Can Insurance Companies See Your Traffic Violations? How Insurers Check Driving Records

Getting a speeding ticket or being involved in an at-fault accident can negatively impact your auto insurance rates. But how exactly do insurance companies find out about these traffic violations and incidents? Can insurance companies see your tickets and accidents?

The short answer is yes. Insurance companies can and do access your driving records to view any violations accidents or claims you’ve had. This allows them to accurately assess how much of a risk you pose and calculate your insurance premiums accordingly.

How Insurers Check Your Driving History

Prior to renewing an existing policy or selling a new one insurers will check a driver’s Motor Vehicle Report (MVR) which is a report of their driving history from their state’s DMV. Any traffic violation will show up on an MVR, so an insurance company is certain to find out about it once it’s on the record.

Insurance providers use your driver’s license number to pull up your MVR and check your driving history. They typically look back 3-5 years for any incidents that could indicate high-risk driving behaviors.

Here are some of the main details insurers look for when checking your driving record:

• Speeding tickets
• Reckless driving citations
• DUIs or DWIs
• At-fault accidents
• Not stopping at a red light or stop sign
• Failure to yield right of way
• Suspended license
• Lapses in insurance coverage

In general, any moving violation that shows up on your MVR has the potential to raise your insurance rates. Insurance companies view these as predictors of future risk. Multiple violations over a short period can have an even greater impact on your premiums.

How Violations Affect Your Auto Insurance Rates

The increased risk associated with violations like speeding tickets and at-fault accidents gets passed along to you in the form of higher insurance rates.

Here are some examples of how common driving incidents can impact your car insurance costs:

• One speeding ticket can increase your rates by an average of 15%
• Multiple speeding tickets can hike rates by 30% or more
• One at-fault accident can raise rates by 50% on average
• One DUI can nearly double your premiums
• Getting pulled over for using a cell phone while driving can increase premiums by 21% on average

These rate increases can end up costing you hundreds of extra dollars per year. And if you cause an accident that leads to injuries or major vehicle damage, you could be looking at rate hikes of 100% or more.

The more serious driving offenses like DUIs and reckless driving have the largest impact on your rates. But even minor speeding tickets will cause your premiums to go up.

How Long Violations Affect Your Rates

Violations don’t just affect your rates for a year or two – they can impact your premiums for several years into the future.

Most insurers will rate for tickets and accidents for 3 to 5 years from the date they occurred. However, more serious violations like DUIs may impact your rates for 7-10 years or longer in some states.

This means you’ll be paying the surcharges for that ticket long after you’ve paid the initial fine and court costs.

The effect on your rates does tend to decrease over time if you avoid getting additional tickets. For instance, a speeding ticket may hike your rates by 15% for the first 2 years, but then drop to a 10% increase in years 3-5 before finally falling off your record.

Maintaining a clean driving record is the best way to keep your insurance rates low and avoid violations showing up in future record checks.

Strategies for Lower Rates After Violations

If your auto insurance rates have climbed due to tickets or accidents, here are some strategies that can help minimize the rate increase:

• Shop around – Compare quotes from multiple insurers to see if you can find a better rate. Some companies penalize driving violations less than others.

• Take a defensive driving course – Completing an approved defensive driving class can remove points from your license and potentially reduce your insurance rate hike.

• Increase your deductibles – Opting for higher deductibles lowers your overall premiums. Just be prepared to pay more out-of-pocket if you have a claim.

• Improve your credit – Insurers check credit when setting rates in most states. Better credit can help offset rate hikes from driving record issues.

• Ask about discounts – See if you qualify for any discounts such as multi-policy, good student, safety features, etc. to help reduce your premiums.

• Maintain a clean record – Avoid further tickets or claims for 3-5 years until the violations start to drop off your record. This will gradually improve your rates.

The Bottom Line

Insurance companies have the ability to easily check your driving record and identify any poor driving behaviors or risk factors. It’s very difficult to hide tickets, accidents, or other violations from an auto insurer.

Understanding how insurers rate driving records can help motivate you to drive more carefully and maintain a clean history. Doing so will keep your insurance rates as low as possible and save you money over the long run.

Comparing quotes periodically and utilizing available discounts also gives you the best chance at finding affordable rates if you do end up with a driving blemish. Careful driving coupled with smart shopping is the key to maximizing savings on your auto insurance.