Auto Insurance For High Risk Drivers In Texas
Lone Star State’s high-risk drivers may struggle to find affordable vehicle coverage. Most carriers classify a driver as higher risk based on incidents on their driving record, such as one or more tickets, accidents, or driving under the influence (DUI). These drivers are generally considered to be riskier to insure because they are more likely to cause a serious or fatal accident. Of the 24,666 DUI accidents reported in 2019 in Texas, 2,152 people were seriously injured and 900 died.
High Risk Auto Insurance Rates in Texas
Insurance rates for Texas drivers considered high risk vary depending on the offense and the carrier. Some carriers specialize in high risk auto insurance and still offer affordable coverage for drivers with multiple offenses or convictions. Bankrate collected data from major high-risk auto insurance companies in Texas to compare how rates can change based on certain high-risk factors.
In addition to rate increases, drivers with six or more points on their record must pay at least $ 100 each year in additional DMV and risk losing coverage for being classified as high risk by their auto insurance company.
Fares after speeding
Auto insurance rates typically increase after just one speeding ticket, sometimes up to 20% or more. The good news is that premiums usually go down once the speeding ticket falls outside your driving record. The bad news is that Texas keeps points on your record for three years.
|Auto insurance company||Texas average annual premium for full coverage before a speeding ticket||Texas average annual premium for full coverage after a speeding ticket||% difference|
|Delek||$ 1,553||$ 1,716||9%|
|Geico||$ 1,339||$ 1,681||20%|
|State farm||$ 1,411||$ 1,719||18%|
Not all carriers treat speeding tickets the same; Delek only increases the average premium by 9% for a speeding ticket, while the other carriers we looked at were closer to a 20% increase. It’s always a good idea to shop around and compare carriers, and you may want to ask your current carrier about their speeding ticket policy.
Rates after an accident
If you’re in an accident, your premiums will likely increase unless you have an accident forgiveness on your policy and haven’t been in an accident for some time. If you’re at fault for the accident, premiums are even more likely to rise, as your carrier will likely have to pay for the other party’s injuries or property damage.
|Auto insurance company||Texas average annual premium for full pre-accident coverage||Average annual premium in Texas for full coverage after an accident||% difference|
|Delek||$ 1,553||$ 1,595||3%|
|State farm||$ 1,411||$ 1,834||23%|
|White mountains||$ 1,533||$ 1,965||22%|
If you have auto insurance with one of the bigger companies like State Farm, your premiums will likely go up over 20% after an accident. State Farm offers accident forgiveness, but only to customers who have been with them and accident free for nine years, which is a more stringent requirement than some other carriers.
Prices after a DUI
A DUI is generally a more serious and costly offense, which will be reflected in your premium increase. Some insurance companies do not allow you to renew a policy if you have a DUI conviction. Texas drivers convicted of a DUI will also need to file an SR-22.
|Auto insurance company||Texas average annual premium for full coverage before a DUI||Texas average annual premium for full coverage after a DUI||% difference|
|Delek||$ 1,553||$ 2,077||25%|
|Mercury||$ 1,722||$ 2,209||22%|
|MetLife||$ 2,375||$ 5,176||54%|
MetLife has one of the largest average increases in premiums after a DUI, while the average increases for lesser-known carriers Mercury and Delek are closer to what you might see with a speeding ticket. When you stack the likelihood of a large premium increase with all the other fines and fees associated with a DUI, this is a very costly offense. Several DUIs are likely to cause you to completely lose your coverage.
Tariff for teenage drivers
Even teenage drivers with no accidents or no quotes on their record tend to have more expensive auto insurance premiums than other age groups. Teenagers are considered to be at higher risk because they lack driving experience and tend to take more risks than older drivers. Take a closer look at average insurance rates after adding a 16-year-old to a parental vehicle policy.
|Auto insurance company||Average annual premium for full coverage *|
|State farm||$ 1,902|
|White mountains||$ 1,771|
* 16 years old on their parents’ policy
Auto insurance rates generally decrease every year for young drivers, provided they drive safely and keep their driving record clean. In addition, some carriers offer insurance discounts for teens who pass a safe driving course or who maintain good grades.
Who is a high risk driver?
Insurance companies typically report drivers as high risk if they:
- Have one or more DUI convictions
- Several movement violations, such as speeding tickets or failing to stop at a red light
- Have been responsible for more than one car accident in the past one to three years
Rate increases based on bank rates (other than teenage drivers) on a driver with a clean record and an instance of speeding or accident or DUI.
How to lower your rate if you are a high-risk driver
High-risk drivers generally pay more for insurance than a driver with a clean record. However, there are several ways to save money on auto insurance premiums:
- Sign up for an approved defensive driving course to improve your driving habits and get a reduction on your auto insurance.
- Choose a carrier that forgives you for an accident every three years.
- After a move violation ticket, enroll in traffic school to avoid points that increase your auto insurance premiums. You can take one approved course per year.
- Sign up for your auto insurance company’s telematics program. You will need to download an app that tracks your driving, such as kilometers driven and speed. The safer you drive, the bigger your premium discount will be.
Texas awards you points for each moving violation. The points drop from your record after three years. If you can avoid further quotes during this time, your status will likely change from a high risk driver to a safe driver, and your premiums will generally decrease.
Frequently Asked Questions
Does SR-22 Auto Insurance?
An SR-22 is a certificate of financial responsibility and is not a substitute for automobile insurance. Instead, it informs the state that you have the minimum amounts of coverage required. Some states, including Texas, require drivers to obtain these certificates to prove they are covered.
What is a high risk driver?
A high risk driver is generally classified as someone who has a DUI conviction or one or more speeding tickets or accidents at fault in the past three years. High risk drivers usually pay more for auto insurance and may even have their auto insurance canceled because they are more likely to cause serious accidents.
Bankrate uses Quadrant Information Services to analyze 2021 rates for all zip codes and carriers in all 50 states and Washington, DC Rates shown are based on a 40 year old male and female driver with a driving record clean, good credit and the following. coverage limits:
- $ 100,000 of civil liability per person
- Civil liability of $ 300,000 per accident
- Civil liability of $ 50,000 per accident
- $ 100,000 of uninsured bodily injury by a motorist per person
- $ 300,000 in uninsured bodily injury by a motorist per accident
- $ 500 collision deductible
- Full $ 500 deductible
To determine the minimum coverage limits, Bankrate used minimum coverage that meets the requirements of each state. Our basic profile drivers own a 2019 Toyota Camry, commute five days a week, and cover 12,000 miles a year. These are sample rates and should only be used for comparison purposes.
High risk drivers
Incident: The rates were calculated by evaluating our baseline profile with the following incidents applied: blank (baseline) record, at-fault accident, single speeding ticket, single DUI conviction, and lapse of coverage.