High-Risk Auto Insurance

High-risk auto insurance coverage is for drivers their insurance provider deems more of a financial risk than the average driver.

It does not mean they are necessarily bad drivers; instead, they are more expensive to insure due to their driving record. Insurance Navy is known for finding car insurance for drivers who have had violations ranging from speeding tickets, DUI convictions, reckless driving, and at-fault accidents.

Getting car insurance coverage as a high-risk driver can be difficult, but it isn’t impossible. Insurance Navy specializes in providing our customers affordable high-risk auto insurance.

What is High-Risk Auto Insurance?

High-risk car insurance, or non-standard insurance, covers drivers with a poor driving history.

This type of high-risk auto insurance is for those who have severe violations like DUIs and at-fault accidents, among many other inflictions.

These drivers are considered risky because their probability of getting into an accident is higher than other drivers. Not every auto insurance provider offers high-risk car insurance, but coverage options are still available.

How much is High-Risk Car Insurance?

Naturally, high-risk insurance coverage comes with increased premiums. On average, drivers who need a high-risk auto insurance policy, according to Motor1, pay prices up to 84% more than drivers who are considered to be low risk.

The price increase in insurance premiums depends on the type of infraction and the number of them on a driver’s record.

For example, your average rates for insurance coverage will most likely double if you have a DUI conviction. However, the price of your insurance rates could increase by 35% for something like multiple speeding tickets.

Who is considered a high-risk driver?

For several reasons, it would help if you got a high-risk auto insurance policy. Sometimes, it is not just your driving record that will lead you to purchase this auto policy.

Auto insurance companies typically look at three different types of methodology to consider your risk level:

The number of infractions on driving record

Minor traffic violations, like speeding tickets or parking violations will not put you into the non-standard tier yet. One traffic violation, if severe enough, will be enough for you to need non-standard car insurance.

Suppose you are continuously racking up at-fault accidents and driving violations, especially DUI convictions. People with poor driving records will be considered high-risk for auto insurers.

Drivers who have been mandated by a court or their states DMV to file an SR-22 certificate will be considered high-risk drivers. Drivers convicted of a DUI or DWI will pay higher rates than drivers with a clean driving record.

Drivers Experience level

The younger of a driver you are, the higher of a risk insurance companies will perceive you to be. This is because you do not have as much driving experience as an older experienced driver.

In the absence of a perfect driving record, nonstandard insurers can consider teens or young drivers to be risky drivers.

Poor credit score

Drives with a poor credit history tend to get put in the high risk category. This is because drivers with a bad credit history may make more insurance claims than other drivers.

Auto insurance companies can sometimes judge you immediately upon looking at your credit score. Numerous unpaid loans or bad credit will make an insurance company look at you unfavorably. How financially responsible a consumer you are by analyzing your credit score is very important to your insurer when pricing insurance rates.

What Factors Do Insurance Companies Use to Calculate Risk?

A couple of different factors go into determining your insurance risk level. The leading thing auto insurance carriers tend to look at is your driving record. This will tell them whether you are a smart and safe driver.

However, other driving factors and personal circumstances will affect your insurance risk level. Below are a few factors your insurance company will consider when looking at your auto insurance risk.

Driving Record, Accidents and Violations

Your driving record is the first to come under fire when looking for insurance. Your driving history tells your insurance provider if you are at high risk of getting into an accident. Multiple traffic violations such as DUI, speeding tickets, and at-fault accidents on your record will result in you needing high risk auto insurance.

Location

Where you live can easily make insurance providers skeptical of providing you with a standard policy. Something as specific as your zip code may deem you higher risk. This is due to some places having higher crime rates than others. Population density may also play a role as more people in the area means more vehicles and thus more car accidents and damages to vehicles.

Your zip code will sometimes impact your insurance premium terms, regardless of obeying the traffic laws with safe driving habits and a clean driving record. Do not look over this when shopping for a policy.

Vehicle Usage

How you use your vehicle will influence insurance coverage rates. Using your car for ridesharing or commercial ventures may exempt you from standard coverage.

Non-standard insurance usually does not extend to vehicles for commercial purposes. The more you drive can also put you at higher risk for accidents, making your insurance provider consider you an at-risk driver.

Insurance Coverage History

Lapses in coverage in your insurance history may be a red flag for your insurer. Keeping your coverage consistent is essential to have a good history with no insurance lapses. Uninsured motorists make insurance companies consider drivers financially irresponsible.

Those who maintain liability insurance for a reasonable time are more likely to be considered low risk.

Vehicle Type

What kind of vehicle you drive can deem you more riskier than others. Car Safety and drivers who exercise caution are essential to insurers. Suppose you drive high-performance vehicles or sports cars, for example. Also, using an automobile that can be used for off-roading or reaching higher speeds can make insurance premiums increase.

Drivers Age and Gender

Age is one of the significant factors in how much of a risk an insurance company perceives you to be.

Drivers under the age of 25 are generally considered to be a high risk to insure. This is due to teen drivers' lack of experience behind the wheel. They also do not have much of a driving record, meaning insurers have a hard time judging how smart of a driver they will be. Good school grades might make you eligible for a Good Student Discount.

On the other hand, the older you get, the more of an insurance risk you will be. Once you hit 65 years old, premiums will go up regardless of if you have a clean record.

How to Lower Your High Risk Insurance Cost

Since high risk insurance coverage can have high prices, taking steps to lower your premiums may be helpful in finding cheap car insurance. Some of these suggestions are instant, while others naturally help reduce the price of your insurance rates over time.

You can find more affordable rates by paying attention to the following factors:

Take a defensive driving course

Several insurance providers will offer discounts to higher risk drivers if they take an approved driver safety course or a defensive driving class. A defensive driving course will help keep you sharp and remind you of the steps you need to take to be a smart, safe driver.

A safety course can also help remove “points” from your driving record. All of these help with your insurability risk.

Be a mindful driver

The best way to reduce your risk level is by being a mindful driver and not adding any more to your history of traffic violations or getting into a car accident. Let time run its course, follow the speed limit and drive safely.

Generally, after three years, if you go without any traffic violations and stay accident, collision, or claim-free, you may see your insurance rates begin to decrease. It all depends on your bad driving record and how your insurer judges them.

Improve your credit score

Taking time to improve your poor credit score can be difficult, but it will be worth it. Your credit score will most likely be one of the factors considered, and a poor credit score will result in you being regarded as higher risk.

Whether or not your credit score will be used when calculating your car insurance quote is determined by state law. Some states have newer regulations in place that restrict automobile insurance companies from using credit as a means of choosing auto insurance rates. Regardless of your state, it would help if you tried improving your credit to get better rates.

For this reason, it would be worth trying to improve your credit score by paying bills and loans on time and being mindful of your finances.

Get a Free High-Risk Car Insurance Quote!

Call us today to get free cheap car insurance quotes. Ensure you let us know your zip code, driving history, and vehicle information. By providing us with all this, we can better understand how to get you the best and most affordable car insurance. Whether you need just your state’s minimum insurance requirements or comprehensive coverage, Insurance Navy is here to help.

With Insurance Navy™, you can get a free online quote via our website and mobile app. You can also start your quote over the phone or in one of our offices. Our highly trained customer service agents are available 24/7 to answer your frequently asked questions or FAQs. Get an affordable auto insurance policy today and get back on the road tomorrow.

High-Risk Car Insurance Quotes from Insurance Navy™ are Fast and Easy!

* Car Insurance for High-Risk Drivers may not be available in every state; please call one of our insurance agents for more information.