My name is Eric Bowman, and if you have questions about insurance, this is the blog you need to read. I was always confused when I had to purchase insurance. I would either end up paying for insurance I didn't need or I wouldn't buy the right policy. I finally decided that I was going to learn all I could about insurance policies so that I would understand exactly what I was buying. Now, I am completely satisfied with my insurance and the coverage is just what I need. I realized that there are others who are probably just as confused as I was, so I am writing this blog to help others get the best insurance for their needs and budget. I hope that my blog gives you the information you need to make the right choices when purchasing insurance.
High-risk car insurance, which carriers also refer to as nonstandard insurance, costs more than standard insurance. Auto insurance companies require high-risk insurance from drivers who are more likely to get into accidents than others. Below are some tips to help you avoid the high-risk classification.
Don't Drink and Drive
Intoxication impairs judgment and increases the risk of an accident. Insurance companies know this and don't look kindly to those with DUI (driving under the influence) convictions. In fact, your insurance carrier might refuse to renew coverage or even cancel your coverage after multiple DUIs.
Don't drink and drive. If intoxicated, let someone drive you, use public transportation, or get a place to sleep until you get sober again.
Don't Violate Traffic Laws
Traffic laws keep road users safe. Violation of traffic laws, such as turning without a signal, increases the risk of an accident. Your insurance company may forgive you for a one-time violation. However, multiple traffic tickets on your record are likely to get you into the high-risk designation. You can get a refresher-driving course if you are not conversant with all traffic laws.
Maintain Insurance Coverage
You can also avoid the high-risk designation if you maintain your car insurance at all times. A lapse in coverage shows irresponsibility since it's illegal to drive without coverage.
In fact, the DMV (department of motor vehicles) will require you to carry an SR-22 certificate if the authorities catch you driving without insurance. The certificate shows that you have state-mandated insurance coverage.
Here are some tips to avoid a lapse in coverage:
Talk to your insurance agent for advice on inexpensive insurance coverage.
Don't Cause Accidents
Lastly, you should do everything possible to avoid accidents. Accidents not only cause pain and damage, but they also cost insurance companies money. Your rates may not go up if you are involved in, but don't cause, an accident. However, the accidents you cause might affect your rates. Multiple accidents are particularly bad.
Here are a few tips to help you lower your risk of accidents:
If you do get involved in an accident, inform your auto insurance company as soon as possible. Hiding an accident shows dishonesty — the insurance company can even consider it as a fraud.