How driving history affects auto insurance quotes
Auto insurance companies define "high risk" as the exposure they face with certain drivers. The driving history of a certain client is just one factor in how these insurance companies decide who is high risk and who isn’t. Any factor that indicates the plausibility of future claims in a motorist’s future can raise that motorist’s auto insurance quotes.
While there are many reasons that someone may be labeled as high risk, drivers with a history of accidents and moving violations are most likely to face higher car insurance quotes from an auto insurance company.
Many factors can indicate a high risk motorist. Obviously, drivers with a history of insurance claims from prior accidents and moving violations can expect a higher quote from auto insurance agencies. What many people don’t know is that drivers with bad credit, new drivers, drivers over the age of 70 and young drivers are all deemed to be high risk as well. Even drivers who own high performance vehicles—rather than economical vehicles—can be termed high risk. If one of these factors pertains to you, you won’t necessarily face high premiums. However, the more risk factors you represent, the higher your auto insurance quote will be.
Drivers with multiple moving violations, history of collision and those who have received a DUI in the past will certainly receive the most expensive car insurance quotes. This is because their behavior on the road has been proven to be dangerous and reckless in the past, and insurance companies use past actions to predict the future.
In recent years, the number of DUI’s have risen due to a no-tolerance police policy when it comes to drunk driving. Drivers with DUI’s will inevitably struggle with finding affordable auto insurance via mainstream auto insurance companies.
Large auto insurance companies will often refuse coverage to a driver with a DUI, or any history of dangerous behavior. With the cost of running a big business, it is just not within their interest to take that gamble. However, smaller auto insurance companies, which have become increasingly popular in the last few years, will often provide coverage to high risk drivers.
These small companies, which provide non standard high risk coverage, offer high risk drivers lower priced quotes, although these high risk drivers can still expect higher auto insurance quotes in general. Because a lot of these companies conduct their business on the web, and because they save money being a small company, these insurers can provide relatively inexpensive auto insurance to their clients.