Driving a vehicle is common for people with many occupations. Depending on the type of work you perform, you may need to get a commercial auto insurance plan. While this is the standard for all motorists who must drive for work, those who are perceived as a higher insurance risk may find it harder to get coverage and then pay even higher premiums . There is a lot to understand about commercial auto insurance for high risk drivers.
What classifies you as a high-risk driver?
The term “high risk driver” can be somewhat vague and difficult to define. However, when it comes to commercial auto insurance, there are different characteristics that an insurance company would perceive as more risky. Generally, those with a bad driving record will be considered a higher risk. If you have a history of traffic violations, have been cited for driving while intoxicated, or have been involved in a number of car accidents, you will be considered a higher risk driver. Other factors that can affect your perceived risk include the type of vehicle you drive, how many miles you intend to drive each year, and your location.
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Who is considered the riskiest of all?
Although insurance companies will categorize drivers based on a variety of factors, lack of experience is often considered the most significant risk of all. Teenagers and young adults behind the wheel will not have the same experience as someone who has been driving for decades. They also tend to be more reckless with their driving actions. If you are a younger driver and have a history of driving offences, you may be at the highest risk
What happens if I am considered a high-risk driver?
If you are considered a high-risk driver, insurance companies will take extra precautions when it comes to providing insurance coverage. In some situations, an insurance company may deny coverage entirely. However, in others, they may try to offset and compensate for higher insurance risks by charging higher premiums, offering reduced levels of coverage, or requiring you to pay a higher deductible.
Even if you are considered a high-risk driver, there are still many companies that would be willing to offer you a quality policy. Some of the best companies to work with when looking for commercial auto insurance for high risk drivers are as follows:
The most affordable commercial auto insurance providers for those who are considered high risk drivers
Progressive insurance continues to be a top option for high-risk commercial drivers. They offer policies that are tailored to meet the needs of commercial drivers and have different plans based on your situation. They are known for being flexible in their underwriting to help you craft a quality plan that fits your needs.
Next Insurance is one of the newest and youngest insurance providers as they were not established until 2015. However, they have developed a niche in the field and have a reputation for offering creative insurance solutions for small businesses. This includes helping businesses and independent contractors get quality commercial auto plans, even if they are considered higher risk.
This company is one of the top car insurance providers in the country and they have a division that specializes in providing plans to commercial drivers. This includes offering specific commercial plans for cars used by ride-sharing services, limousines and other services that are designed to help transport people.
AllState continues to be a leading provider of a variety of consumer and commercial insurance products. They offer different commercial car insurance plan options for higher risk drivers that could be used by someone to get into a quality policy. The company’s size and reputation are an advantage, but they may not be as competitive when it comes to price in some situations.
The State Farm team is known for offering many types of commercial insurance plans. Their commercial vehicle policies are available for a variety of work functions including transportation, delivery and logistics. They are familiar with the risk that commercial vehicle owners face and can provide the necessary support to ensure that you get the ideal policy to meet your needs.
Car owners insurance
Although this company may not be as recognizable as others, Auto-Owners Insurance is a great commercial auto insurance provider. The company has a very high AM Best rating, which will reassure you that they have the financial resources to handle claims. They also have a low complaint rating, which is a testament to good customer service.
Old Republic Insurance Company has a solid AM Best rating and a reputation for superior customer support. They will offer various solutions that you can take advantage of to properly insure your commercial vehicles. This includes plans for truck operators and ride-sharing contractors.
The Biberk team has been providing advertising for over 75 years. They are a leading provider of commercial auto insurance for high-risk drivers. BiBerk has a strong reputation for service and reliability and can offer flexible auto insurance policies in markets across the country.
In the whole country
Nationwide Insurance Company is a popular provider of all auto insurance plans. This includes commercial plans designed for high-risk drivers. They will help you build an ideal plan based on your type of business and coverage needs. They are a great company with a reliable customer service team.
Commercial insurance rates for high-risk drivers by state
The price you pay for commercial auto insurance if you are a high-risk driver will vary depending on your state and location. The price in each state varies based on different risks, including higher rates of accidents, theft and state regulations. Typical high risk car insurance rates for drivers in some target countries are as follows:
|California||in Californiahigh risk commercial auto insurance can cost up to 1800 dollars per year.|
|Texas||Texas commercial auto rates for high risk drivers can range up to 2500 dollars per year.|
|Florida||Florida drivers can expect to spend more on commercial vehicles with rates ranging up to 3000 dollars per year.|
|new York||new York high-risk drivers will spend between $2,500 and $3,500 per year for commercial auto coverage.|
|Illinois||Illinois has an average price for commercial auto insurance for high risk drivers of 2000 dollars.|
|Kentucky||Average commercial price of car insurance for high risk drivers in Kentucky is around 1800 dollars.|
|Minnesota||Minnesota has an average price for commercial auto insurance for high risk drivers of 1900 dollars.|
|Georgia||Georgia drivers will spend about $2,000 a year on commercial auto coverage if they are considered high-risk.|
What can I do to lower my commercial auto insurance costs?
If you’re a high-risk driver, you can quickly find that the cost of coverage adds up quickly. Fortunately, there are ways you can reduce your overall costs.
One of the most important tips to follow when looking for any type of insurance plan is to shop around. Like any other type of insurance, there are many companies willing to offer high risk commercial auto insurance. Since no two companies have the same underwriting process, you may get a lower rate from one company than another. You can always get quotes from multiple companies and compare rates to get the best possible deal.
Assess insurance needs
It would also be a good idea to carefully evaluate your insurance needs. No two commercial drivers have the same needs when it comes to coverage. While shopping for coverage, you should consider the type of coverage, insurance limits, your deductible, and other factors. By reducing your coverage or accepting a higher deductible, it can reduce the risk to the insurance provider, which will result in lower premiums.
Check often for coverage
Going for a period of time without accidents or incidents will improve your driving record from the insurance company’s point of view. Generally, insurance policies last for 6 months, but can be canceled at any time by the insured. By checking rates every few months, you may find you’re less of a risk and could qualify for standard commercial car plans that come with lower rates.
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