Basics of High Risk Auto Insurance Policies

Not all drivers have squeaky clean driving records. Accidents can happen and as part of the aftermath, your insurance premiums may increase. Companies offer high-risk auto insurance plans to individuals who have an increased likelihood of getting into crashes and filing claims.

High-risk auto insurance 101

High-risk auto insurance policies are plans that offer coverage to those who have a greater liability. Although one or more traffic accidents may make you a high-risk driver, other factors are considered as well. DUI convictions, moving violations, young age, and poor credit history may also be used to determine your risk to the insurance company. Very expensive and specialized vehicles can also put you in the high-risk category.

With a high-risk classification, coverage will be more expensive. However, insurance companies work with drivers to help them lower costs over time. Agents may suggest taking a defensive driving course to reduce premiums. By following all traffic laws and practicing defensive driving techniques while on the road, your record will improve over time and you will no longer be considered high-risk.

Are you really high-risk?

Insurance companies don’t automatically label you as a high-risk driver because you have been in an accident. Fida Insurance Group recommends discussing your driving record with an agent before assuming you need a high-risk policy. For instance, if you didn’t cause the accident or the crash took place more than three years ago, then you probably don’t need a high-risk policy. A single speeding ticket isn’t likely to have too much of an impact on your coverage options either. However, multiple speeding tickets will be taken into consideration.

Live in the Monroe, CT area and are looking for advice on auto insurance plans? Contact the helpful agents from Fida Insurance Group to discuss auto policy options, including high-risk plans.