Speeding tickets, parking tickets and insurance costs
If you've had a recent speeding or parking ticket, you may be wondering how and if it will impact your car insurance rate.
Can a speeding ticket affect my car insurance rates?
Your driving record plays a big role in your insurance premiums. So in most cases, yes, getting a speeding ticket will likely increase what you pay for car insurance.
Is a speeding ticket considered a moving violation?
Yes. A moving violation refers to an offense that takes place when a vehicle is in motion. Therefore speeding is a moving violation and can result in a ticket.
How does an insurance company check my driving history?
Insurance companies will run your motor vehicle report (MVR) to review your driving record.
Your MVR is a summary of accidents and traffic violations attached to your driver's license. Companies look for things like moving violations such as speeding tickets.
Most insurance companies review your driving details for the past 3 to 5 years. However, rules vary by state. For example, some states allow serious violations, like driving under the influence (DUI), to stay on your record for longer.
Why do insurance rates go up after a speeding or parking ticket?
It stands to reason that someone with a clean driving record will pay less for their car insurance compared with someone who has one or multiple speeding or parking tickets.
Simply put, insurance companies take on more risk when they insure people who have moving violations. To help cover this risk, insurance companies may charge more due to the potential of a future claim.
In some cases, an insurance company may not offer any coverage to someone with a particular violation or multiple violations on their MVR.
How much will my insurance rates go up after a speeding ticket?
On average, car insurance typically goes up about 25% after a speeding ticket.1
For example, let's say you pay $2,000 a year for “full coverage” with a clean driving record. Next thing you know, you get a speeding ticket. Now when your policy renews, you could be looking at an extra $500 or more per year.
However, there are several factors that go into how much your auto insurance increases after getting a speeding ticket. This can include the state you live in and the insurance company.
Other liability factors that most insurance companies will take into consideration include:
- How many miles per hour over the speed limit you were driving when the ticket was issued. For example, driving 2 to 5 miles over the speed limit isn't as bad as driving 10 or more miles over the posted limit.
- If this was your first speeding ticket. Some insurance companies won't raise your rates for your first offense. However, in general, most insurers will raise rates for people with multiple tickets.
- The amount of time since your last speeding ticket. Multiple violations over a short period of time can be a red flag to an insurance company. This could signal there may be a pattern of speeding that could increase the insurer's liability.
- The location of where the speeding occurred. No speeding ticket is great, but some places aren't considered as bad. For example, a speeding ticket on a rural country road isn't typically as bad as getting a speeding ticket in a residential area or school zone.
How long will a speeding ticket, parking ticket, or other minor violation stay on my record (MVR)?
Most states assign speeding tickets or other minor moving violations a certain number of points based on the offense.
For example, speeding in a school zone will be more points compared to being ticketed for a broken tail light or parking in a loading zone. The number of points assigned to a violation will depend on the state you live in.
In most states, violation points will generally remain on your MVR for 2 to 3 years from the date you're ticketed.2
However, more serious violations, such as DUI offense, can remain on your MVR for longer. This differs by state and the insurance company's way of assessing risks and assigning points to specific moving violations.
What can I do to lower my insurance after a ticket?
As you can see, speeding and parking tickets contribute to how much you'll pay for your auto insurance. The good news is there are a number of things you can do to help lower your auto insurance premiums!
It can also pay to shop around for a new insurance policy. Please note, a very recent ticket may not show up on your MVR right away and may not factor into your new car insurance quote. This could lead to a surprise rate increase when your policy renews so make sure your new insurance company is aware.
Get a car insurance quote from Liberty Mutual to see how much you could save when you only pay for what you need.