How Does a DUI Affect Your Car Insurance Rates?

Let’s be honest: DUI (driving under the influence) convictions are stressful – not only emotionally and legally but also financially. From fines and administrative fees to higher car insurance premiums, the case can be heavy on your pocket. Insurance companies in California view DUI convictions as serious traffic violations. Therefore, the policies they offer get much more costly.

If you’ve been convicted of a DUI, it’s important to understand how your insurance rates will be affected and what you can do to mitigate the financial damage. The increase in insurance costs is not just a temporary issue—it can have long-term implications, affecting your ability to secure affordable coverage for years to come.

Here’s a full breakdown to help you understand the potential impact and manage the resulting changes effectively.

How does a DUI affect your insurance rate?

After getting convicted of a DUI or DWI (driving while intoxicated), you’ll likely see immediate and dramatic increases in your auto insurance costs. Statistically, DUI offenders file more claims. That is why insurance providers assign them higher risk.

After a DUI conviction, it’s common to experience premiums that are double or even triple what you paid previously. Insurance carriers adjust your rates to compensate for the increased risk you represent.

In some cases, standard insurers may refuse to insure DUI offenders altogether. This means you may be forced into the high-risk insurance market, where companies offer fewer coverage options and substantially higher premiums. These policies can also include additional requirements, such as SR-22 insurance, which is required by the state to prove financial responsibility.

How a DUI Affects Your Driving Record and Insurance Rates

In California, a DUI may add points to your driving history, signaling to insurers that you’re now a risky policyholder. Typically, a DUI conviction results in two points added to your driving record. Accumulating too many points can also result in a suspension or revocation of your driver’s license.

Insurance companies regularly review driving records, so a DUI will significantly impact your auto insurance rates. Insurers typically consider the presence of a DUI on your record as proof of heightened risk. Even a first-time DUI offense can result in steep increases in premiums, so you must understand and manage the aftermath properly.

Additionally, repeat DUI offenders face even stricter scrutiny, making it even harder to secure affordable insurance coverage. Insurers may limit policy options, increase deductibles, or exclude coverage for certain damages.

How long does a DUI stay on your driving record?

A DUI conviction remains visible on your California driving history for 10 years from the date of the offense. Throughout this period, your DUI is considered a “prior offense”. This, in turn, influences how any subsequent DUI charges are handled and penalized.

The duration of a DUI impacts your car insurance; however, it can vary. Most providers heavily weigh DUIs within the first three to five years. During this time, they charge significantly higher premiums during this period. Afterward, rates might slowly decrease if you maintain a clean driving record and avoid further multiple DUI offenses.

Long-Term Effects on Car Insurance

The impact of a DUI conviction isn’t limited to short-term insurance premium hikes. The consequences extend into the long term through several factors:

• SR-22 Requirement: California DMC (Department of Motor Vehicles) typically requires DUI offenders to file an SR-22 form. In a nutshell, it proves they carry state-mandated auto insurance coverage. SR-22 insurance generally costs more due to the administrative burden, raising the premiums.
• Classification as High-Risk Driver: Many insurers will label you high-risk indefinitely. Even after the DUI no longer counts as a “prior,” your rates may remain higher than those of drivers with clean records.
• Limited Insurance Choices: Standard car insurance companies might sometimes decline coverage, forcing you to seek specialized insurers. They usually charge significantly higher premiums and may have less favorable terms.

Potential for Insurance Cancellation or Non-Renewal

Some insurance providers opt to either cancel your policy immediately after a DUI conviction or refuse to renew your policy at the end of its term. Cancellation or non-renewal significantly complicates your ability to secure insurance in the future.

DUI-caused car insurance cancellations become part of your driving record. This makes them visible to all prospective insurers. As a result, you may find fewer companies willing to insure you, and those that do will offer coverage at substantially higher prices.

Steps to Manage Auto Insurance Costs After a DUI

A DUI conviction doesn’t mean you’re powerless to manage insurance expenses. There are actionable steps to help mitigate financial consequences:

• Shop Around and Compare Rates: Rates vary significantly between insurers. Compare quotes from multiple insurance providers to identify the best possible rate despite your DUI.
• Consider High-Risk Insurers: Specialized insurance companies often provide more flexibility and better coverage options. While their policies are typically more expensive, they may offer an option, suitable for your case.
• Maintain Continuous Coverage: Gaps in your insurance coverage indicate additional risk to insurers. This can potentially raise your premiums further and complicate getting a new one. Continuous coverage demonstrates responsibility, helping to reduce your perceived risk over time.
• Improve Your Driving Record: Take approved defensive driving courses or DUI education programs. This signals a commitment to responsible driving, potentially earning premium discounts. In the long run, this can help secure better rates in the future.
• Seek Applicable Discounts: Instal safety features in your vehicle or bundle multiple insurance policies. This may offset some additional costs associated with increased premiums after your DUI.

Is a DUI a felony in California?

Typically, a DUI is charged as a misdemeanor in California. However, circumstances such as causing severe injury or death or having multiple DUI offenses can elevate your DUI charge to a felony. Specifically, if you already got a DUI streak of 3 on your criminal record within a ten-year period, a fourth DUI offense is automatically prosecuted as a felony. Understanding the gravity of your charge is crucial, as felony convictions carry harsher legal and insurance consequences.

Additionally, repeat DUI offenders face stricter scrutiny, longer penalties, and significantly higher insurance premiums, emphasizing the importance of obtaining skilled legal counsel.

Seeking Legal Assistance

We know that facing the challenges of a DUI conviction can be overwhelming. However, you don’t have to deal with these difficulties alone. The best way to minimize legal penalties and insurance consequences is to consult a qualified DUI attorney as soon as possible after the arrest. Besides helping you in court, it is the best way to ensure the best insurance policy you can.

At My Rights Law, we provide experienced and compassionate legal support and representation tailored to your DUI situation. We’ll help you understand your options, secure reduced charges, and even pursue expungement. Our experienced lawyers will guide you through the whole process – from interacting with insurance companies to protecting your rights in the courtroom.

Take control by getting professional support. Don’t allow your DUI conviction to affect your insurance rates and overall quality of life! Don’t let a DUI derail your future. Call us today at (888) 702-8845. My Rights Law will help you find the best path forward.