Accident Reported but No Claim, Still Went on Record

I have a question,
I got into a minor fender bender a few days ago. I rear ended someone but it was making a left turn so it was really small. I made a report to the insurance company but me and the person i hit agreed for me to pay and get it fixed since it only cost $400 (new bumper painted installed and a rental). I called back TD to tell them i took care of it and the said its considered a claim since i was at fault and therefore will be on my record even though i dealt with it....Is that how it works? Seems unfair my rate will go up although it didnt cost them a penny

Thanks for your

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