Speeding Tickets? Lower Your Car Insurance Costs

How Do Speeding Tickets Affect Your Car Insurance Rate?

If you are caught speeding, your car insurance provider will add the speeding ticket to your driving record on your policy. One speeding ticket may not impact the cost of your insurance as heavily as if you have multiple tickets, but the speeding ticket will inevitably raise your insurance premiums unless your insurer waives a first offense and this is your first speeding ticket.

Car insurance rates reflect the risk level of the driver or drivers on an insurance policy by assessing the number of moving violations and accidents each driver has. Other factors affect your insurance as well, such as the type of car you drive, the annual mileage you put on the car, and where you live. Safe drivers pay lower car insurance premiums than higher-risk drivers because they are likelier to drive more carefully than drivers with accidents and traffic violations.

How does an insurance company check my driving history?

Insurers check your driving activity by obtaining motor vehicle reports from your state's Department of Motor Vehicles. Once an insurance carrier picks up a speeding ticket or other violations, they will raise rates for the next renewal of your auto insurance policy, or they may decide not to offer a renewal on the policy.

Speeding violations and other moving violations will always be reflected on your motor vehicle report, while parking tickets are not. Insurers will charge for moving violations on your insurance for a 3-5 year underwriting period. It won't be until your last moving violation or accident clears that underwriting period that you can be considered to have a clean driving record.

How to lower car insurance after a speeding ticket?

It may be tempting to modify your auto insurance coverage to mitigate the higher premiums that come with a speeding ticket or more traffic violations being added to your policy. Though the minimum insurance required by each state is for liability and property damage coverages only if you opt to give up your comprehensive and collision coverages to reduce your policy's cost, you should know what you are giving up. Comprehensive coverage responds to damage to your car resulting from things that do not involve a collision with another vehicle, such as fire, theft, hitting an animal, or damage resulting from a weather event. Collision coverage responds to damage to your vehicle from an actual collision with another vehicle or stationary object. If you remove these coverages from your policy to save on your premium, you will not have coverage for the damage to your car, regardless of how the damage occurs. If you have a loan or a lease on the vehicle, you will violate your contract with the bank or leasing company if you remove these coverages as well.

Consider other options to reduce your auto insurance premium. Some insurance companies offer a valuable discount for bundling your homeowners' or renters' insurance policies with your auto policy. Your insurance carrier may offer a defensive driving credit if you complete an approved defensive driving course. Most insurers also offer discounts if you pay your premium in full or agree to an automatic monthly payment plan, put limited mileage on your car, or utilize a tracking app on your phone that monitors your driving activity. You can also ask your agent or insurance company about other credits that may be available to you without compromising your coverage.

Your best defense against having to pay elevated insurance premiums due to moving violations is to drive carefully so you do not get a violation in the first place.

FAQs about Speeding Ticket Insurance

Q: Is a speeding ticket considered a moving violation?

A: A speeding ticket is considered a moving violation in all 50 states and in Washington, D.C.

Q: Can a speeding ticket affect my insurance premium?

A: If your auto insurance carrier picks up a speeding ticket or other moving violation on your driving record, the carrier will apply the violation to your policy at the next renewal, and you will more than likely pay a higher premium as a result. Some carriers may make an exception if this is your first offense.

Q: How long does a speeding ticket stay on my driving record?

A. Most insurers will represent a speeding ticket on your driving history for 3-5 years. Your car insurance typically will reflect a higher premium until a moving violation like a speeding ticket ages out of the carrier's specified underwriting period.