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High Risk Auto Insurance: Finding Cheap Auto Insurance for High Risk Drivers

Updated: August 1, 2018

Unfortunately, some drivers end up in the high risk auto insurance category because of actions in their past.

This may be the result of a DUI conviction, a felony conviction or an accumulation of driving tickets or accidents.

Whatever the reason, it is important for high risk drivers to understand that the process for getting auto insurance does not change.

There are no magic ways to save money if you are a high risk candidate for auto insurance.

The best thing you can do in order to get cheap high risk car insurance is to make better choices in the future.

What is Auto Insurance?

In order to go about getting cheap high risk car insurance, a person must understand the basics of auto insurance.

Comprehensive coverage is there to protect against damage or theft of the vehicle while it is stationary and not being driven.

It is good to know that there are three main tenants to an auto insurance policy: liability, comprehensive and collision insurance. Each form of coverage serves a different purpose, with liability coverage paying for car damage and medical expenses for the other party involved in a car crash that you caused.

Meanwhile, collision coverage pays for damage to your vehicle in that crash. Comprehensive coverage is there to protect against damage or theft of the vehicle while it is stationary and not being driven. This is a useful form of coverage for more expensive and valuable cars.

Most states make it mandatory to get certain parts of auto insurance policies. These states require liability insurance as mandatory in every auto insurance policy. This helps protect everyone on the road. Meanwhile, comprehensive and collision coverage are optional.

If you have a car loan, the company giving you the loan may require you to get comprehensive and collision coverage in order to protect the investment.

How are Auto Insurance Quotes Determined?

When discussing auto insurance for high risk drivers, we must note the different ways that insurance companies determine their premium rates.

In terms of age and gender, women generally pay less than men for auto insurance, while younger and older drivers pay more than those who are in their late 20s to late 50s.

Insurance companies use a number of factors to determine the premium rates for their policies, such as the person’s age, gender, occupation, driving history, location and the type of car they are driving.

In terms of age and gender, women generally pay less than men for auto insurance, while younger and older drivers pay more than those who are in their late 20s to late 50s.

These groups are formed through statistics that show how many accidents are caused by individuals within each group. Younger and older drivers are generally more likely to cause accidents, with young men the primary culprits.

Someone who lives in an urban area will pay more for auto insurance than rural drivers, while people with newer, more expensive vehicles will pay more for insurance than someone with an older, less valuable car. This is because older cars cost less to replace and/or repair.

What Puts Someone in a High Risk Category?

Now by looking at these categories, we can see that someone who does not match up properly may get themselves put in a high risk category.

People who have a DUI or DWI conviction on their record also go into the category of auto insurance for high risk drivers.

For example, a younger man is immediately going to get quoted higher premium rates. But if this individual also has a history of causing accidents, they are deemed very high risk by the insurance company.

People who have a DUI or DWI conviction on their record also go into the category of auto insurance for high risk drivers. In fact, they have to get a separate type of SR22 insurance if they want to keep driving on the road.

An individual with a felony on their record may also have to pay higher premiums, especially if this felony involved cars or driving in any way.

Another factor that plays a huge role in auto insurance quotes is a person’s credit history. Many companies use credit history to determine a person’s trustworthiness. If you have a very low credit score, you are going on the high risk category for auto insurance.

How to Get Cheap High Risk Car Insurance

When you are in a high risk category, the best thing you can do to save money is to get yourself down to a lower category. This is easier said than done, but it is not impossible. Drivers are able to get themselves into lower risk categories when they demonstrate good driving behavior for a few years.

Cheap high risk car insurance is very hard to find, but getting yourself in a lower risk category is possible through good driving etiquette.

For example, a 26-year-old man who is in a high risk category because of his past behavior may not have many options right now but to pay the higher price for insurance.

However, this individual can avoid getting into accidents or getting traffic tickets for one or two years. This will show the insurance company they are not so high risk anymore, which will lower their premiums each year.

If you have a DUI on your record and need to get SR22 insurance, the best thing you can do is to maintain a clean record and get back into the normal auto insurance category after five years.

Cheap high risk car insurance is very hard to find, but getting yourself in a lower risk category is possible through good driving etiquette.

Ways to Save Money on Auto Insurance for High Risk Drivers

If you simply cannot wait a few years to realize those savings, there are ways to save money on auto insurance for high risk drivers.

Getting more than one type of insurance policy from the same company can also lower premiums.

One thing a driver can do is to get the absolute minimum level of insurance mandated by the state where they live.

This may result in the driver having less protection if they cause an accident, but it will keep their insurance premiums down for the next few years. Removing comprehensive and collision coverage is one way to achieve this.

There are also discounts available from all auto insurance companies. They offer discounts for getting good grades at school or college, improving your car’s safety rating and taking defensive driving courses. This may help mitigate the increase in premiums because you are in a high risk category.

Getting more than one type of insurance policy from the same company can also lower premiums. For example, if you are getting homeowner’s or renters insurance anyway, you are better off getting it from the same company that provides you with an auto insurance policy.