Short Answer

In North Carolina, a claim against your auto policy does not automatically raise your rates. Under the state’s Safe Driver Incentive Plan, insurers add surcharges only for at-fault accidents or certain moving violations. If you were not at fault, that claim should not generate surcharge points. Your premium can still change at renewal for unrelated reasons (like company-wide rate changes), but not because of a not-at-fault claim.

Understanding the Problem

You want to know if your North Carolina auto insurance can go up when someone files a claim against your policy even though you were not at fault. Here, you are the policyholder, the insurer decides whether to add a surcharge, and the trigger is a liability claim filed after a crash. One key fact: the police report points to the other driver as the at-fault party.

Apply the Law

North Carolina uses the Safe Driver Incentive Plan (SDIP) to control when insurers can add premium surcharges. The core rule: surcharges attach only to at-fault accidents (and specific convictions). An “at-fault” accident generally means you bear the majority of responsibility. Not-at-fault accidents are non-chargeable and should not produce SDIP points. Insurers apply and remove points through policy renewals, and state law requires rates to follow approved rating plans rather than ad‑hoc surcharges.

Key Requirements

• Fault determination: The insurer must determine you were primarily responsible for the crash before assigning any surcharge points.
• Chargeable event: Only accidents and violations that meet SDIP criteria are chargeable; not-at-fault accidents are non-chargeable.
• Coverage type matters: Payments under comprehensive, medical payments, or uninsured/underinsured motorist coverages do not create SDIP points by themselves.
• Coding and duration: Any surcharge comes from SDIP coding at renewal and typically lasts for three policy years unless corrected.
• Dispute path: You can ask your insurer to recode a claim as non-chargeable and escalate to the North Carolina Department of Insurance if it isn’t fixed.

What the Statutes Say

• N.C. Gen. Stat. § 58-36-65 (Safe Driver Incentive Plan) - Sets how insurers may surcharge for at-fault accidents and certain convictions.
• N.C. Gen. Stat. § 58-36-10 (Making and use of rates) - Requires insurers to use approved rating plans and avoid unfairly discriminatory rates.

Analysis

Apply the Rule to the Facts: The police report indicates the other driver caused the crash, so your claim should be coded as not-at-fault and non-chargeable. Under SDIP, that means no surcharge points should be added to your policy for this claim. If your insurer initially adds a surcharge, you can request recoding using the police report and claim file to show you were not at fault.

Process & Timing

1. Who files: You (or your attorney). Where: Your insurer’s underwriting or customer service department; if unresolved, the North Carolina Department of Insurance Consumer Services Division. What: A written SDIP/coding dispute with your claim number, renewal notice, and the police report; ask to recode as non-chargeable. When: Submit as soon as you receive a surcharge notice or renewal offer—ideally before your renewal effective date.
2. Insurer review: The insurer evaluates fault and claim coding. Response times vary by company, but expect a written decision after review.
3. Escalation: If the insurer refuses to remove the surcharge, file a consumer complaint with the Department of Insurance. You should receive a written response after the Department contacts the insurer.

Exceptions & Pitfalls

• Unclear or split fault can lead to a temporary surcharge until liability is resolved; provide the police report and any witness statements promptly.
• If your insurer pays under collision first and later recovers from the other driver, make sure the company removes any provisional points once reimbursed.
• Comprehensive, medical payments, and UM/UIM claims do not create SDIP points, but your total premium can still change due to company-wide or statewide rate filings.
• Waiting until after renewal can mean you pay the surcharge and must seek a correction and refund later.
• A casual admission of fault to an adjuster can affect the fault decision; keep communications factual and brief.

Talk to a Personal Injury Attorney

If you’re facing a claim against your policy and a potential surcharge, our firm can help you sort out SDIP coding, fault, and next steps. If you’re dealing with injuries or property damage and insurance pushback, our team can help you understand your options and timelines. Reach out today at (919) 341-7055.

Disclaimer: This article provides general information about North Carolina law based on the single question stated above. It is not legal advice for your specific situation and does not create an attorney-client relationship. Laws, procedures, and local practice can change and may vary by county. If you have a deadline, act promptly and speak with a licensed North Carolina attorney.