Direct Auto Insurance: Affordable Coverage?

Direct Auto Insurance is a good option for drivers who need basic coverage after an infraction, but most other drivers can find better coverage elsewhere. Direct Auto specializes in covering high-risk drivers and offers SR-22 coverage, which is often needed to get your license back. The company advertises its willingness to work with drivers with issues on their records, such as a history of accidents or driving while intoxicated. Direct Auto offers minimum liability coverage at cheaper-than-average rates, but its full-coverage insurance is more expensive. Direct Auto also has poor customer service, with a high level of complaints about claim handling, including delays and denials.

Discounts for military service members

Auto insurance can be complicated for veterans and military personnel, but there are many companies that offer special discounts for both veterans and active-duty service members.

Service members and veterans can receive discounts on their auto insurance policies with providers like Geico and USAA. Geico offers up to a 15% discount for retired or active-duty military, National Guard members, and members of military professional organizations. USAA, which caters exclusively to former and current service members and their families, offers a 15% discount on comprehensive coverage for vehicles parked in a garage on a military base. If you’re deployed and store your vehicle in a secured location, you can receive up to a 90% discount on your rate with USAA.

In addition, some companies offer a discount if your car is kept on a military base, and there are packages and plans for overseas military auto insurance, too. If you are deployed, some companies will charge you up to 60% less for auto insurance while your vehicle is being stored.

Veterans can also be eligible for discounts, and bundling your insurance can save you even more money.

Other Ways to Save on Auto Insurance

In addition to military discounts, you can also save on auto insurance by having a good driving record, carpooling, being a non-smoker, using anti-theft devices, having low annual mileage, and more.

You can also save by bundling your insurance policies. By bundling homeowners insurance and auto insurance (or renters insurance), you could save hundreds of dollars on your insurance policies.

Compare Quotes to Find the Best Rate

The best way to make sure you're getting the cheapest rate is to compare auto insurance quotes from several providers. This will give you insight into all of the discounts available to you.

High-risk drivers

Direct Auto Insurance is a nonstandard car insurance company that specializes in policies for high-risk drivers. High-risk drivers are those with bad credit, a lapse in insurance coverage, or a history of driving violations or claims. Direct Auto is part of the Direct General Group, which caters primarily to high-risk drivers who cannot get car insurance elsewhere. The company offers flexible payment plans and customizable payments.

Direct Auto has a high number of complaints and does not offer additional coverage options like gap or rideshare insurance. It is also not available in all states.

Speeding Ticket

In Ohio, a single speeding ticket leads to a 19% increase in the average cost of full-coverage auto insurance. In California, a speeding ticket conviction increases rates by an average of 36%.

At-Fault Accident

In California, an at-fault collision may cause a sharp increase in your high-risk auto insurance premium of at least 56%. In Ohio, insurance premiums may rise by at least 20%, with some insurers adding a surcharge of 80% or more.

DUI/OVI Conviction

In California, the average rate increase after a DUI is 127%. In Ohio, insurance premiums increase by 88% on average for drivers with an OVI on their record.

Teen Driver

In Ohio, the average cost of a teen driver added to their parents' policy is $3,654.

SR-22 insurance

If you need an SR-22 form, your insurance company will be able to add the SR-22 endorsement to your existing policy and then file the form with the relevant state authority. If you don't have auto insurance, you will need to buy a new policy. It's worth noting that not all insurance companies offer SR-22 filings, so it's a good idea to check this upfront when shopping for insurance. The cost of filing an SR-22 form is usually around $25, but this may vary depending on your state and insurance company.

In most states, you will need to carry an SR-22 for three years, but this can vary. To find out the exact length of time, you'll need to contact your state's department of motor vehicles. If your policy is cancelled while you still need to carry an SR-22, your insurance company is required to notify the state authorities, and you could lose your driving privileges.

If you don't own a car but need an SR-22, you can obtain a non-owner SR-22 insurance policy. This type of policy provides liability coverage when you drive a vehicle that you don't own, ensuring you comply with state regulations.

DynamicDrive program

The DynamicDrive program is a usage-based program that allows Direct Auto Insurance to tailor your rate based on your driving habits. The program uses the Routely1 smartphone app to gather data on driving habits such as speeding, hard-breaking, and distracted driving. This data is then used to generate a driving score, which can result in savings on your auto insurance premiums if you engage in safe driving habits.

To enroll in the DynamicDrive program, you need to contact your independent agent or Direct Auto Insurance's customer service department. Once enrolled, you will need to download the Routely app and enter your personal activation code, which will be sent to you via email. The app will then guide you through the setup process.

It's important to note that your participation in the DynamicDrive program is contingent on accepting the terms and conditions set by Direct Auto Insurance. These terms and conditions may be amended at any time, and your ongoing participation indicates your acceptance of any changes. Additionally, the Routely app collects location data via GPS coordinates, which can be used for underwriting purposes and in the claims handling process.

By participating in the DynamicDrive program, you can immediately save up to 10% on your auto insurance premiums. After enough trips are logged, a driving score will be generated based on the data gathered. This score will follow the individual driver, not the vehicle, as it is a smartphone-based system.

To be eligible for the DynamicDrive program, drivers must have a smartphone (iPhone or Android) and provide a valid email address. Additionally, the named insured must be a "rated" driver on the policy. It's important to note that Named Non-Owner policies and RV-only policies are not eligible for this program.

Poor customer service

Direct Auto Insurance has received numerous complaints regarding its poor customer service. The company has a high volume of customer complaints, with a level that is about six times higher than the nationwide industry average. The majority of these complaints centre around issues with claim handling, including claim delays and denials.

One common issue raised by customers is the difficulty in reaching Direct Auto Insurance's customer support. Customers have reported long wait times when calling the company, with some being left on hold for extended periods. This has resulted in frustration and dissatisfaction among customers who are already dealing with accidents or other issues.

Additionally, there are reports of rude and unhelpful associates. Customers have shared experiences where associates have been impolite and provided attitude instead of assistance. This adds to the overall negative experience and leaves customers feeling dissatisfied and unsupported.

Direct Auto Insurance's poor customer service has also been reflected in the company's grade from collision repair professionals. In a survey by CRASH Network, the company received a D+ grade, which is based on the performance of its parent company, National General. The survey considered the use of lower-quality repair parts, adherence to recommended repair procedures, and the efficiency of the claims process.

Furthermore, Direct Auto Insurance has been criticised for its handling of roadside assistance and towing services. Customers have reported issues with reimbursement for towing services, with the company only providing partial reimbursement for the costs incurred. This has left customers feeling disappointed and frustrated, especially when combined with the mandatory nature of roadside assistance during the first 30 days of signing up.

Overall, Direct Auto Insurance's poor customer service has led to a significant number of complaints and negative reviews. The company's response to customer issues, including delays in claims handling and inadequate support, has been a major source of dissatisfaction for its customers.

Frequently asked questions