There are many instances when one may receive a speeding ticket. However, most motorists do not take the time to ask themselves, “Do speeding tickets affect insurance?” Sure enough, a speeding ticket affects your car insurance. Unfortunately, these effects are adverse, and the best way to avoid them is to obey set speed limits while driving.
Do Speeding Tickets Affect Insurance?
Yes, in the following ways:
1. Premiums are likely to increase
To any insurance company, a speeding ticket indicates potential reckless driving. You are categorized as a high-risk client, which may raise your insurance premiums. The amount by which your premiums are increased may vary greatly depending on the extent of your violation, your driving history, and the specific policies that legally bind you with an insurer.
2. Increases your traffic rules violation points
Speeding tickets is a violation of traffic rules. It is summed up with other violations you have made within a certain timeframe. Even though states have different point systems, different traffic violations carry different point values, which is the case with speeding.
An insurer may sum up the points accumulated over a certain timeframe to determine how risky you are as a driver. If you have accumulated more of these speeding, it might create an impression of careless driving and hence be charged higher premiums.
3. You may lose safe driver discounts
Some insurers may extend a safe driver discount on your insurance premiums. This is strictly based on your “accident free” safe driving history. However, a speeding ticket may you’re your insurance discount altogether. Since a speeding ticket may be a blemish to your clean driving records, it may disqualify you from such a discount.
4. May result to Rejection for policy cancellation
If you accumulate too many points within a short period from multiple speeding tickets, this could imply you are a reckless driver. You continually increase your car and third-party risks of loss. Your car insurer may have tolerated your enough and ends up deciding to part ways with you by cancelling or declining a policy renewal.
5. Inhibit your future car insurance
Insurers will often want to know your driving history. If you have many speeding ticket points, they blemish your driving history. For this reason, you are a high-risk policyholder. It becomes challenging for any insurer to accept to cover your car under any type of car insurance.
Suppose you are lucky to find a car insurer who accepts to cover you even with a blemished driving record. In that case, the ability to secure affordable insurance coverage may be close to impossible. Those who accept to insure your car could demand higher premiums or allow you only limited coverage options.
6. Long term adverse consequences
Even though speeding ticket points do not remain on your driving history forever, they have a long-term effect on your insurance. Your driving record will carry a speeding ticket for a certain period, majorly 3 to 5 years, depending on your state. This time frame is, in other cases, determined by the severity of your speeding violation.
During this time, such speeding tickets may hinder your ability to get a policy at reasonable rates. Fortunately, this adverse impact reduces as your ticket ages.
7. Prompts often policy review
Your car insurer is likely to review your policy periodically. A speeding ticket prompts your insurer to conduct a review more often to ascertain your driving records. If such a review reveals you have a deteriorating driving record, it could increase the rate.
Whenever you drive beyond the set speed limit at certain road sections, always be aware that this impacts your insurance. The speeding ticket you receive will is not just a matter of a fine. It extends to your car insurance policy premiums.