Do Speeding Tickets Make Your Insurance Go Up? Buckle Up for the Truth!

Yes, in most cases, a speeding ticket will absolutely make your car insurance rates go up. The increase isn’t always immediate, and the degree to which your premiums rise depends on a multitude of factors. However, insurance companies view speeding tickets as indicators of risky driving behavior, and risky drivers are, statistically speaking, more likely to be involved in accidents, leading to claims. This increased risk translates directly into higher insurance premiums.

Why Your Insurance Company Cares About Your Speeding Ticket

Think of your car insurance company as a risk assessor. Their entire business model hinges on accurately predicting the likelihood of you filing a claim. The fewer claims filed by their customers, the more profitable they are. Therefore, they use various factors to gauge your risk level, and driving history is a major data point.

A speeding ticket, especially one exceeding a certain speed threshold, suggests a propensity for unsafe driving habits. Insurance companies analyze these habits to forecast your potential for future accidents. Here’s why a speeding ticket rings alarm bells:

• Increased Accident Risk: Statistics consistently show a strong correlation between speeding and accidents. Higher speeds mean less reaction time, increased stopping distance, and a greater likelihood of losing control of your vehicle.
• Reckless Behavior Indicator: A speeding ticket can be seen as a sign of disregard for traffic laws and the safety of others on the road. This indicates a higher propensity for other risky driving behaviors, such as aggressive driving or distracted driving.
• Costly Claims Potential: Even a minor fender-bender can become significantly more expensive when speed is a contributing factor. The faster the vehicle is moving, the greater the damage and the higher the potential medical bills.

Factors Influencing the Impact of a Speeding Ticket on Your Insurance

The precise impact of a speeding ticket on your insurance premiums isn’t a simple calculation. Several variables come into play, including:

• Severity of the Speeding Violation: A ticket for going 5 mph over the speed limit will likely have less of an impact than a ticket for exceeding the speed limit by 20 mph or more. The higher the speed, the greater the perceived risk.
• Your State Laws: Each state has its own laws regarding traffic violations and how they affect insurance rates. Some states are more lenient than others. Also, some states use a point system for traffic violations. Accumulating too many points can lead to license suspension and significantly higher insurance rates.
• Your Insurance Company: Different insurance companies have different risk assessment models. Some companies are more tolerant of minor infractions than others. Shopping around for insurance quotes after a speeding ticket is highly recommended.
• Your Driving Record: A single speeding ticket on a clean driving record might have a smaller impact than a speeding ticket added to a history of multiple violations or accidents. A clean driving record demonstrates a history of safe driving, which can mitigate the impact of a single mistake.
• Your Age and Experience: Younger drivers and those with less driving experience are often considered higher risks. A speeding ticket for a young driver will likely result in a more significant premium increase than for an older, experienced driver with a spotless record.
• Type of Road and Circumstances: Some insurance companies may consider the type of road on which the speeding violation occurred. Speeding in a school zone or construction zone typically carries a heavier penalty than speeding on an open highway. The circumstances surrounding the ticket can sometimes be a factor as well.
• Defensive Driving Courses: Completing a defensive driving course may help mitigate the impact of a speeding ticket. Some insurance companies offer discounts for completing these courses, and in some cases, it may even prevent the ticket from appearing on your driving record. Check with your insurance company and local court for eligibility.

How Long Will a Speeding Ticket Affect Your Insurance?

The duration that a speeding ticket affects your insurance rates varies, but it typically remains on your driving record for 3 to 5 years. This means that your insurance company will likely consider the ticket when renewing your policy during this period. After this time frame, the ticket usually falls off your record and no longer impacts your premiums. However, this timeframe can vary depending on your state’s laws and your insurance company’s policies.

Frequently Asked Questions (FAQs) About Speeding Tickets and Insurance

Here are some common questions and answers to further clarify the relationship between speeding tickets and insurance rates:

1. Will a warning affect my insurance?

Generally, a warning will not affect your insurance. Warnings are not considered moving violations and are not reported to your insurance company. However, if a warning is accompanied by a ticket for another violation, the ticket will affect your insurance.

2. What if I fight the speeding ticket and win?

If you successfully fight the speeding ticket and it’s dismissed, it won’t affect your insurance. A dismissal means the violation is not recorded on your driving record.

3. Does a speeding ticket affect my insurance if I wasn’t driving my own car?

It depends. If you were driving someone else’s car and received a speeding ticket, it will appear on your driving record, and could affect your insurance rates when you renew or obtain a new policy. The owner of the car’s insurance might also be affected, depending on the policy and circumstances.

4. Can I prevent my insurance from going up after a speeding ticket?

Potentially. As mentioned earlier, completing a defensive driving course can sometimes prevent the ticket from appearing on your driving record or earn you a discount. Also, carefully review your insurance policy and shop around for quotes from other companies to see if you can find a better rate.

5. Will my insurance go up even if I’m not at fault in an accident but received a speeding ticket at the scene?

Yes, it’s possible. Even if you weren’t at fault in the accident, receiving a speeding ticket demonstrates a violation of traffic laws and indicates risky driving behavior. This can still lead to an increase in your insurance premiums.

6. How much will my insurance go up after a speeding ticket?

There’s no single answer. The increase can range from a few dollars per month to several hundred dollars per year, depending on the factors mentioned above. A minor speeding ticket might result in a small increase, while a more severe violation could significantly raise your rates. The only way to know for sure is to check with your insurance company or get quotes from other insurers.

7. Does it matter if the speeding ticket was out of state?

Yes, it usually matters. Most states share driving record information through interstate compacts. This means that a speeding ticket received in another state will likely be reported to your home state and appear on your driving record, potentially impacting your insurance.

8. Is it better to get points on my license or have my insurance go up?

This isn’t a question of “better” – they are interconnected. Points on your license are typically a direct result of a traffic violation, and these points are what trigger the increase in your insurance rates. Avoiding the violation altogether is the best course of action.

9. Will a speeding ticket affect my insurance if I have accident forgiveness?

Accident forgiveness typically only applies to accidents where you are at fault. It doesn’t usually cover speeding tickets. Check the specific terms of your policy to confirm.

10. If I change insurance companies, will the new company know about my speeding ticket?

Yes, most likely. Insurance companies check your driving record when you apply for a new policy. They use databases like the Comprehensive Loss Underwriting Exchange (CLUE) to access your driving history and claims information.

11. What can I do to lower my insurance rates after a speeding ticket?

Besides defensive driving courses and shopping around for new rates, consider increasing your deductible. A higher deductible means you’ll pay more out-of-pocket in the event of an accident, but it can also lower your monthly premiums. Also, maintain a safe driving record moving forward – a clean record over time can help to reduce your rates at renewal.

12. Can a lawyer help me avoid an insurance increase after a speeding ticket?

Yes, a lawyer can potentially help. A lawyer may be able to negotiate a reduced charge, such as a non-moving violation, which won’t appear on your driving record and won’t affect your insurance rates. They can also represent you in court if you choose to fight the ticket.

Conclusion: Drive Safe, Save Money

The bottom line is this: speeding tickets almost always lead to higher insurance rates. The best way to avoid the financial burden of increased premiums is to drive safely and obey traffic laws. While there are strategies to mitigate the impact of a speeding ticket, prevention is always the best policy. Drive responsibly, and keep your insurance rates – and yourself – on the road to success.