Car insurance and the premiums attached to it are vital components that needs to be dealt with. Of all the variables that will determine how much your premium will be – such as age, gender, marital status, and the make/model of your vehicle – the most crucial is your driving record.
Here are some other things that could cause an increase in your insurance rates.
Driving Under the Influence
If you’re charged with driving under the influence, your car insurance provider can either increase your insurance rate when your current one expires or inform you of a non-renewal agreement. Often, when someone is arrested for DUI, the concern is all about not getting imprisoned. The fact is jail time is only the first issue. Although an increased insurance rate isn’t a legal punishment like a fine or imprisonment, if you’re charged with DUI you will be subjected to increased auto insurance premiums after conviction.
If this is the case, it’s better to be upfront with your insurance provider. Talking to an insurance lawyer to review your predicament also helps. Whether your premium will increase or not is determined by your state’s policies, your insurance standing, the kind of sentence you received, and the degree of the conviction.
Did you know that being cited for reckless driving can increase your auto insurance rate up to 20+%? That’s even higher than the normal increase (19%) for DUI arrest. Reckless driving is considered a major traffic violation along with driving under suspended license, attempted felonies, fleeing from the police, and drag racing. Note that if you fight the ticket for any of these major traffic violations and win, your premium will not be affected. Otherwise, expect an increase in your next auto insurance renewal.
This type of traffic violation is minor. Although considered a lesser offense, speeding can still increase your rate especially if you’ve been ticketed more than once. Apart from speeding, minor traffic violations that can affect your premium includes improper backing and failure to yield to a passing vehicle.
Hiding the fact that you are in a vehicular predicament from your insurance provider will only hurt you in the long run. Remember, before your provider offers you an auto insurance renewal, a thorough investigation of your driving record for the year will be done. Even if you opt to get insured to another provider, your driving history will still be scrutinized. So it’s better to inform your provider as soon as you’re cited for any traffic violations or accidents.
No matter what your driving record is, our experts in Winder, Monroe, Covington, and Greensboro can help you get covered at an affordable rate.
Shawn is the CFO and Co-Founder of Signature Insurance Group. In addition to his being raised in a family whose involvement in the insurance industry stretches back six generations, he has personally been in the business since 1999.
Shawn enjoys spending time with his wife, Holly, and three sons, Braxton, Hudson, and Maddox.
Shawn can be reached at Shawn@SIGWinder.com.