Insurance companies prefer low risk clients, and this is certainly true in the auto insurance industry. All you need to do is ask around and you’ll see that car insurance for high risk drivers can be difficult to find and comes with a plethora of conditions and stipulations. This doesn’t mean you cannot get affordable insurance if you belong in this category however, as it’s simply a matter of finding the right company.
Table of Content
- Defining a High Risk Driver
- Car Insurance Quotes for High Risk Drivers Online:
- Look for Special Auto Insurance Services
- Stay on Top of the Situation
- Investigate the Companies
- Ask Questions
- Look for Discounts on Car Insurance for High Risk Drivers:
- How Deductibles Work for High Risk Drivers?
- Drive an Older Car
- Buy Insurance from the Same Company
Defining a High Risk Driver
A high risk driver is classified as such due to a number of factors that make them likely to get into an at-fault accident.
For a driver to be labeled as one, several factors have to come into play such as having had multiple accidents, several ticket violations or both. It usually takes several recorded instances before you’re categorized as being one, but if the infraction is serious, a high risk label will be applied.
Do I Pay More if I am Labeled as a High Risk Driver?
A high risk driver is required to pay a higher premium or rate and there’s also the possibility you won’t get renewed by the insurance company if your record does not improve. If you’re already a high risk driver and you incur another violation or ticket, your chances of getting renewed will go down.
For these reasons, getting an affordable car insurance for high risk drivers has traditionally proven to be difficult, but this doesn’t mean you won’t be able to find any, as the Internet has made the process of finding them easier.
Car Insurance Quotes for High Risk Drivers Online:
The simplest way is to go online and compare costs. The competition among insurance companies is very tight so they’re trying to make their services as attractive as possible. And this is one of the reasons why it’s now more likely than before you’re going to find an affordable insurance even if you’re high risk. Comparing quotes might seem like a lot of work, but it’s actually very effective and won’t take too much time. You can get a FREE quote here.
Get as many quotes as possible: Some of these insurance companies sell via their own agents, while others rely on independent agents who offer policies from various companies. The more you know about these policies the easier it will be to make sense of all the quotes, and do keep in mind that some insurance companies don’t even have agents anymore and sell their products online directly.
Look for Special Auto Insurance Services
While regular auto insurance companies may still hesitate when it comes to providing insurance for high risk drivers, there are a growing number of services and companies that cater to this class of drivers. These used to be something of a novelty but the past few years have seen an increase in their number.
These companies have different setups, offers and packages, but the end goal is the same, and that is to restore your status to a low risk driver so you can avail of regular insurance coverage, but in the meantime the company will provide the coverage you need.
While these companies are becoming more commonplace, it’s a mistake to assume that it’s now “all right” to be a high risk driver since you’re getting coverage anyway. It’s still imperative you take steps to become a careful driver and reduce your risk even while you are on a high risk insurance coverage.
Finding cheap car insurance for high risk drivers is not as easy compared to regular insurance because by its nature, high risk insurance is expensive. However if you’re willing to change your driving style and willing to do a bit of research, you’re going to learn there are a lot of options available.
As was mentioned above, your search needs to start with getting free quotes. When you go online, collect as many car insurance quotes as possible and compare them with the ones you get in high risk markets. This might take some time but it’s definitely worth it if you’re after the most competitive rates. If you want to compare auto insurance quotes, click here.
Stay on Top of the Situation
If you want to save money on insurance, you’ve got to do more than just compare the costs however, as you also need to stay focused on your own driving record and tickets. Make sure that tickets, violations and other infractions that can no longer be charged fall off at the right time.
The time points stay on your driving record varies per state, though the typical rate is two to three years, but this isn’t always the case so you should check the regulations in your state. When an accident or ticket can no longer be considered an issue, compare the rates again and check if it makes a difference. Your chances of getting a more affordable insurance coverage increases when you improve your record of course, so keep tabs of your status.
There is no magic formula to instantly improve your driving record, but you will get there provided you become a safer, more defensive driver and stay clear of accidents. This is going to take some time, but this is as surefire a method as any for finding an affordable insurance.
Investigate the Companies
Besides developing safety driver habits, it’s always good practice to do some background checking on the insurance company. The best car insurance for high risk drivers for instance, will be more than happy to offer information about their services and products, and if you’re really concerned about their stature, check their status with rating companies like Standard and Poor’s.
Don’t be afraid to ask questions because that can mean the difference between getting the best insurance and ending up with a poor one. Price is important, but it’s not the only factor to consider: ask your friends if they can recommend an insurance company that will take a high risk driver, and once you do find one with a competitive premium, talk to one of their representatives.
Look for Discounts on Car Insurance for High Risk Drivers:
Before you purchase one of these companies, make certain you look at the overall cost and if there are discounts provided. Whether it’s a regular or high risk policy, insurance premiums are set according to the car’s cost, cost of repair, likelihood of getting stolen and your driving safety record.
But just like with regular auto insurance companies however, they offer discounts and incentives for those who take steps to not just improve their driving record but also the security of their car. If you want to save money on your premium, implement measures that will reduce the risk of your car getting stolen or damaged.
This is important…
The most crucial step you can take of course, is to become a better driver, but keeping your car safe also helps. And if you’re in the market for a new car, the Insurance Institute for Highway Safety can help.
You can also look for a no down payment plan that comes with a monthly plan and doesn’t cost you huge in case you are on a budget.
How Deductibles Work for High Risk Drivers?
You may have heard drivers remark that they have been able to save money by raising deductibles, and it’s certainly worth a try. Deductibles refer to the amount of money you’re willing to pay from your own pocket before the insurance company comes in, and the higher your deductibles are, the lower your insurance cost will be. If you’re a high risk driver, this is going to make you look more attractive to an insurance company.
The way it works…
The amount you will save varies per insurance company and the figures you deduct, but increasing the figure to $500 from say $200, and your comprehensive coverage cost will go down by up to 30%, and if you increase your deductibles by a thousand dollars or thereabouts, expect the cost of auto insurance for high risk drivers to go down even more.
For drivers with regular driving records, the reduction will be in the 40% range; it’s difficult to say for high risk drivers but it should be significant.
Drive an Older Car
And if you’re a high risk driver, you can cut back on the cost by driving an older car. If your car is old and less likely to attract theft, you could get a discount from the insurance company. Better yet, you can request for the comprehensive coverage and / or collision coverage to be dropped, as that will make a huge difference later on.
Buy Insurance from the Same Company
It was pointed out earlier that shopping around is advisable, but you can save money by getting insurance from the same company. It’s common practice for insurers to offer discounts if you sign up for more than one policy, so if you’ve got one policy, check their auto insurance policy if there are discounts.
Usually there is, but if you’re a high risk driver it won’t be as significant as what a regular applicant will get. But if you become a safer driver, a reassessment is going to improve your standings.
If you are looking for a good deal on car insurance for high risk drivers, check out the FREE quotes we are offering.