Speeding Tickets And Insurance: Uncovering The Impact On Grange Auto Insurance Policies

Speeding tickets can have a significant impact on your Grange auto insurance, with insurance rates increasing by about 21% on average after the first speeding ticket. The cost of car insurance typically goes up about 25% after a speeding ticket, which can amount to hundreds of dollars in additional costs annually. The increase in insurance rates varies depending on the driver's history, location, and other factors. For example, in Vermont, a speeding ticket may result in an extra $19 per month on insurance premiums, while in Michigan, it could be as high as $124 more per month.

The impact of a speeding ticket on insurance rates also depends on the nature of the violation. For instance, speeding in a school zone or going over 20 miles per hour above the speed limit will likely result in much higher insurance rates. Additionally, insurance companies treat speeding tickets differently, with some companies imposing more significant increases than others.

It's important to note that the length of time a speeding ticket affects insurance rates depends on the state. On average, a speeding ticket can impact insurance rates for about three years, but some states, like Massachusetts, allow insurance companies to consider speeding tickets for up to five years.

How much more will you pay for car insurance after a speeding ticket?

The cost of car insurance typically goes up about 24% to 25% after a speeding ticket, which amounts to an average of $380 more per year. However, the increase in insurance premiums can vary depending on several factors, such as the driver's location, driving history, insurance provider, and the severity of the speeding violation. For instance, in Michigan, the average increase in insurance rates after a speeding ticket is around $124 per month, while in Vermont, it is only about $19 per month.

The number of speeding tickets also affects the increase in insurance rates. If you get two or more speeding tickets within a short period, you are more likely to experience a significant increase in your insurance premium. On the other hand, if you have a clean driving record and only receive your first speeding ticket, some insurance companies may forgive the offense and not increase your rates at all.

Additionally, the time since the last moving violation and the number of miles exceeded over the speed limit can also impact the increase in insurance rates.

How long will a speeding ticket affect your insurance rates?

A speeding ticket can cause your insurance rates to increase by hundreds of dollars. The duration of this increase depends on your location, your insurer, and the severity of your violation.

In the US, traffic violations can stay on your record for three to five years, depending on your state. For example, states like New Jersey and Texas allow car insurance companies to apply surcharges for three years, while in Massachusetts, insurance companies can apply surcharges for up to five years.

According to The Zebra, you can typically expect a speeding ticket to remain on your car insurance record for at least three years. During this period, your insurance rates will be impacted. If you receive a ticket for speeding in a school zone, you can expect a significant rate increase for each year that the ticket stays on your insurance record.

The Zebra surveyed leading providers to see how much they charge, on average, for a speeding ticket over three years. For example, if you get a speeding ticket for driving 6 to 10 mph over the speed limit, you can expect to pay the following amounts, depending on your provider:

• Allstate: $2250/$2612/$2983
• Farmers: $1932/$2339/$2746
• GEICO: $1515/$1755/$1994
• Liberty Mutual: $1994/$2341/$2688
• Nationwide: $1721/$2095/$2470
• Progressive: $2062/$2520/$2978
• State Farm: $1469/$1624/$1779
• USAA: $1096/$1244/$1392

The amount your insurance rate may go up after a speeding ticket will vary by insurer. If you get your first and only speeding ticket, it may not affect your insurance at all. However, if you get two or more speeding tickets in three years, you can likely count on an insurance rate increase.

Your insurance rate may go up due to a speeding ticket once your policy renews, as insurers typically review your Motor Vehicle Record (MVR) at policy renewal. So, if you get a speeding ticket with three months left on your existing six-month policy, you may see a rate bump in three months when your renewal policy is issued.

What happens if you don't pay your speeding ticket?

Failing to pay a speeding ticket on time can have several negative consequences. Firstly, the fine usually increases if you don't pay by the due date. Your case may be sent to a collection agency, which will result in additional fees. Collection accounts can also negatively impact your credit score.

Secondly, your driver's license may be suspended until you pay all outstanding fines and fees. In some states, you may also be unable to renew your driver's license or register your car until the ticket is resolved. This can include paying a reinstatement fee to remove the suspension.

Thirdly, your vehicle may be immobilized or impounded. To get the boot removed or to retrieve your vehicle, you will need to pay the fine, towing fees, and storage fees.

Furthermore, a judge may issue a bench warrant for your arrest if you don't pay the ticket by the due date. If a police officer pulls you over and sees the warrant, they can take you into custody. In some states, failing to appear in court can result in criminal charges, typically a misdemeanour offence with possible jail time.

Finally, speeding tickets can also impact your car insurance rates. While this may not be a direct consequence of non-payment, it is an additional financial burden that can result from the ticket.

How do insurance companies find out about speeding tickets?

Insurance companies find out about speeding tickets by checking a driver's Motor Vehicle Report (MVR), which is a record of their driving history from their state's DMV. This report details a driver's entire history, including any traffic violations, and is available to insurance companies when they are renewing an existing policy or selling a new one. Speeding tickets can raise your auto insurance rates, but this depends on the state you're in and the insurer.

If you can prevent a ticket from going on your record, the insurance company will have no way of knowing about it. Many states will allow a ticket to be dismissed if you attend and pass a defensive driving course, especially if it's a first offence. You could also contest the ticket in court.

Your MVR is "run" when you apply for new coverage and when your auto insurance policy renews. Your premium will not increase mid-term if you get a ticket after your policy is issued, but you can expect to see a premium increase at your six or 12-month renewal.

Insurers may also deny coverage or non-renew your policy if this isn't your first or second speeding ticket. They may also drop you as a client if they consider you a high-risk driver.

What are some ways to save on car insurance after a speeding ticket?

Speeding tickets can have a significant impact on your insurance rates, with premiums increasing by an average of 24.6% after a speeding ticket. This can amount to an average increase of $655 per year. However, there are several ways to save on car insurance after incurring a speeding ticket:

• Shop around for insurance: Different insurance companies use their own point systems for traffic violations, so comparing quotes from multiple insurers can help you find a more affordable rate.
• Increase your deductible: Raising your deductible can help offset the increase in your insurance premium due to the speeding ticket. Just ensure that you can afford the higher deductible if you need to file a claim.
• Ask about other discounts: A speeding ticket doesn't make you ineligible for all discounts. Explore options such as bundling your homeowners or renters insurance with your car insurance, which is often the quickest way to get a discount.
• Defensive driving course: Taking a defensive driving course can help remove a ticket from your record and reduce your insurance premiums. Check with your insurance representative to confirm your eligibility for a discount and to get a list of approved courses.
• Review your policy: Consider reducing your coverage to minimum coverage, which is typically cheaper than full coverage. However, be mindful that minimum coverage may not include comprehensive and collision coverage, so you would have to pay out of pocket for repairs to your vehicle in the event of an accident.
• Improve your driving habits: Utilize a telematics app to track your driving and improve your safe driving habits. This can help you qualify for safe driver discounts offered by most insurers.
• Compare quotes before renewal: Check your insurance renewal date and compare new insurance quotes before your current policy renews. Schedule your new policy to start before your old one renews to avoid paying a higher rate.

Frequently asked questions