Auto Insurance Ratings for Higher Risk Drivers

Auto insurance ratings for drivers are determined by the amount of risk the driver is assumed to have. Higher risk drivers are priced with higher premium and deductibles. Drivers considered to be low-risk are charged considerably smaller premiums. Many drivers looking to purchase insurance do not know what factors are looked at when considering the level of risk.

Most insurance companies use a system based on insurance points to determine what level of risk each insurance applicant has. Different circumstances and past driving situations carry a different number of points depending on severity.

Points are applied to a driver’s risk level based on parking tickets, moving violations, driving while impaired or under the influence as well as accidents that were their own fault. A driver with multiple tickets whether moving or simple traffic violations will see a large jump in the cost of a monthly premium. Accidents are another instance where insurance points will jump.