer service: Erie provides excellent service during business hours, but it doesn’t offer 24/7 support like many of its larger competitors.

#8 – Liberty Mutual: Best for Discount Options

Pros

• Discount availability: With 16 discounts, most Liberty Mutual customers find at least one or two ways to save. Explore a full list of discount options in our Liberty Mutual auto insurance review.
• 24/7 help: Liberty Mutual representatives are ready to help with claims or coverage questions at any time of the day or night.
• Excellent coverage options: Liberty Mutual offers plenty of coverage options to customize your policy, including new car replacement and roadside assistance.

Cons

• Average rates: While Liberty Mutual isn’t usually the most expensive option for insurance, it’s also not the cheapest.
• Customer complaints: Liberty Mutual has made recent strides in improving its customer satisfaction, but there are lingering concerns from policyholders about the resolution of its claims.

Best Auto Insurance Companies That Don’t Penalize for an At-Fault Accident

The best auto insurance companies for drivers looking for a no insurance penalty on the car in an accident may be as easy as picking your favorite local provider.

In a study by the Consumer Federation of America, two companies stood out as the best option for those who didn’t cause an accident. While Allstate occasionally penalized drivers, its 4% average penalty is far lower than Progressive’s 16% penalty. On average, though, State Farm auto insurance had a 0% penalty for not-at-fault accidents.

Some companies offer accident forgiveness insurance. This type of coverage prevents insurance rate increases after your first at-fault accident. Companies that have cheap auto insurance after an accident include:

• Allstate auto insurance
• Nationwide auto insurance
• Liberty Mutual auto insurance
• Geico auto insurance

In most states, the driver that caused the accident is responsible for the damages. However, your rates may still increase. Check below to see the average rates for full coverage insurance from our top picks for insurance companies that don’t penalize drivers for a no-fault accident.

Full Coverage Auto Insurance Monthly Rates for No-Fault Accidents

In most cases, you won’t be penalized for an accident you didn’t cause —  depending on the state and the policy. You usually don’t need to list no-fault accidents in your quote application, either — though you should be honest about your driving record if a company does ask.

Keep learning about the circumstances where your provider does penalize you for an accident that’s not your fault.

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Auto Insurance Companies That Do Penalize You for an At-Fault Accident

Auto insurance companies that may penalize you if the accident is not your fault include Progressive, Geico, Farmers, and Allstate.

How much does car insurance go up after an accident? See the table below for a detailed look at what insurance companies charge for no accidents, a speeding ticket, a DUI, and after an accident:

Full Coverage Auto Insurance Monthly Rates by Driving Record & Provider

If a car accident is not your fault, does your insurance go up? Sometimes.

As you can see from the table, Geico is the front runner for affordable car insurance after an accident for the general population. If you’re in the military, you and your family will see the best rates from USAA auto insurance.

When a Not-At-Fault Accident Affects Auto Insurance Rates

A not-at-fault accident means you weren’t the driver who caused the accident. An at-fault accident means you’re responsible for the crash.

No-fault insurance laws require drivers to file a claim with their own insurance company after an accident, even if they didn’t cause the accident. Some states have these no-fault laws, which require drivers to have personal injury protection insurance. Read more about how to make an auto insurance claim when not at fault.

Currently, there are 12 no-fault states:

• Florida
• Massachusetts
• New York
• New Jersey
• Pennsylvania
• Kentucky
• Kansas
• Michigan
• Minnesota
• North Dakota
• Utah
• Hawaii

The other 38 states are tort states, in which the insurance company of the at-fault driver pays all of the damages.

Remember that regardless of the type of insurance system, one driver will still be found to be at fault for the accident and can be charged higher rates.

Some companies will charge you for filing a claim, regardless of fault. You may also see increased rates if you are the victim of a hit-and-run, in which you don’t know who is responsible.

More About Auto Insurance Companies That Don’t Penalize You if an Accident is Not Your Fault

In most cases, not-at-fault claims are charged against the driver who caused the accident. However, it would be best if you double-checked your insurance provider’s rules and your state’s regulations.

If you can avoid filing a claim with your insurance company, your insurance rates are less likely to increase. Even if you didn’t cause the accident, filing a claim will go on your record and could lead to increased rates.

👀 In the market for a new auto insurance provider? Compare insurance rates quickly on our site https://t.co/27f1xf131D for FREE. Speaking of insurance rates, have you ever wondered if State Farm is there when you need them🤝? We have a review for you https://t.co/twfTgnzp74. pic.twitter.com/wHg3Xpll5h

— AutoInsurance.org (@AutoInsurance) March 10, 2023

While we found that State Farm does not penalize drivers in not-at-fault accidents, drivers should always cross-reference their policy. If you’re ready to look for auto insurance companies that don’t penalize you if an accident isn’t your fault, enter your ZIP code to speak with a local agent.

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