What Is High Risk Car Insurance?
It can be difficult to find car insurance if you are a high risk driver. Many times drivers are not even aware that they would be considered a high risk driver.
Finding a company that offers high risk car insurance is not always easy to do either. Some companies will approve a high risk driver, but they'll charge a higher monthly premium, while others will just turn the application down right from the very beginning.
Before you start shopping for car insurance, if you think you are a high-risk driver, you might want to understand exactly what that means. There is a classification of drivers that are considered to be high risk.
The single most important factor that determines the risk status of a driver is their driving record. The number of accidents you've been involved in certainly plays a major role in being classified as high risk.
Not only the number of accidents, but how close they are to each other. Even if the accidents were not your fault they can show up on a driving record and could be used in determining your risk factor.
I'm not sure if this is the case, but sometimes you wonder if maybe the insurance company thinks you're just bad luck when you're constantly in accidents even if they're not your fault. Certainly your driving habits are putting you in more dangerous situations than a driver who has not had any accidents.
Speeding tickets are another consideration. Car insurance companies think you're more risky if you have multiple speeding tickets during the time you are insured.
Plus speeding tickets can expose you to potential car accidents more than somebody who is driving the speed limit. When assessing risk car insurance companies consider other things beyond just your driving record, number of accidents, and number of speeding tickets.
Your gender comes into play here as well. Men are a higher risk than women.
Men who live in the city are a higher risk than men who live in the country. Men and women in general will pay a higher rate in the city than they will in rural area just because of the number of potential accidents that can happen when you're driving amongst more automobiles.
What is your credit history like? People with low credit scores will be charged a higher premium than people with good credit scores. It's worth looking at your credit history to make sure everything is correct before you apply for a policy.
What is your previous car insurance history? If you had car insurance previously without any problems you get a better rate then if you're constantly starting and stopping your car insurance coverage.
People who have had lapses in coverage are considered to be a higher risk because they're probably driving without insurance at times. Not only is this illegal, but it's also dangerous to both you and potential drivers that you might be involved in an accident with.
The last point that we want to make about high risk our insurance is it is possible to clean your driving record up, but that does take time. It's important that if you are in a high-risk category now you do not continually make bad decisions that could lead to it taking longer for you to graduate to a lower risk.
posted on Monday, March 24, 2014