How the math works
Claiming an at-fault accident typically costs you three ways: your deductible now, a surcharge of roughly 20–50% at each of the next few renewals, and — if you have forgiveness — burning your one forgiven accident on something small. Paying out of pocket costs you exactly one thing: the repair bill.
The tipping point for a first at-fault claim is usually somewhere between one and two years' worth of surcharge plus the deductible. Below that, cash wins. Above it, claim — that's what insurance is for.
The $2,000 rule: a first at-fault accident with no injuries, damage under $2,000 per vehicle, and nothing paid by any insurer cannot be used to raise your premium (once every 3 years). For true fender-benders, this rule is the whole answer.
Always report, even when paying yourself. Ontario policies require prompt reporting, and the other party can file against you weeks later. Reporting is not claiming — report it, say you intend to handle the damage yourself, and get your estimate independently.
When claiming is the only right answer
- Anyone is injured — accident benefits exist for exactly this, and injuries that seem minor on day one often aren't.
- Damage is large — eating a $9,000 repair to protect against a $700/year surcharge is bad math.
- The other party is difficult — if there's any dispute about what happened, you want your insurer involved early, not late.