Driving is risky business, and sometimes you might make mistakes. A moving violation might be minor or incredibly serious. You might face penalties not only from the police, but also from your auto insurer. A driving infraction often increases risks for your insurer. Sometimes, they will label you a high-risk driver, and this might drive up your premiums or make you ineligible to buy certain coverage.
Can You Be Denied Coverage?
By law, most states require nearly all drivers who register a vehicle in the state have car insurance. As a result, drivers can buy coverage even if they are high-risk drivers. However, insurers still have the right to deny some or all their services to high-risk drivers. The risk that the driver poses might not be an investment the insurer can afford to make.
Significant driving offenses might include DUIs, speeding, reckless driving, racing or other serious mistakes. They increase a driver’s risk of having a wreck, damaging property or harming others. As a result, drivers who are high-risk have higher chances of filing a claim on their car insurance. The more claims they have, the more of a cost risk to the insurer. This is because the insurer might have to pay on their behalf more often. This factor might earn them a high-risk designation.
A high-risk driver has committed infractions in the past. Therefore, they have shown the insurer that they have a risk of committing further infractions. The insurer will have to protect their bottom line. In some cases, they might have to charge you more for your policy or only offer you limited coverage. In others, unfortunately, they might have no choice but to deny your application.
What Should You Do About a Denied Quote?
If you get a high-risk designation and now face higher premiums or coverage denial, then don’t give up yet. There are still ways to get affordable coverage that meets your insurance needs.
First, ask your insurance agent to help you compare your policy options. Just because one insurer won’t offer you coverage doesn’t mean the rest won't. Many insurers offer policies for which high-risk drivers can qualify. Your agent can help you find one that is adequate for you. If you work with an independent agency, then your agent can likely look at the policies offered by multiple carriers. Therefore, they can pinpoint the one that offers you the most affordable coverage, too.
Additionally, driving infractions often only remain on your driving record for a few years. After they disappear, they might reduce your insurance risks and you might qualify for better rates. Therefore, even if you have offenses from the past, you can work in the present to keep your record clear.
Call Maximum Protection Insurance today to learn more about auto insurance coverage, or to get started on your free auto quote!