Evading High Risk Auto Insurance


Apart from teen drivers getting expensive insurance policies, there are variables that auto insurance companies use to determine if you are a high-risk driver or not. Be thankful if you are not considered as one, because you can continue to enjoy greater benefits and reduced prices. For the few unlucky souls, appropriate actions must be taken, or at the very least, be very cautious.

High-risk drivers end up paying expensive insurance rates, as majority of today’s insurers won’t allow you to drive with minimum liability coverage only. The level of risk is too high, so you are considered as a drain to their bottom line once you start collecting insurance claims.

To compensate the potential losses, they will make you pay ridiculously high priced-policies. You can do less in this situation since driving without an insurance coverage will only breed more problems for you.

Still unsure how you ended up into this situation? Well, there’s no magic or karma behind it. Insurance companies rely on many variables to come up with your rates. Interestingly, few of these variables reflect your attitude while on the road. To clear your head why this is happening in the first place, continue reading.

First, insurance companies will assess your location. If you live in the countryside, you will definitely get that edge of grabbing affordable rates than your urban counterparts. Statistics show that people living in busy cities are more prone to accidents, probably due to the number of vehicles in closely packed streets, unhealthy lifestyle, bad driving habits, etc.

On top of that, gender also takes its part. Generally, women are considered as safe drivers. They are passive drivers and don’t do silly stunts while driving.  Men, on the other hand, are the opposite, hence, the higher rates.

Aside from demographics, financial status and credit standing are accounted for in the computation of rates.   People who can manage their finances well to the point that they live comfortably with their debts, are regarded as responsible drivers as well. Although the penalty for delayed payments is high interest, which in turn advantageous to the credit company, it is usually detrimental to the person’s credit rating. If you keep delaying your payments, your credit rating will suffer very soon. If not corrected, it could set a negative chain reaction to your future transactions.

Traffic violations and speeding tickets will all be recorded to your driving history. This is yet another reason why people become high-risk drivers. They think that tickets are just tickets and end as soon as they left the arresting officers. On the contrary, this will make a permanent dent to your reputation as a driver. When insurance companies evaluate your driving history, these dents become an absolute eyesore, hence, the rates. Always practice good driving behavior and stay away from accidents at all times.


Just because you are a high-risk driver, doesn’t mean that you are going to stay there forever. Amend your driving behavior, improve your credit score and shop for insurance quotes are just few of the many things you can do to keep the rates manageable while being sufficiently covered.