Without auto insurance, you could face a host of legal and financial problems. The majority of states in the United States have minimum auto insurance laws. These laws require that all drivers or vehicles must meet a minimum level of auto insurance coverage. This is commonly called basic liability insurance. For risky drivers, however, it may be more complicated.
Your insurer might place you in a non-standard category if you have been involved in an accident or are otherwise considered a risky driver. These policies generally cover the same things, but are typically more expensive than standard auto insurance . The driver’s increased risk of financial ruin is reflected in the higher price. In general, financial harm incidents tend to result in higher insurance premiums.
What is non-standard automobile insurance?
Non-standard insurance does not refer to a specific type of insurance policy. It is more like a group of restrictions or limitations that are placed on other standard insurance policies. These restrictions are often used to protect against financial risks posed by drivers with a history of traffic violations or other criminal records. Non-standard auto insurance is reserved for high-risk customers.
This usually means that you will pay more for the same coverage as other drivers. However, there may be additional restrictions. To protect yourself from financial risk as a hazardous driver, you might need to buy higher coverage limits than the standard basic liability policy. While higher premiums can be balanced by the expectation of greater payouts, more extensive coverage requirements can prevent you from being financially responsible in an event you cannot afford. A driver may be involved in a more expensive accident if they have a higher coverage requirement.
Why would anyone need non-standard auto insurance?
Your insurance company may place you on nonstandard insurance if you have had enough traffic violations. This classification refers to drivers who are considered risky because of more serious traffic violations or insurance violations.
- DUI
- Many tickets
- Driving without insurance
- Suspended License
- Reckless driving
These offenses, especially if they are repeated, can make drivers a higher risk to the insurance company. A driver who is prone to speeding or has been convicted of multiple DUIs is more likely than someone who drives slowly.
How can you obtain non-standard car insurance?
Many larger car insurers offer nonstandard insurance options. You may not need to change carriers. You may find lower rates at smaller, more specialized insurance companies. Many auto insurance companies are specialized in dealing with high-risk drivers and can offer lower rates to such customers.
Comparing quotes is a smart idea. This will allow you to find the best coverage and the lowest price. To establish a baseline price for your area’s reasonable premiums, you might also want to look at the average cost to insure autos in your state.
If you are unsure, contact a licensed agent to discuss your insurance needs. You can get help from a licensed expert to navigate the many options.
How can you save money when you pay higher premiums for a non-standard insurance policy?
Non-standard auto policies have higher rates, which can be frustrating. However, there are ways to reduce costs. To begin, do some research to find out which local car insurance companies offer the lowest rates. Insurance companies often offer discounts that can help reduce premiums in the short- and long-term. While you can get a discount on safe driving and paperless billing right away, it may take longer to take advantage of these benefits.
While improving your driving record can take some time, it is one of the best ways you can lower your premiums. You might want to look at both your state laws and your insurance company to determine how long certain offenses will remain on your record.
FAQ
What length of non-standard auto coverage will I have to keep me covered?
Insurance-related penalties for driving offences that could lead to you needing non-standard auto coverage are based upon many factors and may vary. It is not uncommon for insurance penalties to be in place for three to five years. You’ll be required to obtain non-standard insurance for every additional violation.
Non-standard auto insurance is much more expensive.
Rate increases can vary based on many factors such as where you live and your criminal record. However, non-standard auto insurance may cost up to five times more than standard rates. If you have a history of serious driving violations, it might be worth speaking with an insurance agent to help you find the best premiums.
Which insurance policy is best for your car?
The best car insurance company may not be the right one for you. It is a good idea to compare coverage options and providers. Talk to a licensed agent for advice on which insurance options would be best for you.
