Cheap auto insurance for high-risk drivers

The cheapest car insurance for high-risk drivers

Drivers classified as high-risk may have more difficulty finding affordable auto insurance because car insurance companies presume that they are more likely to exhibit unsafe driving behaviors and file more claims. This can lead to higher premiums or even denied coverage. While a driver with a clean driving record pays an average car insurance premium of $2,314 per year for full coverage and $644 per year for minimum coverage, high-risk drivers typically pay more than that.

The good news is there are affordable options available for most car owners. Bankrate’s extensive research found that Plymouth Rock, Geico and Erie offer some of the cheapest car insurance for high-risk drivers. Below you will find each company’s average rates for good drivers, which can be a useful baseline comparison for each of the different high-risk driving scenarios that follow:

Cheap car insurance for drivers with an at-fault accident

After an at-fault accident, car insurance companies will typically add a surcharge to your policy (unless you have accident forgiveness). While the surcharge amount may depend on the severity of the accident and the amount paid out in a claim, it’s unlikely that you’ll pay close to the original premium you had as a driver with a clean driving record.

Our research shows that Plymouth Rock, Erie and Auto-Owners offer some of the cheapest car insurance premiums for drivers with one at-fault accident on their record.

Cheap car insurance for drivers with a speeding ticket conviction

Receiving a speeding ticket can be a serious violation, especially if you were significantly over the speed limit. A speeding ticket conviction can also have an impact on your car insurance premium. Each carrier rates speeding risks differently. For example, a speeding ticket with  Plymouth Rock increases full coverage auto insurance rates by an average of $433 per year, whereas Erie policyholders only see an average increase of $179.

Cheap car insurance for drivers with a DUI conviction

A DUI conviction is one of the most severe driving infractions and may stay on your driving record for up to 10 years depending on the laws in your state. Car insurance companies consider drivers with a DUI conviction to be some of the riskiest to insure, and the average rates below reflect this.

Based on our research, American National offers some of the cheapest average premiums for drivers with a DUI at $1,303 a year for full coverage. Erie’s average rates are $1,182 more per year compared to its rates for a driver with a clean record.

Cheap car insurance for young drivers

Young drivers are more likely to be involved in accidents compared to older drivers, largely due to their lack of experience. As such, young drivers pay some of the most expensive car insurance premiums. We found that American National, EMC and Erie offer some of the cheapest car insurance for 18-year-olds on their own policy.

However, note that age is not a rating factor in all states. In Massachusetts and Hawaii, for example, auto insurance companies are not allowed to consider your age.

Cheap car insurance for drivers with a lapse in coverage

A lapse in car insurance coverage can occur if you fail to pay your premiums or if you are switching carriers and your original policy ends before your new one starts. Depending on how long the lapse lasts, your car insurance rates might not be impacted significantly, but a longer lapse typically means higher premiums.

If you’ve experienced a lapse in coverage and resulting rate hike, consider getting quotes from the following insurers:

How to prevent a high-risk driver status

Taking precautions while driving can help you maintain a clean driving record. Some safe driving habits include:

1. Leaving early: If possible, try to allow as much time as needed for you to reach your destination. Check real-time traffic before you leave to see if there are any accidents or slowdowns on your route so you can adequately prepare.
2. Maintaining safe speeds: Driving at an appropriate speed is one of the easiest ways to stay safe while driving. Avoiding speeding can give you more time to anticipate hazards around you and react to drivers. Other safe driving habits include increasing your following distance and using your turn signals and mirrors to change lanes safely.
3. Considering accident forgiveness: Despite our best efforts, accidents can happen. If your car insurance company has the option, consider purchasing accident forgiveness. With this add-on, the surcharge on your first at-fault accident is waived.

How to save on car insurance as a high-risk driver

Having one speeding ticket or car accident on your driving record usually won't put you in a high-risk driving category. However, drivers with one accident are statistically more likely to have another one within three years. Having multiple accidents and speeding tickets or a single DUI can have you flagged as a high-risk driver. It may take about 3-5 years of good driving before you could be re-assigned to the standard risk pool, but there are some things you can do to lower your insurance premium during that time.

• Take a defensive driving course: Check with your agent to see what defensive driver course you may qualify for. Once completed, the course will provide you with a discount lasting for three years and can be retaken to maintain the savings. Please note that some states only allow defensive driving discounts for drivers over the age of 55.
• Keep your old car: High-risk drivers pay exceedingly high prices for collision coverage than drivers in standard risk groups. If your car is getting older to where it doesn't have a high actual cash value, you may want to speak with your agent about removing collision coverage. Keeping your old car until you are moved into a better rating category can help you save money since a new car usually requires collision coverage.
• Improve your credit: While not all states use credit history as a rating factor, most do and having poor credit can put you in a high-risk group. If you improve your credit score from poor to fair or good, contact your insurance company and ask if they can re-run your policy with your improved credit score. This is usually a one-time option but it could save you a significant amount of money.

Frequently asked questions

Methodology

Bankrate utilizes Quadrant Information Services to analyze April 2024 rates for all ZIP codes and carriers in all 50 states and Washington, D.C. Rates are weighted based on the population density in each geographic region. Quoted rates are based on a single, 40-year-old male and female driver with a clean driving record, good credit and the following full coverage limits:

• $100,000 bodily injury liability per person
• $300,000 bodily injury liability per accident
• $50,000 property damage liability per accident
• $100,000 uninsured motorist bodily injury per person
• $300,000 uninsured motorist bodily injury per accident
• $500 collision deductible
• $500 comprehensive deductible

To determine minimum coverage limits, Bankrate used minimum coverage that meets each state’s requirements. Our base profile drivers own a 2022 Toyota Camry, commute five days a week and drive 12,000 miles annually.

These are sample rates and should only be used for comparative purposes.

Credit-based insurance scores: Rates were calculated based on the following insurance credit tiers assigned to our drivers: “poor, average, good (base) and excellent.” Insurance credit tiers factor in your official credit scores but are not dependent on that variable alone. Four states prohibit or limit the use of credit as a rating factor in determining auto insurance rates: California, Hawaii, Massachusetts and Michigan.

Incidents: Rates were calculated by evaluating our base profile with the following incidents applied: clean record (base), at-fault accident, single speeding ticket, single DUI conviction and lapse in coverage.

Bankrate Scores

Our 2024 Bankrate Score considers variables our insurance editorial team determined impacts policyholders’ experiences with an insurance company. These rating factors include a robust assessment of each company’s product availability, financial strength ratings, online capabilities and customer and claims support accessibility. Each factor was added to a category, and these categories were weighted in a tiered approach to analyze how companies perform in key customer-impacting categories.

Each category was assigned a metric to determine performance, and the weighted sum adds up to a company’s total Bankrate Score — out of 5 points. Our scoring model provides a comprehensive view, indicating when companies excel across several key areas and highlighting where they fall short.

• Tier 1 (Cost & ratings): To determine how well auto and home insurance companies satisfy these priorities, average quoted premiums from Quadrant Information Services (if available), as well as any of the latest third-party agency ratings from J.D. Power, AM Best, Demotech and the NAIC, were analyzed.
• Tier 2 (Coverage & savings): We assessed companies’ coverage options and availability to help policyholders find a provider that balances cost with coverage. Additionally, we evaluated each company’s discount options listed on its website.
• Tier 3 (Support): To encompass the many ways an auto insurance company can support policyholders, we analyzed avenues of customer accessibility along with community support. This analysis incorporated additional financial strength ratings from S&P and Moody’s and factored a company’s corporate sustainability efforts.