A few days ago I accidentally reversed my car into a neighbour's parked car, resulting is very minor damage to one of his car's rear wheel arches. My car was undamaged. I immediately notified my neighbour and provided my insurance details. and reported the incident myself to my insurers without delay. Several hours later, I learned that my neighbour's car had broken down, though this was unrelated to the incident involving my car. I have now been told that he is scrapping his car. On updating my insurers, I was told that my next premium will increase because I reported the incident, even though no claim is being pursued by either party. This appears very unfair, as it would clearly have been better for me to delay reporting the incident pending personal consultation with my neighbour, a practice actively discouraged by insurers. Is this acceptable practice by the insurers?