Auto insurance companies in Texas measure risk in many ways, and then charge you accordingly. If you are looking to buy Texas auto insurance, then you should know what makes you a high-risk driver so that you can make changes where necessary because they will actually make insurance companies charge you more than if you were not a high-risk driver.
You should understand that your risk is one of the major factors that determine which auto insurance companies are willing to insure you. Even in the same town, county, or city, you will probably not find two insurance companies with the same guidelines, or the ones that will charge you the same price. So, the best thing to do is to shop around even if you are a high-risk driver, and compare auto insurance quotes from the best Texas insurance companies so that you know you are actually getting the best possible rate.
If you fall into the following categories, then insurance companies in Texas will definitely deem consider you as a high-risk driver.
Having a bad credit
Poor credit or lapse in your insurance coverage definitely makes you a high-risk driver. Drivers with bad credit-based insurance scores typically have tendencies of filling more and claims. For this reason, auto insurance companies will charge you higher. This simply means that you will not be able to buy the same auto insurance policies at the same rates as those drivers who fall into the preferred and standard category.
If you have black marks on your record
Of course, everyone is liable to do a mistake. For this reason, a miner fender bender or just a single ticket will not make you a high-risk driver. However, a serious infraction or multiple tickets will definitely make you high-risk. Again, multiple at-fault claims will also make you a high-risk. Many people think that an SR-22 requirement makes you a high-risk. However, the truth is that the infraction that has caused an SR-22 requirement is what makes you a high-risk driver. Therefore, you will need SR-22 insurance.
Lack of experience
In the business of Texas auto insurance, having no or very few years of experience might make you a high-risk driver. Precisely, many insurance companies will consider you a high-risk if you have been driving for less than eight or ten years. Typically, many auto insurance companies in Texas tend will levy an inexperience surcharge that is actually greater for drivers who have just acquired license. With time, the surcharge shrinks precisely with each passing year.
If you are a teenager
If you are a young driver, insurance companies will definitely deem you as a high-risk. In Texas and many other states, car insurance for teens remains the highest among drivers for the obvious reason that they have by far the most accidents. Texas auto insurance buts age groups differently, and young drivers usually pay higher rates than old, experienced drivers do. So, if you are a teenager, you can be sure that insurance companies in Texas will definitely dump you into the most expensive car insurance rate.
Having no insurance
If you have a driving license and you are not insured at the time you are looking to buy Texas auto insurance policy, the insurance companies will assume that you have been driving uninsured and therefore, you are riskier. So, you will have to purchase auto insurance policies at higher rates.
Generally, if you have no or few violations, impressive credit, minimal claims and a good, continuous insurance history, you can be sure that you will get better rates because insurance companies believe that you pose less risk. On the same note, you will fall under the category of preferred drivers if you are older, married, and own a home, and therefore you will pay less.