Get Auto Insurance With A Poor Driving Record

If you have a bad driving record, you may find it challenging to secure affordable auto insurance. However, it is not impossible. Here are some tips to help you get auto insurance with a less-than-perfect driving record.

Compare quotes from different insurers

Comparing quotes from different insurers is a crucial step in finding affordable car insurance with a bad driving record. Here are some tips to help you through the process:

Get Multiple Quotes

It is recommended to get a minimum of three car insurance quotes for comparison. Ensure that you provide accurate information when applying for online quotes, as the insurance company will verify your driving history. While the quotes may differ, they should generally be in the same range. If one company offers a significantly lower rate, find out why before purchasing their coverage. Understand your specific needs and choose a policy that offers the best coverage for your situation.

Understand Your Situation

Take the time to review your driving record and understand how it impacts your insurance premiums. Request a copy of your driving record from your local Department of Motor Vehicles (DMV) to identify the types of violations and their potential impact on your rates. This step will also help you identify any discrepancies or errors that you can address with insurance agents.

Choose the Right Insurer

Different insurance carriers may weigh violations differently, so selecting the right insurer is essential. Some companies, like State Farm and Erie, are known for being more forgiving when it comes to driving records. Additionally, consider working with an insurance broker or agent who can help you navigate the process and find policies and discounts that may not be readily available to you.

Consider Nonstandard Insurers

If you have a particularly bad driving record, you may need to explore nonstandard insurance companies that specialize in covering high-risk drivers. Companies like The General Insurance and Direct General Insurance cater specifically to high-risk drivers and can provide more affordable options.

Compare Rates and Coverage

When comparing quotes, pay attention to both the rates offered and the coverage provided. Choose a policy that offers the highest coverage limits for the smallest premium. Remember that the cheapest option may not always provide the best value, so consider the trade-off between cost and the extent of coverage.

Look for Bundling Opportunities

You may be able to lower your car insurance premium by bundling it with other types of insurance, such as renters, home, or life insurance. Some insurers offer discounts when you combine multiple policies with them.

Explore Discount Options

In addition to bundling, many insurance companies offer various discounts that can help reduce your premium. For example, you may be eligible for a discount by completing a defensive driving course or maintaining a low mileage. Ask about available discounts and see which ones you can take advantage of to lower your overall cost.

Improve your driving record

Improving your driving record is a gradual process that requires commitment to safe driving practices. Here are some steps you can take to improve your driving record:

Understand your driving record: It is important to know what is on your driving record and how it affects your insurance premiums. Request a copy of your driving record from your local Department of Motor Vehicles (DMV). Review it carefully and ensure there are no errors. If you find any discrepancies, report them immediately to the DMV. Knowing what is on your record will help you address any issues and allow you to explain any discrepancies when speaking with insurance agents.

Obey traffic rules and drive defensively: Follow the rules of the road, including speed limits and traffic signals. Avoid aggressive driving behaviours such as running red lights or failing to yield. Drive within the speed limit and maintain a safe distance from other vehicles. Defensive driving can help reduce the likelihood of accidents and improve your driving record over time.

Avoid distracted driving: Refrain from using your phone or any other distractions while driving. This includes hands-free calls, as these can be just as distracting as holding a phone. Distracted driving is a leading cause of traffic fatalities and can significantly impact your insurance rates.

Take a defensive driving course: Enrolling in a defensive driving course can show insurers that you are committed to becoming a safer driver and may result in lower insurance rates. Check with your state's DMV to find an approved course that meets your needs. Completing such a course can help reduce the impact of past violations on your insurance rates.

Maintain continuous insurance coverage: Gaps in your insurance coverage can lead to higher premiums. Even if you don't currently own a vehicle, consider maintaining a non-owner policy to demonstrate a continuous insurance history. This shows insurers that you are responsible and committed to maintaining coverage.

Improve your credit score: Insurance companies in most states consider an individual's credit score when determining insurance rates. Pay your bills on time, reduce credit card debt, and avoid opening new credit card accounts to improve your credit score. A higher credit score can lead to lower insurance premiums.

Shop around for insurance: Compare insurance quotes from different insurers to find the best rate that matches your driving record. Not all insurance companies will offer the same rates, and some may specialise in providing coverage for high-risk drivers. Regularly shop around for insurance to ensure you are getting the most affordable rates.

Take a defensive driving course

Defensive driving courses are a great way to improve your driving skills and safety on the road. They can also help you save money on your auto insurance premiums. In this guide, we will discuss the benefits of taking a defensive driving course, how to choose a course, and the steps to getting your certificate of completion.

Benefits of Taking a Defensive Driving Course

Taking a defensive driving course can help you become a safer driver by teaching you important skills such as reacting to other drivers, avoiding distractions, and speed control. Additionally, depending on your state’s regulations, completing a defensive driving course can help you reduce points on your record, dismiss tickets, and lower your insurance premiums.

Choosing a Defensive Driving Course

When choosing a defensive driving course, it is important to consider your state’s regulations and your own preferences. Most defensive driving courses are offered online and are accessible on mobile devices, tablets, and computers. You can also find in-person courses offered by driving schools or community centers. It is recommended to verify that the course you choose is approved by your state or court system.

Completing the Course and Obtaining Your Certificate

Defensive driving courses typically have a time limit for completion, which may be set by the course provider or the court. Be sure to complete the course within the required timeframe. Once you have finished the course, you should receive your certificate of completion within a few days to a few weeks, depending on the delivery method. If you do not receive your certificate or if there are errors, contact the course provider to request a new one.

Using Your Certificate for Insurance Discounts

After you have received your certificate of completion, you can submit it to your insurance company to receive a discount on your auto insurance premiums. Be sure to check with your insurance provider about their specific requirements and discounts for defensive driving course completion.

Taking a defensive driving course is a great way to improve your driving skills, maintain a clean driving record, and save money on your auto insurance. By following the steps outlined above, you can easily take advantage of the benefits that defensive driving courses have to offer.

Improve your credit score

Improving your credit score is a vital step in managing your financial health effectively. Achieving a higher credit score can unlock benefits such as loan approvals, better interest rates, and increased credit limits. Here are some strategies to help you enhance your credit score:

Pay Your Bills on Time

Timely payment of your bills is crucial for shaping your credit-based insurance score. A pattern of late payments or credit delinquencies may indicate a higher risk of claim submissions to insurers. By consistently paying your bills on or before their due dates, you can positively impact your credit and insurance scores.

Keep Hard Credit Inquiries to a Minimum

It's important to distinguish between hard and soft credit inquiries. Hard inquiries occur when you apply for a line of credit, while soft inquiries, such as insurance companies reviewing your credit for a quote, do not impact your score. Too many hard inquiries can negatively affect your score, so consider spacing out your applications for new credit.

Monitor Your Score Regularly

Regularly checking your credit score has multiple benefits. It enables you to take proactive measures to improve and allows you to spot errors or signs of identity theft early on. Monitoring your score empowers you to address any inaccuracies promptly.

Maintain Old Lines of Credit

Keeping long-standing credit accounts can positively impact your credit score, including the portion influencing your insurance rates. The duration of your credit history is a significant factor, accounting for 15% to 20% of your score. Instead of closing unused credit cards, consider using them occasionally and making timely payments to fortify your credit history.

Be Mindful of Your Credit Utilization Ratio

Your credit utilization ratio measures how much credit you're using compared to your total available credit. While there's no rigid rule, experts recommend using no more than 30% of your available credit at any given time. Keeping your credit utilization below this threshold can help improve both your credit and insurance scores.

Get a non-standard insurance policy

If you have a bad driving record, you may need to get a non-standard auto insurance policy. Non-standard auto insurance is for drivers who are too risky for insurance companies to cover at standard rates. Insurance companies usually break down their coverage into three risk tiers: preferred, standard, and non-standard. Drivers in the non-standard tier pay the highest rates.

• You have multiple tickets or accidents on your driving record.
• You have had a lapse in insurance coverage.
• You are required to file an SR-22 form due to a DUI or other form of reckless driving conviction.
• You need car insurance but don't own a car.
• Your car has a salvage title, and you can't get liability coverage from a major company.

You can get non-standard auto insurance from some major insurance companies, the non-standard insurance companies they control, or companies that specialize in non-standard or high-risk auto insurance. Some non-standard car insurance companies include:

• The General Insurance
• Direct General Insurance
• Acceptance Insurance
• Direct Auto Insurance
• Gainsco Auto Insurance
• United Automobile Insurance Company

If you can't get car insurance from a high-risk auto insurance company, you can consider your state's assigned-risk pool, which provides insurance to high-risk drivers who can't get coverage otherwise. However, this option tends to be more expensive than coverage offered by non-standard insurance companies.

When obtaining non-standard auto insurance, you can generally follow the same steps as purchasing a traditional policy. However, some standard car insurance companies don't insure high-risk drivers because they don't offer non-standard policies. In this case, you may need to find a specific non-standard carrier, which may include those in the excess and surplus lines (E&S) market. You can search for a list of providers online or ask a local insurance agent for recommendations.

Frequently asked questions