What is a high-risk driver?

Definition and Example of a High-Risk Driver

A high-risk driver is someone with a previous record of irresponsible driving that can lead to violations, accidents, criminal charges, or other actions behind the wheel that may increase insurance rates or cause insurance companies to refuse to insure the high-risk driver. One accident or a few tickets doesn’t make a driver high-risk unless there are illegal actions involved, such as driving under the influence of alcohol.

While insurance companies may not have a universal definition for high-risk drivers, they always assess drivers to determine risk, according to Frank Jones, an independent insurance agent and partner at Mints Insurance in New Jersey. Jones works with insurance lines in 25 states and often looks for insurance companies willing to deal with high-risk drivers.

Generally, a high-risk driver is someone who has:

• A major violation, such as speeding or a conviction for driving under the influence.
• Multiple repeated minor violations, such as tickets or accidents.
• Several accidents due to fault in the past three to five years.
• The need to file an SR-22 or FR-44 form, which can be due to a conviction or not having insurance.
• Driving violations that resulted in a point accumulation on your record.

Many insurance companies consider less experienced or younger drivers to be more risky than experienced drivers, but Jones stated that they wouldn’t fit the definition of “high-risk drivers.”

In a statewide survey in Minnesota in 2014, risky driving behaviors were defined as follows: drinking and driving, not wearing a seatbelt, using a mobile phone/internet while driving, and driving 10 miles per hour or more over the speed limit. High-risk drivers were typically younger, male, and employed, and they viewed themselves having personality traits like seeking adventure and competitiveness. It was also expected that high-risk drivers would be more likely to be involved in car accidents, receive driving violations, and face license suspensions than lower-risk drivers.

How Does High-Risk Driver Classification Work?

When you request a quote for car insurance, the insurance company reviews your driving record to determine if you are a high-risk driver with dangerous driving patterns. In fact, many insurance companies consider the driving records of every licensed driver in your household.

Speeding tickets once are not of great concern, according to Jones. What worries insurance companies is covering the costs that drivers who frequently engage in risky behavior can accumulate through accidents.

Jones works to match high-risk drivers with insurance companies that offer coverage beyond the minimum required at a reasonable price. He often finds that among more than ten insurance companies, only a few agree to insure a high-risk driver.

Depending on your state, if you are a high-risk driver, you may only be able to obtain coverage for the minimum liability insurance required by the state. You may not be able to purchase optional coverages such as collision and comprehensive insurance, which covers damage to your car.

Insurance companies typically look at your driving record for the past five years, although some insurance companies only go back three years, according to Jones. Even if points are removed from your state driving record, driving convictions for violations can remain for a longer period, sometimes permanently.

How to

Getting Rid of High-Risk Driver Classification?

Some states encourage or require individuals convicted of high-risk driving behaviors to take driving courses. For example, after being convicted of three offenses such as non-compliance or shouldering, drivers in Delaware must take an eight-hour behavioral modification course. Some insurance companies may offer a discount if you take a defensive driving course to improve your driving skills.

To not be classified as a high-risk driver by insurance companies, generally, you must wait until the violations are cleared from your record. According to Jones, “If you have a DUI conviction, a defensive driving course won’t change your status significantly. What will change your status is time.”

Of course, you can also take steps to prevent distracted driving:

• Put your phone on “Do Not Disturb” mode and place it in your bag or console while driving.
• Adhere to speed limits.
• Wear your seatbelt.
• Avoid driving under the influence of drugs or alcohol.

Frequently Asked Questions (FAQs)

How much does insurance increase after being classified as a high-risk driver?

There is no specific amount for the increase, according to Jones, although you may find it difficult to obtain car insurance if you are classified as a high-risk driver. In this case, many states offer insurance plans developed specifically for high-risk drivers, but they are often costly. For example, Jones was aware of a person who had two DUI convictions and was in four accidents in just a few years – they ended up paying $17,000 per year for insurance for three years, after their premiums were around $1,400 per year.

Will I be considered a high-risk driver after giving up the car?

Not necessarily, according to Jones. It depends on whether you have a high-risk record or have engaged in high-risk driving activities in the past.

Are some drivers, even if not classified as high-risk, more expensive to insure than others?

Young drivers, new drivers, and drivers who have not previously had car insurance tend to be more expensive to insure, even if they have not been involved in an accident or received a ticket.

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Source: https://www.thebalancemoney.com/what-is-a-high-risk-driver-527253