Did you get a speeding ticket? And you are wondering, will my insurance increase after I get a speeding ticket? A speeding ticket will affect your car insurance. Now you’re thinking, how much does insurance go up after a speeding ticket? How much a speeding ticket will affect your insurance depends on some factors, including your state.
Are you a first-time offender? If yes, I have news for you. Depending on your state and insurance provider, your car insurance may not go up. This article highlights how much your insurance will go up after a speeding ticket.
How Much Will Your Insurance Go Up After Speeding Ticket?
While getting a speeding ticket will almost certainly increase the next payment of your insurance, it may not sometimes, depending on some factors. The factors that influence the increase of your insurance after getting a speeding ticket include:
- Your driving history: This includes other traffic violations and culpable automobile accidents.
- If you are a first-time offender.
- Duration to your last violation.
- How many miles per hour did you exceed the speed limit?
According to estimates, a speeding ticket will increase your insurance by 21 -25% of the original cost. However, the rate of insurance increase after a speeding ticket varies based on:
- Your auto insurer (company)
- Your state
How much will your insurance go up after a speeding ticket based on your auto insurer (company)
How much will my insurance go up after a speeding ticket? This is an important question you should ask yourself after getting a speeding ticket.
Analysis of ten major insurance companies in the united states ranked from highest to lowest for rates before a speeding ticket showed a significant increase in the cost of car insurance compared to a driver with a clean record.
|Company||Average annual rates for drivers with a clean record||Average annual rates for drivers with a speeding ticket||Increase after a speeding ticket||Percentage increase after a speeding ticket|
|6. American family||$1,454||$1,715||$261||18%|
|9. State farm||$1,402||$1,607||$205||15%|
Evidence from the analysis showed that:
- USAA offered the cheapest average annual rate for drivers with speeding tickets. However, it is only available to military personnel and their close relatives.
- Despite an average rate increase of 34%, GEICO had the second-lowest average annual premium for those with a speeding ticket.
- Farmers with an annual rate of $2,743, had the highest rate after a speeding ticket. This is about 74% higher than GEICO’s rate.
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How much will your insurance go up after a speeding ticket based on your state?
The typical rate increase for drivers with speeding fines varies from state to state. State insurance laws have a factor to play in this.
|State||Average annual rates for drivers with a clean record of $||Average rates for drivers with a speeding ticket are $||Increase after a speeding ticket $||Percentage increase after a speeding ticket %|
How much your insurance will go up after a speeding ticket hinges on your state. We drew the following inferences from the analysis of each state:
- The 4 highest paying states after a speeding ticket from highest to lowest are Louisiana, Florida, Michigan, and Nevada. In these states, the average annual rate for insurance after a speeding ticket is above $3,000.
- Twenty-four states had their average annual rate below $2,000, even after a speeding ticket. With an average annual rate of $1,213, Vermont tops the list of the lowest-paying state after a speeding ticket. Idaho heeled it with an average rate of $1,217.
- The comparison between Texas and New Hampshire showed that how much your insurance will go up after a speeding ticket varies from state to state. With an 11% hike in Texas and New Hampshire, the drivers end up with $1,267 in New Hampshire. While Texas drivers ended up with $1,918, which is about 51% of New Hampshire’s rate.
How do multiple tickets raise insurance rates?
Did you get multiple speeding tickets and you are asking, how much will my insurance go up after speeding tickets? In most cases, receiving several speeding tickets will do a lot in hiking your rates. A study compared 3-states and drivers with three speeding tickets. The study showed that the drivers paid 66 – 110% more than drivers without any speeding tickets.
In another analysis that considered GEICO’s rate, the first ticket hiked rates by over 20% while the second ticket hiked rates by 38%.
What can you do when you get a speeding ticket?
Getting a speeding ticket can leave you thinking, how much will my insurance go up after a speeding ticket? What am I to do? Well, there are three ways you can respond to this:
- Pay the price
- Dispute the ticket
- Don’t take action
Pay the price: Paying the price will mean payment of a fine and an increase in the insurance rate.
Contest the ticket: Successfully contesting the ticket will make your driving record remain clean. And that means that insurance will not increase. Your ticket should contain instructions on how to contest the speeding ticket. Corporate organizations can employ the service of a financial consulting firm.
Don’t take action: If you disregard the speeding ticket and do not react within the time specified, you will receive a notification about an additional late fee. Your license can be suspended if you further disregard the ticket.
Are speeding tickets forgivable by insurance companies?
Most states pardon minor traffic violations. New York law, for instance, restricts rate increases to speeding violations that exceed the speed limit by 15 mph.
Another example is Texas, where speeding is a minor offense (based on your speed though).
Some auto insurance companies can also forgive a minor traffic violation. Farmers’ insurance pardons first-time minor offender who has been insured with them for a minimum of six months.
Travelers also have a plan that forgives minor violations every 36 months.
What can you do to Lower Your Car Insurance After a Speeding Ticket?
There are a few options you may have if you receive a speeding ticket that raises your rates. Your options include:
- Compare prices
- Request for discount
- Attend a course on safe driving
Comparing prices between your current insurance provider and new ones is one of the best methods to cut costs. Your speeding ticket will reflect poorly on your driving record and follow you to a new auto insurance provider, but they might still offer you lower rates for the same coverage as your previous provider.
Request for discount
You can receive multi-line discounts for things like combining your house and vehicle insurance.
Attend a course on safe driving
You might be eligible to take a state-approved driving course to reduce the number of points on your driving record if you don’t have a history of a speeding violation. Better more, it might prevent the violation from appearing on your record, preventing a rise in your rates due to the ticket.
How Long Will a Speeding Ticket Affect your Auto Insurance Rates?
Most times, speeding tickets and other moving violations are surchargeable incidents. This shows that the incident may cause a subsequent rate increase. Depending on your state, traffic violations may remain on your record for three to five years.
States like Texas and New Jersey, for instance, permit vehicle insurance firms to impose fees for three years. While Massachusetts imposes 5 years.
For each year you drive without another incident, such as another moving violation, or an accident where you were at fault, some insurance companies and state legislation will reduce the amount of the surcharge.
Frequently Asked Questions
According to our research, just one speeding ticket often results in a 21.2% average rise in insurance costs. However, the precise sum will change depending on your driving record, where you live, and the policies of your insurance.
The best strategy to lower your insurance costs after receiving a ticket is to compare insurance rates and, if your insurer permits it, enroll in a driver education course. If not, your prices will eventually go back to normal.
GEICO has the lowest average rate increase following a ticket. At 34%, it was still lower than all other auto insurers.
There are additional factors that contribute to an increase in insurance rates besides auto accidents and traffic violations. A change in address and a new vehicle can increase car insurance.
Vermont has the cheapest average rate of a little over $1,200 after a speeding ticket.
How much will my insurance go up after a speeding ticket? Perhaps, you’ve asked yourself this question after getting a ticket. You don’t have to worry about the rate increase as they will not implement it until you renew your policy.
Before then, you can take some steps to eliminate or reduce the rate increase. You can also seek counsel from a financial consulting firm for the best line of action.
Remember that this is for educational purposes and do we do not have an affiliation with the said firm.
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