The former is the preferred class for insurer since drivers categorized under the category are considered safe and the possibility for them to file claims due to accidents and other reasons is low. The latter is commonly avoided by most insurance company because drivers in this category are risky to insure. Auto insurance providers avoid selling coverage to such drivers due to many reasons such as past accidents, credit score, home ownership, etc. If you happen to fall into that category, you will normally need a company that specializes on providing coverage for high risk drivers such as Rodney D’Young Insurance. Common reasons why you are considered high risk drivers are as follows:
1. Bad Credit Score
Most insurance companies determine your premium rate based on your credit score. A good score means lower premium, while bad score means expensive rate. Although you have never been involved in any road accident, there is always a possibility that you are listed under “high-risk” category because of this issue. Insurance companies use theories suggesting that credit scores are tied or correlated to the possibility of a driver missing a bill or two. As a specialist in high-risk drivers, Rodney D’Young Insurance does not use this variable in the approval procedures.
2. Traffic Tickets
A traffic ticket may not be seriously considered, but repeated speeding or DUI may cause you have difficulties in finding an insurance company to provide coverage. Repeated traffic violations suggest that you are probably a reckless driver. Most companies will not want to provide insurance for any driver with a driving history full of tickets. Fortunately, if a company specializes on providing coverage for high-risk drivers, driving history is often irrelevant. Rodney D’Young Insurance is a good example of high-risk car insurance provider to give you coverage regardless of traffic tickets.
3. Home Ownership
Most insurance companies like to think that home ownership is a good sign of financial stability. From insurance perspectives, not owning a home is a variable that put you into high-risk category. Rodney d young auto insurance does not really consider this an important factor to provide coverage for everyone.
Besides specializing on high-risk drivers, Fred Loya insurance also has basic coverage for non high-risk category. As a matter of fact, the company is run in more or less the same ways as you will normally find in other insurers in terms of discounts, minimum liability coverage, online quotes, and so on.