Does a speeding ticket affect insurance? What about a ticket for failing to obey a stop sign or for careless driving? In almost every case, the answer is yes, and that can lead to tickets being significantly more costly than the fine you have to pay if you plead guilty. Even if your insurance premiums don’t go up immediately, they’ll increase when it’s time to renew your policy.
The impact on insurance premiums is a big part of the reason why it’s always smart to fight traffic tickets whenever you receive them. It’s not just about avoiding a fine; it’s about keeping down monthly insurance costs that you’ll need to pay for years.
Key Takeaways
- Even convictions for minor violations can result in a 25% increase in insurance premiums.
- Insurance premiums will often rise after a conviction when it comes time to renew your policy.
- Fighting traffic tickets is the best way to avoid convictions that go on your driving record and increase your insurance premiums.
Why Do Traffic Tickets Affect Insurance Premiums?
When you plead guilty or are convicted after receiving a traffic ticket, you receive demerit points that stay on your driving record for up to two years. When your record isn’t clean, it shows insurance companies that you’re at greater risk of an accident, and they respond by increasing the premiums you pay every month.
Different tickets will lead to different premium increases, and it’s worth remembering that if you get a ticket from a speed or red-light camera sent to you in the mail, it will not affect your insurance because there’s no way to prove who was driving your vehicle.
When Will Insurance Premiums Rise After a Traffic Ticket?
When you’re convicted of a traffic offence with demerit points attached, those points will go on your driving record and remain there for 3, 5, or 10 years. That doesn’t mean you’ll necessarily start paying higher premiums immediately, but when will a speeding ticket increase insurance? Usually, you will start paying more when it comes time to renew your insurance.
Insurance policies are typically renewed every 6 or 12 months, at which point your file will be looked at by a representative from your insurance company, and they will examine your driving record. Any convictions for traffic tickets can trigger a rate review and a few possible outcomes:
- Higher premiums
- Non-renewal
- If your insurance is not renewed, you can shop around with other insurance companies, but they will be able to see the same convictions on your driving record
What Violations Cause the Biggest Insurance Increase?
The Alberta Motor Association explains that there are 3 different kinds of driving convictions that are considered by insurance companies when they’re setting your rates and evaluating your driving record. They’ll affect your insurance premiums differently, although you should remember that the more convictions are on your record, the more you’re likely going to need to pay.
Minor Convictions
These include speeding tickets for going 1 km/hour to 49 km/hour over the speed limit, failing to signal a turn, ignoring a stop sign, or tailgating. If you have 2 of these convictions on your driving record, you could see a 25% rate increase when you go to renew your insurance.
Major Convictions
A single major driving conviction can lead to a 25% increase in insurance premiums, while a second can result in a 50% rate increase. This can result in you paying hundreds or even thousands of dollars more in insurance premiums every year.
Major convictions include:
- Excessive speeding of 50 km/hour or more above the speed limit
- Distracted driving
- Failure to remain at the scene of an accident
- Driving without insurance
Criminal Code Convictions
The most serious offences on the road can lead to criminal charges. Unsurprisingly, getting convicted for impaired driving, dangerous driving, refusal to take a breathalyzer, and flight from a police officer can all result in an increase in your insurance premiums of up to 300% for a single conviction.
How to Avoid Traffic Tickets Affecting Your Insurance Premiums
Still wondering, “Does a speeding ticket affect insurance?” It’s important to remember one thing: A ticket alone won’t affect your insurance, but getting convicted absolutely will.
That’s significant because it means fighting speeding tickets or any other traffic ticket is always worthwhile. You may be able to get the ticket thrown out entirely, but even if that’s not the end result, you can still get the charges reduced and ideally avoid having a conviction or demerit points go on your driving record.
The effect of a speeding ticket on insurance is costly, and hiring experts like the team at We Defend gives you the best chance of getting the outcome you’re looking for. Even for minor tickets where you may not know how much a 10 km over speeding ticket affects insurance, the cost of pleading guilty and paying higher premiums will drastically outweigh the fine you’ll be accepting.
When you work with We Defend, we’ll carefully review your ticket and look for errors or inconsistencies that can result in your case being thrown out. Even if there are none, our team will help you craft a defence so you’re ready for your court date. You may also be able to get an early resolution that results in lesser charges.
Avoid Costly Hikes in Insurance Premiums
Does a speeding ticket affect insurance? Only if it results in a conviction, and working with our experienced team at We Defend gives you the best possible chance of getting your ticket dropped or the charges reduced. Keeping the ticket off your driving record is the best way to avoid insurance premium increases.
Book your free consultation today to learn how we can help.
FAQs About Speeding Tickets
How much does it cost to fight a speeding ticket?
Compared to the price of paying your fine and then spending up to 3 years paying higher insurance premiums while the convictions remain on your driving record, the cost of fighting a ticket is way less.
What should I do if I get a speeding ticket?
Collect whatever evidence you can and contact We Defend. We will walk you through the process so that you can fight your ticket.
Can insurance premiums go up because of parking tickets?
No, they can not. Insurance companies base your rates on moving violations (like speeding or careless driving), at-fault accidents, and claims history. Parking tickets are considered non-moving violations, so they don’t appear on your driving record in a way that impacts insurance. That said, unpaid parking tickets can lead to registration issues, but they won’t raise your insurance rates.
How much does a 10 km over speeding ticket affect insurance?
A 10 km/h over ticket is considered a minor conviction in Alberta. On its own, it may lead to roughly a 5 to 15% increase at renewal, depending on:
• Your insurer
• Your overall driving record
• Whether you already have prior tickets
• How recently the ticket occurred
Some insurers offer a “first minor conviction forgiveness”, meaning your first small ticket may not affect your premium at all. However, multiple minor convictions within 3 years can cause much larger increases.