In this paper an accident prevention system is being introduced with accident identification for vehicles that will give a higher probability to reduce the accidents taking place every day on roads [1] and at the same time if accident occurs, the system will send SMS to the people family or those people who will be able to take immediate actions. Here, a Microcontroller based system has been developed by using Global System for Mobile Communication (GSM) technology. A magnetic sensor will also be used that will measure the distance from other vehicle. When the distance of the car will be more than the enough close for the car, a warning will be given automatically and blow car back red light. Also, whenever an accident will take place, the SMS send using GSM. The system also used security purpose of the car like sky button, door open. The system is of low-cost and is user friendly.