When shopping for car insurance, you’ve probably noticed how vastly premiums can differ from one person to another. Ever wondered why? A significant factor that insurance companies look at is your driving history. It’s not just about the type of car you drive or where you live—your behavior behind the wheel plays a key role in determining how much you’ll need to pay. Here’s everything you need to know.
Why Insurance Companies Check Your Driving History
To put it simply, insurance companies assess risk. They’re in the business of predicting how likely it is that you’ll file a claim. If your driving history suggests you’re more prone to accidents or violations, they may view you as a higher risk. A clean record, on the other hand, signals that you’re a safer bet—meaning potentially lower rates.
Factors in Your Driving Record That Impact Rates
1. Accidents
If you’ve been involved in a car accident—especially one where you were at fault—this can lead to a noticeable increase in your car insurance premiums. Why? Because insurers assume you’re more likely to be involved in future accidents as well.
However, it’s worth noting that not all accidents weigh the same. A minor fender-bender may result in smaller premium hikes compared to a major collision that involves significant property damage or injuries.
2. Traffic Violations
Speeding tickets, running red lights, or getting caught for reckless driving all point to higher risk. Each violation adds points to your driving record, which insurers take into account during the underwriting process. The more recent and severe the violation, the bigger the impact on your rates.
For instance, a single speeding ticket could raise your premium by 10-15%, while a DUI could double or even triple your insurance costs.
3. Driving Without Insurance
A lapse in car insurance coverage can work against you, even if you’ve had a clean driving record. Insurance companies may see this as a red flag, suggesting financial instability or non-compliance with state laws. This could make insurers less willing to offer you their best rates.
4. Driving Experience
If you’re a new driver, your rates may be higher, even without a long history of violations or accidents. Why? Insurers tend to classify inexperienced drivers as higher-risk due to limited time on the road. Think of it as paying for a lack of proven driving reliability.
5. Claims History
Filing multiple claims over a short period can lead to higher premiums. Even if some of those claims weren’t your fault, frequent involvement in accidents or damage could raise concerns about driving habits or patterns.
How to Improve Your Driving Record and Reduce Insurance Costs
A higher premium now doesn’t have to be permanent! Here are steps you can take to clean up your driving history and lower your rates:
- Drive Safely: Make following traffic laws a priority. Avoid speeding, using your phone while driving, and other risky behaviors.
- Take Defensive Driving Courses: Many insurance providers will offer discounts if you complete a certified defensive driving program.
- Review Your Record Regularly: Check your driving record periodically to ensure it’s up to date, and challenge any inaccuracies with your DMV if necessary.
- Use a Telematics Program: Some insurers offer usage-based discounts if you’re willing to install a tracking device or use a smartphone app to monitor your driving behavior.
- Avoid Filing Small Claims: For minor damages, consider paying out of pocket rather than filing a claim. This can prevent your insurance rates from increasing unnecessarily.
The Road Ahead
Remember, your driving history isn’t just a record—it’s a story about how you behave on the road. Insurers look closely at that story to determine your car insurance rates. While you may not be able to rewrite your past, you can make choices today that lead to a brighter, more affordable future.
Delgado’s Insurance: Dependable Insurance in California
If you need dependable and affordable insurance in the Golden State, look no further than Delgado’s Insurance.
We have locations in Riverside, California, and Bloomington, California. Get in touch today by telephone (951-361-0084, 909-421-9003), email (mail@delgadosinsurance.com), or through our social media accounts (Facebook, Twitter and LinkedIn)!
