What information do insurance companies get about a ticket and what do they do with it?

Answer

"What information do insurance companies get about a ticket and what do they do with it?"

When you apply for auto insurance the company looks at a number of items in determining how much to charge you for the insurance. This charge is your insurance premium. A number of factors are used and not all companies will use the same rating system and that is why you always need to get at least three quotes on your auto insurance.

One of the factors and probably the most important is your Motor Vehicle Report or MVR. This is kept by the DMV in your home state and lists all of the accidents and traffic tickets that you have received subject to state law. Speeding tickets can be kept off your record by a number of ways including traffic school, a deferment and of course beating the ticket in court. Usually the company only checks the last three years and assigns insurance points depending on the number of accidents and tickets. The more points the more your insurance will cost. If you record is really bad the company may decline to even quote or your current carrier may even cancel. For example some of the low cost companies will drop coverage if you receive a reckless driving citation.

For a further discussion see the article "The True Cost of a Speeding Ticket". http://www.speedingticketcentral.com/cost-of-a-speeding-ticket.html

First answer by Lwpat. Last edit by Lwpat. Contributor trust: 159 [recommend contributor]. Question popularity: 51 [recommend question]