Do points make a difference to insurance?

In this blog post, we take a deep dive into how points affect insurance rates and what drivers should consider doing in the wake of receiving them. Read on to find out more!

What are points and why do they matter when it comes to insurance premiums?

Points on your license are penalties imposed for violating traffic laws. Every time you break a law while driving, you accumulate points on your license. The number of points you get depends on the severity of the offense committed. These points are then used by insurance companies to determine your risk factor as a driver, which may result in an increase in your insurance premiums. 

Simply put, having more points on your license means you’re considered a riskier driver, and therefore, you’ll likely have to pay more for insurance. It’s essential always to obey traffic laws to avoid the accumulation of points on your license, which can cost you much more than just a ticket.

How many points accumulate over time?

Having points on your driver’s license is something that most people want to avoid, as it can have serious consequences. But how many points accumulate over time? Well, the answer varies based on your state and the type of violation you commit.

Points typically stay on your record for a certain period, usually three to five years. However, it’s important to note that even one point can lead to an increase in your insurance rates, and multiple points may result in the suspension or revocation of your license. Therefore, it’s essential to follow traffic laws and drive safely to maintain a clean driving record.

How do points affect your insurance premium rate?

When it comes to your car insurance premium rate, points on your license can have a significant impact. These points serve as a reflection of your driving record and can indicate to insurance companies that you may be a higher-risk customer. Each time you receive a traffic violation or are involved in an at-fault accident, points may be added to your license.

The more points you accumulate, the higher your insurance premium rate will likely be. While it’s not always possible to avoid getting points on your license, being a safe and responsible driver can minimize your risk and potentially save you money on your insurance premiums.

Strategies for reducing your point score and lowering your premium payments

Getting points on your driver’s license can be frustrating, not to mention expensive. Not only can it lead to higher insurance premiums, but it can also put your driving privileges in jeopardy. Fortunately, there are strategies you can use to reduce your point score and lower your premium payments. One of the most effective is taking a defensive driving course. These courses can be taken in person or online and generally last 4-6 hours.

Not only can they help you improve your driving skills and avoid future accidents, but they can also earn you a point reduction on your license and a discount on your insurance premiums. Other strategies include obeying traffic laws, avoiding distractions while driving, and being proactive about addressing any vision or medical issues that may affect your driving abilities. By taking these steps, you can keep your license in good standing and save yourself some money in the process.

What other factors come into play when assessing your insurance premium rate

While points on your license can undoubtedly have a significant impact on your insurance rates, they are not the only factor that insurance companies consider when determining premiums. Other factors such as age, driving experience, type of car, and location also play a role in how much you pay for insurance.

For example, younger drivers or those with less experience may be considered riskier and, therefore, may have higher insurance rates. Likewise, living in an area with high rates of accidents or car theft may also result in a higher premium. It’s essential to understand all the factors that contribute to your insurance rate and take necessary steps to mitigate them, such as maintaining a clean driving record and choosing a safe and practical vehicle.

Reduce your points with NWDS’s Traffic School

It’s essential to educate yourself on points and their potential impact on your insurance premiums. Knowing how points accumulate over time can help you take proactive measures to reduce your point score. Factors like age, driving record, where you live, credit score, and type of car all come into play when determining your insurance premium rate as well.

Additionally, staying up-to-date with the laws in the state you reside in is an important part of keeping track of your points and being able to make changes proactively if needed. Make sure to consistently reassess your policy to make sure you’re getting the best rates for coverage that meets your needs.

If you are looking for a traffic school course to help reduce points on your driver’s license, Northwest Driving School offers effective Traffic School courses that will provide individuals with the knowledge and skills necessary for safe and responsible driving. Contact us today to book your place in traffic school and learn how easy it is to get started on reducing those driving point totals.