high risk auto insurance
As an independent insurance agent with Blake Insurance Group, I’ve seen firsthand how challenging it can be for drivers to find affordable auto insurance when they’re considered high-risk. Whether you’ve had a few too many speeding tickets, been involved in accidents, or are just new to driving, being labeled as “high-risk” can make getting coverage feel like an uphill battle.
But here’s the thing – I’ve helped countless drivers in Arizona, Alabama, Florida, Georgia, New Mexico, New York, North Carolina, Oklahoma, Ohio, Texas, and Virginia navigate these tricky waters. And let me tell you, while it might not be easy, it’s definitely possible to find solid coverage that won’t break the bank.
In this article, I’ll break down what you need to know about high-risk auto insurance. We’ll cover who needs it, how to find affordable options and even some state-specific considerations you should keep in mind. So buckle up, and let’s dive into the world of high-risk auto insurance together.
Who Needs High-Risk Auto Insurance?
High-risk auto insurance is designed for drivers who insurance companies consider more likely to file claims due to various risk factors. Here are the common situations that often lead to drivers needing high-risk auto insurance:
– **Drivers with Multiple Speeding Tickets or Accidents**: Accumulating multiple speeding tickets or being involved in accidents can significantly increase a driver’s risk profile. In New York, for example, receiving another speeding ticket within 18 months can double fines and add points to your license, potentially leading to license suspension and higher insurance rates. A DUI/DWI conviction can raise premiums by around 96%, up to an extra $1,680 annually.
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– **Those Convicted of DUI/DWI**: Convictions for driving under the influence of drugs or alcohol result in higher insurance rates and the requirement to file an SR-22 certificate, which indicates high-risk status.
– **Drivers with Lapses in Coverage**: If a driver has had periods without insurance, they might be considered high-risk, as insurance companies view this as a sign of potential irresponsibility.
– **Newly Licensed or Very Young Drivers**: Teenagers and drivers in their early 20s often face high-risk status due to their inexperience and higher accident rates.
– **Seniors Over a Certain Age**: Older drivers, especially those over 70, are often considered high-risk due to potential declines in physical and cognitive abilities, which can lead to higher accident rates.
– **People with Poor Credit Scores**: Studies have shown that drivers with low credit scores are more likely to file claims, leading insurance companies to view them as high-risk. However, some states prohibit the use of credit scores in determining insurance rates.
These factors collectively make drivers more likely to file claims, prompting insurance companies to categorize them as high-risk and adjust premiums accordingly.
High-risk auto insurance cost
– **National Average**: High-risk drivers can expect to pay anywhere from 35% to 69% more than those not considered high-risk. For instance, a 40-year-old driver with a clean motor vehicle record might pay an average of $1,220 per year, while a high-risk driver could pay as much as $2,160 for the same coverage.
– **Factors Affecting Costs**:
– **DUI/DWI**: A conviction for driving under the influence can raise premiums by around 96%, adding up to an extra $1,680 per year.
– **Speeding Tickets**: A speeding ticket could increase the annual cost by an average of $431.
– **At-Fault Accidents**: Premiums can increase by about 50% after an at-fault accident.
Reckless Driving: This violation can significantly raise insurance rates, with State Farm offering the cheapest full coverage car insurance for drivers with a reckless driving conviction at $1,742 a year.
– **Poor Credit**: Drivers with poor credit scores, especially those below 600, might pay up to 69% more.
– **State Variations**:
– **Florida**: If you have a DUI, you’ll pay $4,073. With poor credit, the cost jumps to $4,862.
– **Maine**: A DUI results in a premium of $1,555, and bad credit increases the cost to $1,759.
– **Company Rates**:
– **Nationwide**: Offers the cheapest high-risk insurance with an average annual premium of $2,506.
– **State Farm**: Known for smaller rate hikes after accidents or infractions, with an average annual premium of $2,614 for high-risk drivers.
**Geico**offers competitive rates for high-risk drivers, with an average annual premium of $2,645.
High-risk auto insurance rates can vary widely based on numerous factors, including the state, driving history, and insurance company. It is often recommended that you shop around and compare quotes from multiple insurers to find the best deal for your specific situation.
| State | Average Rate for High-Risk Drivers | DUI Offense Rate | 2 Speeding Tickets Rate | 1 Accident with Injuries Rate | Poor Credit Rate |
|---|---|---|---|---|---|
| Arizona | $2,719 | $2,737 | $2,557 | $2,536 | $3,926 |
| Alabama | $2,369 | $2,498 | $2,174 | $2,327 | $3,015 |
| Florida | $4,073 | $5,288 | $3,340 | $4,389 | $4,862 |
| Georgia | $1,286 | $2,851 | $2,338 | $2,436 | $3,509 |
| New Mexico | $1,483 | $3,802 | $2,436 | $2,554 | $2,660 |
| New York | $2,338 | $4,115 | $2,882 | $3,213 | $3,167 |
| North Carolina | $1,665 | $3,287 | $2,665 | $2,872 | $2,183 |
| Oklahoma | $1,181 | $2,378 | $2,238 | $2,440 | $2,397 |
| Ohio | $1,181 | $2,611 | $2,159 | $2,307 | $2,431 |
| Texas | $1,698 | $2,873 | $2,614 | $2,749 | $3,143 |
| Virginia | $1,181 | $1,881 | $1,790 | $1,927 | $2,076 |
The best high-risk auto insurance companies for drivers in 2025
– **Geico**: Known for its competitive rates for high-risk drivers, Geico offers the lowest rates on average for those with speeding tickets, DUIs, or a lapse in coverage. Geico’s comprehensive offerings include SR-22 filings and a variety of discounts that can help lower premiums. The company’s average annual premium for high-risk drivers is $2,645.
– **State Farm**: State Farm provides excellent coverage for high-risk drivers with competitive pricing, high financial stability, and customer satisfaction. It’s particularly noted for its smaller rate hikes after accidents or infractions, with an average annual premium of $2,614 for high-risk drivers.
– **Travelers**: Travelers offers some of the best rates alongside a good selection of coverage options, with an average annual premium of $2,949 for high-risk drivers.
– **Nationwide**: Nationwide stands out as one of the cheapest options, with an average annual premium of $2,506 for high-risk drivers. It provides access to standard and non-standard policies, making it suitable for high-risk situations.
– **Progressive**: In 2024, Bankrate recognized Progressive as the best auto insurance company for high-risk drivers. Progressive offers competitive rates for various high-risk categories, including DUIs and SR-22 filings. Its average rate for high-risk drivers is $3,189 annually.
– **USAA**: While not available to everyone (only to military members and their families), USAA provides some of the cheapest rates for high-risk drivers, especially for those with at-fault accidents and speeding tickets. Its rates are often below the national average.
– **American Family Insurance**: For specific states, American Family Insurance offers competitive rates for high-risk drivers, particularly in Arizona, where it ranks closely behind Geico for affordability.
Finding Affordable High-Risk Coverage
Shop Around and Compare Quotes
Comparing insurance quotes is one of the best ways to ensure you get the best rate. Premiums for high-risk drivers can increase by 35% to 69% compared to standard policies, so shopping around is crucial. For example, the cheapest high-risk auto insurance company in Arizona is Geico, followed by Nationwide and Travelers.
Look into Usage-Based Insurance Programs
Some insurers offer usage-based insurance programs that track your driving habits. If you drive safely and less frequently, you could qualify for lower rates. This can be particularly beneficial for high-risk drivers looking to offset the cost of their premiums.
Consider Taking a Defensive Driving Course
Taking a defensive driving course can make you a safer driver and potentially lower your insurance rates. Many insurance companies offer discounts for completing such courses, which can help counteract the high-risk label.
Gradually Rebuild Your Driving Record
Over time, you can improve your risk profile by maintaining a clean driving record, avoiding coverage lapses, and improving your credit score where applicable. For instance, a clean motor vehicle record driver might pay an average of $1,220 per year, while a high-risk driver could pay up to $2,160 for the same coverage. You can eventually transition from high-risk to standard insurance rates by rebuilding your record.
When selecting a high-risk auto insurance company, consider the following factors:
Rates: Compare quotes from multiple insurers to find the most affordable option for your specific high-risk situation.
– **Coverage Options**: Ensure the company offers the necessary coverage, such as SR-22 or FR-44 filings, if required by your state.
– **Discounts**: Look for companies with discounts that can help offset the higher rates.
– **Customer Service**: Check for customer satisfaction ratings and reputation for claims handling.
– **Financial Stability**: Companies with high financial stability ratings ensure they can pay out claims.
FAQ About High-Risk Car Insurance
- Multiple speeding tickets or accidents
- DUI/DWI convictions
- Lapses in coverage
- Newly licensed or inexperienced drivers
- Seniors over a certain age
- Poor credit scores
- Shop around and compare quotes from multiple insurers
- Look for discounts, such as bundling discounts, safe driving courses, or good student discounts
- Choose a higher deductible to lower your monthly premiums
- Gradually rebuild your driving record over time
Blake Insurance Group
Phone: (888) 387-3687
Email: [email protected]
Hours: Mon-Fri 9:00 am to 5:00 pm
Sat-Sun: Closed
Blake Nwosu
Owner & Principal Agent