In most states, the department of motor vehicles has a “point” system, which is used to track and measure your driving record. Generally, each type of infraction (moving violations, parking tickets, at-fault accidents, driving under the influence, etc.) is assigned a certain point value. When you are found guilty of one of these infractions, the appropriate number of points is added to your driving record. The more points you have, the worse your record.
Typically, an auto insurance company has the right to review the driving record of anyone who applies for an auto insurance policy from that company.
There are two purposes for this initial review:
To determine whether you meet the insurer’s standards of insurability
To evaluate your risk potential (i.e., how much your insurance will cost).
Each insurance company has its own method of evaluating applicants. So the points on your driving record may have a direct impact on the rates you pay for auto insurance. This is one of the reasons why we shop among 40 different insurance companies and programs to find the best policy for you.
There are certain times when you can be relatively sure your insurance company will be checking your record. These include:
When you initially apply for coverage
When your policy comes up for renewal
If a review of your driving record uncovers negative information, your insurance rates may increase. Insurers typically have their own “point” system to calculate the increase (if any). Then we go to work for you to find you the lowest rate even with this negative information.