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How a DUI affects your insurance rates

How a DUI affects your insurance rates

A DUI can be a devastating strike on your record for more reasons than one. From expensive bail and tickets to potential driving bans, this most serious of crimes is handled with equally serious repercussions.

Many Fort Wayne, Indiana residents seem to overlook another very serious consequence of driving under the influence: hiked insurance rates. Not only does this make coverage harder to secure, for those who can’t afford it, it makes returning to driving a near impossibility. We believe no one should be blindsided by the changes a charge such as a DUI can bring to your insurance rates. Read on for some answers to a few popular questions drivers will ask when facing boosts in their insurance rates because of a DUI.

How Much Will A DUI Cost Me?

There’s no excuse for driving under the influence. With that in mind, seeing insurance costs rise by $5,000 or more while the DUI is on your driving record isn’t entirely uncommon. While this alone may be enough to cause you to swear off the pre-drive drinks, this cost is only the beginning! Bail for being arrested under the influence will easily put you out a few hundred dollars while towing and impound fees are sure to play their part as well. Couple that with the likelihood that you’ll need to find a DUI lawyer and it quickly becomes apparent just how devastating a DUI charge can be on your wallet!

How Long Will DUI Rates Last?

So how long can you expect to be left with these new insurance rates? It depends on the insurance carrier.  Typically, changes such as these can last a minimum of 5 years. Regardless, the infraction itself will stay on your permanent record indefinitely, which can impact your chances of ever working with a different insurance company should you decide to switch, especially if you’ve had multiple DUIs.

Why Do Rates Rise So High?

There are two primary reasons why insurance companies will raise your rates when you are pulled over for a DUI. Firstly, companies will begin to see you as a riskier driver to insure. Afterall, an ideal client for an insurance agency is one that will not need to claim, which saves the company money. Conversely, if a reckless driver, such as one with a DUI, seeks insurance, they are expected to pay more since they can prospectively cost their insurance provider more.

Secondly, DUI drivers will end up paying more simply because fewer standard companies will be willing to provide them the insurance they need. As we mentioned, risky drivers cost insurance agencies money. While many will simply raise a risky driver’s rates to compensate, others may flat out refuse to help entirely!

Conclusion

Driving while under the influence of any kind of harmful substance is never a good idea. If there’s anything these answers reveal, it’s that being charged with a DUI isn’t only a risk to your safety, it’s a risk to your finances!  And the hit to your wallet is the least of your worries if you cause bodily injury to another person. While we at Myers & Hayden prefer Fort Wayne drivers that have the better driving record, we may be able to offer coverage for drivers who have had past infractions.  Please give us at call at 260-486-5255.