It is not uncommon for a person to need high-risk auto insurance. Thirty to thirty-five percent of all drivers need to purchase a non-standard auto policy. Insurance companies can view you as a high-risk driver based on a variety of factors. If you are a new driver, have made mistakes and have a bad driving record, have been convicted of a DWI or any other range of violations, then you might be considered a high-risk driver. This article will discuss the high-risk car insurance quote you might be searching for.
When you sit down with an independent auto insurance agent, the first thing that needs to be decided is whether or not you need a high-risk auto insurance policy. As stated previously, there are a variety of instances drivers face that insurance companies use to classify a driver as “high-risk.” Some of the risky factors include drivers who have a poor credit rating, drivers with a high-risk job, drivers with a history of several at-fault accidents, young drivers, drivers who have a DUI or DWI, or drivers with multiple moving violations in a year.
The more violations you have, the higher the risk you are to an insurance company. Even if you just have bad luck, like swerving to avoid hitting a squirrel and crashing into a tree, it can be counted against you. Especially if you have a known history of other accidents and violations, the insurance company will view the squirrel incident as part of a repeated pattern.
It can be all to easy to slip into the high-risk driver category. For example, Iowa governor, Terry Branstad, was pulled over for speeding twice in 2013. Fortunately, he was not the one driving the car. If he had been, only one more speeding ticket and his auto insurance company would have probably deemed him high-risk.
When the insurance company is determining a policy’s premium costs, some of these issues are weighted heavier than others. If you have a history of traffic violations, then insurance companies realize that you have a greater risk of getting into an accident again. Alcohol related violations can cost you a great deal for your insurance. Some serious violations include hit and runs, reckless driving and negligent vehicular injury. Often, the insurance company will have a formula for determining your risk category. Sometimes is based on a certain number of accidents, other times they use your state’s point system.
There are costs associated with being a high-risk driver. Insurance companies all have different standards for who they insure and what their premium costs may be. If you have even one incident on your drivers record per year, then your insurance rates are going to increase to reflect this increased risk. High-risk auto insurance is more expensive for people that have low credit or a spotty driving history. This is because the insurance company knows that there is a greater likelihood that they will have to pay a future insurance claim. Sometimes, your premiums can double or even triple when the insurance company deems you a high-risk driver.
You should compare prices; you should not just take a policy from the first company that offers you one. Keep in mind that every insurance company will know your driving record. You cannot, and should not, hide your past indiscretions from your insurance agent. According to Dan Weedin, a Seattle insurance consultant, “Everyone knows your driving history. With technology today, it’s like your medical record. It follows you around.”
All of this being said, if you are a high-risk driver, you should ask your local independent auto insurance agent to help ease some of the homework of finding a policy that works for you. When looking for insurance, you will have to make the calls and appointments, visit agents from various insurance companies, and compare prices. This can be a very tedious process without the help of a trusted independent agent. They are there to do the heavy lifting for you and find you the right policy.
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Enhanced Insurance is not written by attorneys. If you’re looking for legal advice, you need to contact a lawyer. Further, insurance practices and forms change constantly and are varied from state to state. For definitive answers in your area, contact a local agent.
While the majority of people want an agent involved in their purchase of insurance, many people want to see if they can save money by buying direct from the insurance company. Others want to try a direct quote to make sure the premium they’re now paying through their local agent is fair. If you want a quote for your coverage, click on the competitive quote button on the right side of this page.