The last drink at happy hour can cost more than you ever imagined if you end up with a dui. Driving under the influence is a serious crime, and the financial repercussions can follow you for years.
There are legal and insurance consequences to face after a DUI conviction. The penalties the court can impose vary widely by state, but generally include fines, license suspension, and/or jail time.
Your auto insurance company will take notice, too, and you’ll typically see an increase in your insurance rates at renewal. According to Forbes Advisor analysis, the national average auto insurance rate increase for DUI drivers is 74%. That extra-large rate increase translates to an extra $1,470 a year for car insurance. by comparison, the average rate increase after a speeding ticket is only 21% and the rate increase after an accident is 41%.
how does a dui affect car insurance?
driving under the influence (dui), driving while intoxicated (dwi), and operating under the influence (oui) may mean something different or may be used interchangeably, depending on state law. but what auto insurance companies see with any of these is that you are a high-risk driver.
Driving under the influence of drugs or alcohol affects judgment, coordination, and reaction times. Without having your skills behind the wheel, you’re more likely to get into an accident, and that makes auto insurance companies nervous about potential claim payouts.
The result is much higher rates than you were paying with a clean driving record.
Reviewing the average annual rate increase for all 50 states, we found that Florida drivers have the smallest average increase of 33% after a DUI conviction. Meanwhile, another East Coast state, North Carolina, has the highest average rate increase of 314%, which is actually lower than the state’s recommended increase of 340% under its incentive plan for safe drivers .
average car insurance rate increases by state after dui
how long will a dui affect my car insurance rates?
Insurance companies review your driving record before renewal time and when you apply for a policy. it’s an immediate red flag if the auto insurance company detects a dui, dwi, or oui.
Because a dui is a major violation from the insurance companies’ point of view, they can impose a high surcharge (rate increase) on you and keep your rates high for typically three to five years .
How long your rates will stay high depends on a few variables. The first is how long a dui stays on your driving record, because having the dui on your motor vehicle record (mvr) triggers the surcharge.
next is how long state insurance laws allow a dui to raise rates. For example, in North Carolina, insurance companies can go back three years, but Massachusetts allows five years.
but a dui could affect your rates for longer than the surcharge period. for example, in california, the dui surcharge may go away, but you’re not eligible for the 20% good driver discount for up to 10 years after a dui.
how can i lower my auto insurance rates after a dui?
here are ways to find lower rates, even with a dui on your record:
- Ask about discounts. You may have missed out on a nice driver discount, but you can still shop for discount auto insurance by paying in full, insuring multiple vehicles, or combining policies. car and home. don’t be afraid to ask your insurance agent what discounts you’re eligible for to get the best rate possible.
- Prove that you are a safe driver. One way to regain the trust of insurance companies is to show that it is a one-time incident and keep your record clean of traffic violations, especially other DUI’s. . that will take time, but will result in you moving back to a lower risk level. You can also try usage-based insurance. it will monitor your driving behavior such as speeding and braking and if you get a good score you can receive decent discounts.
- Check it out. Shopping with multiple insurance companies to compare auto insurance quotes is your best bet for saving money. After your current carrier raises your rates due to DUI, compare that premium to others to find the cheapest rates.
These tips can be used continuously. you can ask at each renewal about additional discounts you may qualify for and consider usage-based programs if you haven’t tried one yet.
Also, it’s worth shopping around with other companies at least once a year to see if you can find better rates. Although your surcharge may last for a certain amount of time, some companies maintain a constant surcharge while others reduce it over time.
For example, some car insurance providers will maintain a constant premium of, say, 45% each year for five years, while others may start at 45% but drop to 30% by the third year and continue to reduce the premium. surcharge. until he’s gone by the fifth year.
car insurance rate increases by company after a dui
We reviewed DUI insurance premiums among 10 major auto insurance companies and found rate increases ranged from 28% with Progressive to 156% with Geico.
It’s critical to consider the total premium you’ll pay, not just the premium. For example, State Farm has a 38% increase after a DUI, but the cheapest overall rate is $1,942. It’s nearly $400 cheaper than Progressive, which had the lowest percentage increase, and $1,440 less than Allstate, which had the most expensive DUI premium.
what is an sr-22?
If you are convicted of driving under the influence of alcohol, the court or state may require you to obtain sr-22 insurance. An SR-22 is not an insurance policy, but rather a document provided by insurance companies to verify that a driver has certain current auto insurance coverage.
States may require this after a serious driving violation, such as a DUI, because they consider you to be a high-risk driver and want proof that you have the minimum required auto insurance coverages. If you cancel coverage for any reason, the insurance company will notify the state and you will face penalties, including license suspension.
In Virginia and Florida, if you have a DUI, you must obtain an FR-44, which is essentially the same as an SR-22 but requires higher car insurance limits.
With either the SR-22 or FR-44, you’ll pay a filing fee of about $20 to your auto insurance company. If your insurer doesn’t offer this service, you’ll need to find one that does, and at a relatively good rate, and then change your insurance provider.
can insurance rates go up if you didn’t cause an accident but had a dui?
Even if you didn’t cause an accident while driving under the influence, you’ll see a rate increase once the dui shows up on your motor vehicle record and you renew your policy or purchase a new one.
The insurance company is basically taking into account the possibility that you will drive while intoxicated again and have to pay a claim.
the national highway safety and transportation administration (nhtsa) reports that drivers with blood alcohol concentrations (bac) of 0.08% (the legal limit in all states except utah, where it is of 0.05%) or more are about four times more likely to be in an accident than drivers with a bac of zero. if a driver’s bac is 0.15% or higher, the nhtsa found they are about 12 times more likely to be in an accident.
Statistics like this send a message to auto insurance companies that intoxicated or intoxicated drivers pose a huge risk when behind the wheel. As a result, you’ll end up paying much higher rates (on average 74% higher) over the next three to five years.