My mom was charged this past winter with improper/unsafe lane change after a minor accident this past winter. She met with the prosecutor yesterday and had the ticket reduced to a lesser fine which has no demerit points tied to it. She was informed by her insurance company that her premium has increased $800 because of the accident even though a claim was not made to repair her vehicle. Could someone please shed some light on how this is possible?
Insurance companies only want to see your convictions. From there, they place your convictions in a bracket (eg. minor, major, and see you later). Insurance companies base their pricing on risk. People who are charged with driving offenses are more likely to require some sort of payout during the time their insured. If someone has multiple charges for speeding between 1-15km, they are a bigger risk than a person with none, even though they carry zero demerit points. It's quite possible to be dropped by your insurance company for multiple convictions carrying zero points.
As per OPS Copper's post, what about 'no fault insurance'?
Page 12 lists many of the common offences that can impact your rates. Failing to provide proof of insurance is on the list of minor offences.
Now depending on your provider and policy, they may overlook a minor offence, but it has the potential to increase your rates.