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Can Your Louisiana Auto Insurer Raise Your Rates After a Not‑At‑Fault Wreck or UM Claim? (The Law Says No.)

Posted by Stephen Babcock February 14th, 2026 Automobile Accidents

Last updated: February 14, 2026

We hear it all the time.  I don’t want to sue my UM/UIM insurer because I don’t want my insurance rates to go up. Many people even hesitate to open a claim—especially an uninsured/underinsured motorist (UM/UIM) claim—because they’ve heard:

“If you use your own insurance, your rates will go up.”
In some states, that fear can be well-founded. But Louisiana has a consumer-protection statute specifically aimed at preventing rate punishment for crashes you did not cause.

In Louisiana, if you were not at fault, your insurer generally cannot raise your rate, add a surcharge, cancel, or non-renew your auto policy based on that wreck.
The core statute is La. R.S. 22:1284.

The Louisiana Rule: “Nonfault Incidents” Can’t be Used to Raise Rates (or cancel/non-renew)

The key statute is La. R.S. 22:1284 — “Motor vehicle insurance; consideration of nonfault incidents prohibited.”
It states that no insurer shall increase rates, add a surcharge, cancel, or fail to renew a motor vehicle policy when that action is based on consideration of one or more non-fault incidents.

What Counts as a “non-fault Incident” in Louisiana?

Louisiana defines a “nonfault incident” as an accident/collision/incident involving a covered vehicle where the driver of the insured vehicle was not at fault—and it applies regardless of whether the incident was reported to law enforcement.
(Definition in La. R.S. 22:1284(B).)

“But I’m Suing my Own Insurer.” Does That Change the Rule?

When people say they’re “suing their own insurer” after a wreck, they’re often describing a dispute over UM/UIM benefits (or another first‑party coverage issue).

The important point is that La. R.S. 22:1284 focuses on fault—not on whether you filed a claim versus filed suit.
If the underlying crash is truly a “nonfault incident,” the statute is designed to prevent your insurer from punishing you for being the victim.
(See La. R.S. 22:1284(A)–(B).)

The Statute has “Teeth”: Refunds, Penalties, and Attorney’s Fees

Louisiana doesn’t just “discourage” this conduct. The statute provides consequences if an insurer violates it: the insurer must refund the excess premium and pay a penalty equal to triple the refund or $1,000 (whichever is greater), and the insured may recover attorney’s fees if they prevail.
(See La. R.S. 22:1284(C).)

Louisiana Department of Insurance Guidance says the Same Thing

The Louisiana Department of Insurance (LDI) consumer guide states an at‑fault accident “will probably cause your rates to rise,” but also says: your insurance company cannot raise your premium for a non‑at‑fault accident. (See LDI’s “Auto Insurance After an Accident” guide: LDI PDF.)

That same LDI guide also lists a consumer help line for questions about rate increases following a claim: 225‑342‑1258.
(Source: LDI PDF.)

Why This Matters Right Now: Premiums Have Been Volatile Nationally

Even when the law is on your side, premium changes are hard to ignore—especially after several years of major swings.
For example, Insurify reported that the national average annual full‑coverage premium dropped 6% in 2025 to $2,144
(Insurify report; see also media coverage such as Insurance Journal summary).

That relief came after steep increases in prior years: Axios summarized Insurify’s finding that car insurance costs rose 46% from 2022 to 2024
(Axios (national); Insurify report).

Looking ahead, Insurify has projected a modest ~1% increase in 2026, to an average of $2,158 for full coverage (PR Newswire / Insurify release; Insurance Journal).

Official inflation reporting also shows auto insurance continuing to move: the U.S. Bureau of Transportation Statistics reported that motor vehicle insurance rose 6.4% year‑over‑year as of April 2025
(BTS (Transportation CPI – April 2025)).

One reason premiums remain sensitive is that claims can be more expensive—medical care, vehicles, parts, and repair complexity.
The Washington Post quoted the NAIC president noting that even a bumper hit can trigger sensor realignment and recalibration costs
(The Washington Post (Oct. 16, 2025)).

Louisiana Context

In Louisiana, Axios reported that full‑coverage premiums fell 15% between 2024 and 2025—but that full coverage is still projected to cost about $2,361 by the end of 2026
(Axios (Louisiana)).

National Comparison: Protections vary a lot by State

Auto insurance is regulated primarily at the state level, and consumer protections can vary widely.
The National Association of Insurance Commissioners (NAIC) provides consumer resources explaining how auto coverage works and why pricing differs
(NAIC consumer page).

California: “If the accident is not your fault, your insurance company does not charge you more.”

California’s Department of Insurance tells consumers that if the accident is not your fault, your insurer does not charge you more—and that if you
are at least 51% at fault, your premium can go up at renewal (a “surcharge”)
(California DOI guide (text version)).

California regulations also restrict when an insurer can decide you’re “principally at‑fault” (51%+), and require an investigation before making that
determination
(10 CCR § 2632.13 (Cornell Law)).

Oklahoma: Statutory Protection Against Premium Hikes for not‑at‑fault Collisions

Oklahoma law prohibits insurers from charging a higher premium rate for liability or collision coverage solely because the insured was involved in a collision
and was not at fault
(Okla. Stat. tit. 36, § 941 (Justia)).

Oklahoma’s Insurance Department FAQ addresses the uninsured-driver scenario directly: it says rates cannot increase after filing a claim on your own policy
when the other driver was at fault and had no liability insurance
(Oklahoma Insurance Department FAQs).

New Mexico: Rates cannot Increase if Based on an Accident Where the Insured is not at fault

New Mexico’s statute provides that rates shall not increase if based on an accident in which the insured is not at fault, and it also restricts cancellation or
nonrenewal on that basis (with an investigation requirement if the insurer disputes an accident report)
(N.M. Stat. § 59A-17-7.1 (Justia)).

Why the Confusion Persists: not Every State Bans “not‑at‑fault” Pricing Penalties

Consumer advocacy groups have documented that in places without clear prohibitions, some insurers have raised premiums after not‑at‑fault accidents.
The Consumer Federation of America (CFA), for example, reported premium increases after not‑at‑fault accidents in a 2017 study of quotes in multiple cities
(CFA press release (Feb. 13, 2017)).

That’s a major reason Louisiana’s rule matters: it draws a bright line between normal market changes and penalizing someone for a crash they didn’t cause.
(Back to Louisiana statute: La. R.S. 22:1284.)

Practical Checklist: What to Do if Your Premium Still Goes up After a not‑at‑fault Crash

  1. Get proof of fault early.
    Police report (if any), photos/video, witness contacts, and any admissions from the other driver can help prevent “fault coding” problems later.
    (Louisiana’s definition still applies even without a police report:
    La. R.S. 22:1284(B).)
  2. If your renewal increases, ask for the reason in writing.
    Specifically ask what rating/underwriting factor changed. (Louisiana prohibits increases “based on consideration” of nonfault incidents:
    La. R.S. 22:1284(A).)
  3. Dispute incorrect fault determinations.
    Provide documentation and ask the insurer to correct the claim record.
  4. Escalate to the regulator when appropriate.
    LDI’s consumer guide lists its Office of Consumer Services number for questions about rate increases:
    225‑342‑1258
    (LDI PDF).
  5. Know the remedy if the insurer violated the statute.
    Refund + penalty (triple or $1,000 minimum) + attorney’s fees if you prevail
    (La. R.S. 22:1284(C)).

FAQ

Does Louisiana Require a Police Report for this Protection?

No. The statute’s “nonfault incident” definition applies regardless of whether the incident was reported to law enforcement
(La. R.S. 22:1284(B)).

What if the Insurer says the Increase is “marketwide,” not because of the Crash?

General rate changes can happen for many reasons, but Louisiana prohibits an increase when it’s based on consideration of a nonfault incident.
That means the reason for the increase matters.
(See statute text:
La. R.S. 22:1284(A).)

Can an Insurer Deny an Application Based Solely on nonfault Accidents?

Louisiana law provides that nonfault accidents/collisions shall not be the sole basis for denying an application or be considered in determining rates
(see
La. R.S. 22:1284(D)).

Closing / Call to action

If you were not at fault in a Louisiana crash and your insurer raised your premium, added a surcharge, canceled, or refused to renew
because of the wreck—especially after you pursued UM/UIM benefits—Louisiana law may provide strong protections under
La. R.S. 22:1284.


If you want help reviewing a renewal notice, a fault determination, or UM/UIM claim issues, contact our office to discuss your situation.

Disclaimer: This article is for general informational purposes only and is not legal advice. Every case depends on specific facts,
policy language, and documentation.

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