How Auto Insurance Companies Check Driving Records (2024)
Knowing how auto insurance companies check driving records can help drivers save money. Most companies look back five years when setting insurance rates. One accident can increase auto insurance rates by an average of $80 per month, while one speeding ticket can raise your rates by $45 per month.
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Daniel Walker
Licensed Auto Insurance Agent
Daniel Walker graduated with a BS in Administrative Management in 2005 and has run his family’s insurance agency, FCI Agency, for over 15 years (BBB A+). He is licensed as an insurance agent to write property and casualty insurance, including home, life, auto, umbrella, and dwelling fire insurance. He’s also been featured on sites like Reviews.com and Safeco. To ensure our content is accura...
Licensed Auto Insurance Agent
UPDATED: Sep 28, 2023
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Advertiser Disclosure: We strive to help you make confident auto insurance decisions. Comparison shopping should be easy. We are not affiliated with any one auto insurance provider and cannot guarantee quotes from any single provider. Our partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different companies please enter your ZIP code on this page to use the free quote tool. The more quotes you compare, the more chances to save.
Editorial Guidelines: We are a free online resource for anyone interested in learning more about auto insurance. Our goal is to be an objective, third-party resource for everything auto insurance related. We update our site regularly, and all content is reviewed by auto insurance experts.
UPDATED: Sep 28, 2023
It’s all about you. We want to help you make the right coverage choices.
Advertiser Disclosure: We strive to help you make confident auto insurance decisions. Comparison shopping should be easy. We are not affiliated with any one auto insurance provider and cannot guarantee quotes from any single provider. Our partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different companies please enter your ZIP code on this page to use the free quote tool. The more quotes you compare, the more chances to save.
On This Page
- Insurance companies check driving records when you apply for a new policy and at renewal time
- Accidents and traffic violations are some of the main red flags your insurance company will look for
- The more negative marks there are on your record, the higher your rate will be
Just as many employers perform background checks on potential employees, auto insurance companies check driving records to determine whether you are a high-risk driver. How auto insurance companies check driving records depends on your state, but most use your driver’s license number to retrieve your driving history.
If you have a history of accidents or traffic violations, an insurance company may offer you high-risk auto insurance at a more expensive rate to protect itself against the risk of insurance claims. Unfortunately, a speeding ticket can be even more costly than the fine associated with it.
You may be wondering how exactly an insurance company can get this information and how a negative driving record could affect you. First, we’ll dive deeper into driving records and what insurance companies are looking for to answer these questions.
Auto insurance companies will check your driving record, so start comparison shopping by entering your ZIP code in the free tool on this page to find auto insurance quotes from local companies
How do car insurance companies check your driving record?
Insurance companies can check your driving record because of one simple legal identifier: your driver’s license. Any time you have an accident, make an insurance claim or receive a citation for a traffic violation, your driver’s license number is associated with these events.
Just as creditors can attain information about you through your Social Security number, insurance companies can get the information they require through your driver’s license number.
What Insurance Companies Look for on Your Driving Record
Auto insurance companies look for any negative marks on your driving record that may indicate you are a high-risk driver. Insurers view accidents, excessive insurance claims, and traffic violations as the biggest red flags. If your record check turns up any combination of these factors, your insurer will likely charge you a higher rate.
Here are the rate increases that you can expect to pay after specific convictions.
Rate Increase Averages Based on Driving Convictions
| Infraction | Annual Rate Increase |
|---|---|
| Careless Driving | 16% |
| Driving Uninsured | 6% |
| Driving Without a License | 18% |
| Driving Without a Seat Belt | 3% |
| DUI | 19% |
| Failure to Stop | 14% |
| Failure to Yield | 9% |
| Improper Passing | 14% |
| Improper Turn | 14% |
| Reckless Driving | 22% |
| Speeding | 12% |
| Speeding 30+ Mph Over the Speed Limit | 15% |
These insurance surcharges affect auto insurance rates, but how much your premiums increase varies from carrier to carrier. Some convictions are considered less serious, and they come with a lesser penalty than others.
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How far back do insurance companies look at your driving record when determining rates?
Most insurance companies check your driving record over the previous three to five years for violations and accidents. How long a speeding ticket affects your auto insurance can vary.
If you have a traffic violation that’s more than five years old, don’t automatically assume that it won’t be seen. Your best bet is to ask the insurance company about their driving record check timeframe.
If you’re curious about what is on your driving record, you can obtain your record through your state’s Department of Motor Vehicles (DMV). You can even get an instant driving record on the DMV website in many states.
Let’s look at just how much your driving record will affect your auto insurance rates.
Full Coverage Auto Insurance Monthly Rates by Driving Record
| Insurance Company | Clean Record | One Accident | One Speeding Ticket | One DUI |
|---|---|---|---|---|
| Allstate | $160 | $225 | $188 | $270 |
| American Family | $117 | $176 | $136 | $194 |
| Farmers | $139 | $198 | $173 | $193 |
| Geico | $80 | $132 | $106 | $216 |
| Liberty Mutual | $174 | $234 | $212 | $313 |
| Nationwide | $115 | $161 | $137 | $237 |
| Progressive | $105 | $186 | $140 | $140 |
| State Farm | $86 | $102 | $96 | $112 |
| Travelers | $99 | $139 | $134 | $206 |
| USAA | $59 | $78 | $67 | $108 |
Just one accident can raise your auto insurance cost by an average of $80 per month, and one speeding ticket can raise your rates by $45 per month.
When can car insurance companies deny coverage?
An insurance company can choose to deny you coverage if they determine that you are too big of a risk. While this may seem unfair since most states require insurance to drive a vehicle, insurance companies are not in the business of losing money.
Aside from having too many previous claims or traffic violations, other reasons an insurance company may deny you coverage are:
- Fraudulent claims
- You own a luxury vehicle
- Providing false information on your insurance application
If the company determines, based on your driving record, that you’re a high risk for too many costly claims to be a profitable client, they can refuse to insure you. You will then have to find a cheap auto insurance company for high-risk drivers, which is certainly possible.
In most instances, an insurance company will still offer you coverage even with a negative driving record. Of course, your rates will be higher than someone with a sparkling clean record.Jeffrey Manola Licensed Insurance Agent
In the most extreme circumstances, the insurer is within its right to deny coverage entirely.
Maintain a Clean Record and Don’t Sweat Driving Record Checks
Poor driving history can cause a lot of anxiety when you know an insurance company is going to check your record. That’s why it’s important to maintain a clean driving record.
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— AutoInsurance.org (@AutoInsurance) March 21, 2023
Sometimes accidents happen through no fault of your own, and an isolated accident isn’t going to destroy your record. It’s the accumulation of multiple accidents, claims, and traffic violations that can make an impact.
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Bottom Line on How Auto Insurance Companies Check Driving Records
How auto insurance companies check driving records is the same across most states since your driver’s license number contains all the information insurers need to determine your risk. If you have accidents or speeding tickets on your record, your auto insurance rates will go up.
All hope is not lost if you already have a record with more negative marks than you’d like to admit. Most insurance companies only look back three to five years. However, you can rebuild your record by driving carefully to avoid accidents and traffic violations.
In the meantime, you can compare auto insurance quotes from various companies to see which can offer the best rate and coverage. Some are more forgiving than others regarding negative driving records, so it pays to shop around.
Frequently Asked Questions
How do insurance companies track you?
Auto insurance companies typically check driving records by accessing information from various sources, including the Department of Motor Vehicles (DMV) or similar government agencies. They use this information to assess the risk associated with insuring a particular driver. The specific methods of checking driving records may vary among insurance companies, but common practices include electronic data exchange with the DMV, requesting driving record reports, and utilizing specialized databases.
How often do car insurance companies check your driving record?
Insurance companies won’t check your driving record on a whim. Instead, they only check your driving record when necessary, primarily when you get a quote for a new insurance policy or renew your existing policy every six or 12 months.
What information is included in a driving record?
A driving record generally contains information about a driver’s traffic violations, accidents, license suspensions or revocations, and any other relevant driving-related incidents. It may also include details such as the date of the incidents, points on the driver’s license, and any restrictions or endorsements on the license.
Why do auto insurance companies want to track my driving?
Insurance companies want to know your driving habits and history to determine your risk. High-risk drivers are more likely to file claims and pay higher rates.
What do auto insurance companies do with driving data?
Car insurance companies use driver data to determine rates based on driving habits and accident and claim statistics in the area.
Can auto insurance companies access my driving record from another state?
Yes, insurance companies can access driving records from other states. They have the ability to request driving record information from the relevant DMVs or motor vehicle agencies in different states to gather a comprehensive picture of your driving history. This allows them to assess your risk profile accurately.
How long do driving records affect auto insurance rates?
The impact of driving records on auto insurance rates can vary depending on the insurance company and state regulations. Generally, violations and accidents remain on your driving record for a certain period, typically ranging from three to five years. Insurance companies may review your driving record for the past few years when calculating your premium. The more recent and severe violations or accidents you have, the more likely they will affect your rates.
Can I check my own driving record?
Yes, in most cases, you can request a copy of your driving record from the DMV or the relevant motor vehicle agency in your state. The process for obtaining a driving record may vary depending on your location, but it typically involves submitting a request form, providing identification, and paying a fee. Checking your driving record allows you to verify the information it contains and address any inaccuracies or discrepancies.
Free Auto Insurance Comparison
Enter your ZIP code below to view companies that have cheap auto insurance rates.
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Daniel Walker
Licensed Auto Insurance Agent
Daniel Walker graduated with a BS in Administrative Management in 2005 and has run his family’s insurance agency, FCI Agency, for over 15 years (BBB A+). He is licensed as an insurance agent to write property and casualty insurance, including home, life, auto, umbrella, and dwelling fire insurance. He’s also been featured on sites like Reviews.com and Safeco. To ensure our content is accura...
Licensed Auto Insurance Agent
Editorial Guidelines: We are a free online resource for anyone interested in learning more about auto insurance. Our goal is to be an objective, third-party resource for everything auto insurance related. We update our site regularly, and all content is reviewed by auto insurance experts.