How Do Insurers Determine If You’re a High-Risk Driver?


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What makes someone a high-risk driver? Many people have no idea what factors insurance companies take into account when determining rates. This article will explore the ins and outs of high-risk driving and how it affects your car insurance premiums. We will also provide some tips on how to get cheaper car insurance rates, even if you are considered a high-risk driver.

High-risk drivers are those who have been deemed high risk by insurance companies. They may be high-risk due to their age, where they live, or the type of car they drive. High-risk drivers pay higher premiums than other drivers because these factors make it more likely that an accident will occur and result in a claim being filed against them by someone else.

What makes one a high-risk driver in the eyes of an insurance company?

High-risk drivers tend to be younger and more likely to get into accidents than older people who have been driving longer without any incidents on record. Young high-risk drivers may also live in high crime areas where there is a high probability of being involved in an accident due to dangerous road conditions or other factors such as high traffic volumes at certain times of the day. People who drive high-performance cars or high-end vehicles are also considered high risk because these types of vehicles tend to be more expensive than others on the market for car insurance companies’ purposes, so they charge higher premiums based solely based on what kind you own.

These factors can make it difficult for high-risk drivers to find affordable car insurance rates, but there are some things you can do if you’re high risk. The first step is to know what your driving history looks like so that insurers consider it when setting their rates for high-risk drivers.

How Do Insurers Determine If You're a High-Risk Driver - Safety Training Driving Lesson Car Wheel
Image: Nomad Soul / Adobe Stock

It would help if you also considered whether or not high-performance cars and high-end vehicles are worth the high premiums they’ll likely come with. If you drive a high-performance car and want to save money on insurance, consider buying an older model that has less value than its newer counterparts. This can help lower your premium while still protecting yourself in case of any accidents should occur someday down the road.

It’s also worth noting that crash prevention technology like an anti-lock braking system or even newer tech can help you maybe not to opt out of the high-risk driver categorization fully. Still, at least you could possibly find some more affordable insurance rates for your vehicle. And what about self-driving vehicles? Maybe in the future, this will help even a high-risk driver to receive regular rates if the car is driving on its own.

Though that might be, not everybody feels comfortable with the thought of not being in control of their own vehicle anymore. A Ford survey has shown that only about 39% of the participants would be comfortable with being in a self-driving car. So, that might not be an option for all. What else could you do as a high-risk driver?

What else could one do for cheaper car insurance rates?

The high-risk driving information above may have given you a better understanding of car insurance rates, but what about high-risk drivers? Knowing who is considered high risk can help make sure that you’re not paying too much for car insurance. If your high-risk driving record has caused you trouble finding affordable coverage in the past, consider looking for an independent car insurance broker.

Independent brokers can help you find the best rates for high-risk drivers, as they have access to a variety of different car insurance companies and policies. This means that they can compare rates and find the right policy for your needs, even if you’re considered high risk.

It’s always important to shop around and compare rates when looking for car insurance, no matter what your driving history looks like. Be sure to ask your broker about discounts that may be available to high-risk drivers as well. You never know – you may be eligible for a discount just because you’re considered high risk.

Photo credit: All images shown (1, 2) were prepared by Nomad Soul.

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Christopher Isak
Christopher Isak
Hi there and thanks for reading my article! I'm Chris the founder of TechAcute. I write about technology news and share experiences from my life in the enterprise world. Drop by on Twitter and say 'hi' sometime. ;)
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