Parking tickets are one of those violations that you don’t actually contemplate until you find one under your windshield wiper. Furthermore, parking tickets are a hassle and typically cost between $25 and $200. But, do parking tickets affect insurance?

The quick answer is that they usually don’t, but there are situations where an unpaid parking ticket can increase your car insurance rates.

Why does a parking ticket affect your insurance? Read further to learn more. Then, enter your ZIP code into our free tool to discover what auto insurance rates might look like for you.

Does a parking ticket affect your insurance?

Typically, parking tickets don’t affect your insurance. Insurance companies consider how likely you are to make an insurance claim. Therefore, the higher the risk to the company, the more you’ll pay for coverage.

Parking tickets don’t indicate how risky a driver you are. People usually receive parking tickets because they didn’t realize that they were parked in the wrong place. At worst, someone might experience an inconsiderate moment and think that undesignated parking isn’t a serious offense.

Regardless, you won’t have to file a claim for a parking ticket, even if it was issued to you erroneously. In addition, others won’t file a claim against you that your company will have to pay out. While parking tickets are annoying, your insurance company won’t even notice it.

However, a parking ticket becomes an issue if you don’t pay it. If your ticket remains unpaid, it will eventually be sent to collections which can ruin your credit score. Insurance companies review your credit score to determine your rates (except in a few states), so unpaid parking tickets can affect your rates.

What happens if you hit an illegally parked car?

Striking a parked car is a rather clear-cut case of who is at fault. However, what happens if you hit a car that is illegally parked? After all, you wouldn’t have hit the vehicle if it hadn’t been parked there.

This is an example of a situation where both drivers will be at fault. In cases like this, both drivers are typically deemed negligent. The illegally parked person shouldn’t have parked where they did, but you also should have been driving defensively.

If you find yourself in this situation, the best thing to do is speak with your insurance agent. They can assess the situation and determine if you are eligible to file a claim against the illegally parked person.

Does a parking ticket affect your driving record?

Similar to your insurance, parking tickets usually don’t affect your license. If your state uses a point system, you’ll notice that there aren’t any designations for parking tickets.

However, you’ll run into trouble if you don’t pay your tickets. The DMV can enforce consequences for unpaid tickets, such as late fees, tire boots, suspension of your license, denial of car registration, and even impoundment of your vehicle.

What should you do if you have a parking ticket?

If you ever detect that dreaded little slip of paper on your windshield, the first thing you should do is move your car. Some drivers think that they can get their money’s worth on a ticket that’s already been issued by failing to remove their car, but that might lead to more fines and steeper punishments.

Once you’re in a safe spot, examine your ticket. All the information you need should be on the slip, usually toward the bottom. The ticket will inform you of how much you owe, the date by which you owe it, and where you need to send your payment.

You don’t typically need to go to court unless you’re a repeat parking offender.

It’s best to pay your ticket as soon as possible. While it can be tempting to forget about a parking ticket, it will be much more of a hassle and cost increasingly more if you disregard it.

Call the listed officials if you think that you’ve been wrongfully issued a ticket. They’ll let you explain your case (as long as you’re respectful) and might ask you to take pictures to prove your point. You might have to appear in court to argue your case as well.

What else affects your insurance?

While parking tickets don’t affect your insurance (as long as you pay them), there are many other things you can do behind the wheel of your car that influence it. While the following list isn’t complete, you can get an idea below of various factors that affect the price of car insurance:

• Speeding. Any speeding ticket you receive can increase your rates, but you’ll see a higher increase if you are charged with criminal speeding. An average speeding ticket can raise your rates by 25%.
• Accidents. If you aren’t at fault, an accident won’t raise your rates (unless you’re very unlucky and often get hit). However, a single at-fault accident can increase your rates by as much as 51%.
• DUI. Considered one of the worst violations you can get, a DUI infraction will raise your rates by an average of 74%. You might also be dropped from your insurance.
• Running a red light. While this is usually a simple mistake, your insurance might increase by 23% if you receive a ticket.
• Driving with a suspended license. It might seem like this crime isn’t that terrible, but you should always avoid getting behind the wheel if you don’t have a license. Insurance rates rise by an average of 62% for this ticket.
• Reckless driving. Reckless driving is usually one of the main charges when people engage in road rage. This can increase your rates by 70%.
• Not wearing a seatbelt. This is the most minor offense on this list, but it can still increase your insurance rates by an average of 4%.

As you can see, there are numerous things you can do that will increase your insurance rates. It’s best to remain actively aware while you’re driving, avoid engaging in road rage, and obey all traffic laws.

If you’re concerned about your ability to drive, there are plenty of driver education courses you can take to refresh your skills. As a bonus, you might earn a driver education car insurance discount.

How to Avoid Parking Ticket Problems

As with most situations, the best way to avoid an issue is to evade the circumstance entirely. Familiarize yourself with your local parking laws, and you’ll be able to prevent illegal parking with ease.

However, many people receive parking tickets when they’re unfamiliar with the area, such as when on a business trip or on vacation. If you’re worried about parking illegally, consider the following tips to avoid trouble:

• Look for signs. While they can be confusing, no parking zones typically have signage to indicate that you can’t park there. Look for Anti-Gridlock Zone, No Stopping/Standing, and Fire Zone signs.
• Remember your meter. If you park in front of a meter, set a timer to remind you when your time is about to expire. Even if you think you’ll be out in plenty of time, creating a reminder only takes a minute and can save you from accruing additional fees.
• Resist the urge to park for a minute. Some people think that they can park illegally for a few minutes and make it back out before they’re caught. While it certainly happens, parking inspectors can appear at any time. All it takes is one minute of illegal parking to be issued a ticket.
• Use a garage. If you plan on leaving your car parked for an extended duration, a parking garage might be a safer bet.

Even the best-laid plans fail sometimes, and you might find yourself with a parking ticket. If you are issued one, you should pay it as soon as possible.

Find the Best Insurance for Any Situation

While parking tickets don’t usually affect your insurance rates, many other incidents will. If your rates have increased because you didn’t pay your tickets, or you were charged with a traffic incident, you should consider shopping for new insurance.

Now that you know a parking ticket affects your insurance, but only if you don’t pay it, you can compare rates to determine what coverage might cost you. When you’re ready to begin, enter your ZIP code into our free tool.

Many drivers buy a used car because it’s significantly less expensive than buying a new vehicle, so it seems natural that insuring a used car would cost less as well. However, insuring a used car isn’t always cheaper than insuring a new one — whether a car is used or new is only one of many factors that affect the price of car insurance. Insurance companies may see a used car as a higher risk. And monthly payments may be more expensive because it doesn’t make financial sense to choose a plan with a higher deductible.

The hidden costs of insuring a used car can be frustrating since driving a used car was supposed to save you money, not increase your insurance rates. But before you decide to trade your used car in for a newer ride, let us show you how to save on used car insurance. Read on to find out what options you have for buying insurance for a used car, how to save when insuring your used vehicle, and when insurance for a used car is cheaper than new car insurance.

Looking for insurance for your used car? Enter your ZIP code in our free online tool to compare rates and find coverage that’s right for you.

When is insuring a used car cheaper?

The short answer is that insuring a used car is usually cheaper than paying to insure a new car.

There are two main reasons behind this. First, the parts need to repair an older car are typically more widely available and less complicated than the parts needed to fix newer models, making them cheaper. Second, insurance companies don’t pay as much to replace a used car that’s totaled since cars depreciate in value over time. In other words, a used car is worth less and is less expensive to fix, so insurance companies will generally charge you less.

With the above in mind, there are a few reasons why insuring a used car may cost more than you expected:

• Your policy’s deductible (the amount you pay for repair/replacement before insurance kicks in) is likely on the lower side since your used car isn’t worth as much as a newer car to begin with. Lower deductibles tend to come with higher monthly rates.
• Your used car has minimal safety features. Insurance companies will see your vehicle as a higher risk if it lacks safety features common to modern cars, like blindspot detection or a backup camera.
• You have a history of accidents on your driving record. If your driving record shows insurance companies that you’ve been at fault for accidents in the last few years, driving a car without a suite of modern safety features may lead them to consider you a high risk.

What are the differences between insuring a new and used car?

While used cars are generally cheaper to insure than new cars overall, there are exceptions. Getting a clear understanding of how much it costs to insure any specific car means you’ll need to know its make and model. Newer cars generally cost more to repair or replace than older models, but this isn’t always the case. A particularly uncommon or complex used car can be expensive to insure.

A key difference between insuring a new and used car is how you look at your deductibles. With newer cars, your deductible will rarely exceed the cost of repairing the car, so a high deductible is the best way to save on your monthly payments, if you can afford it.

But used cars are a different story. Since many used cars are relatively cheap to repair, you’ll want to make sure your deductible isn’t too high, or else your insurance may not help you pay for some repairs at all.

According to Kelley Blue Book, a car insurance deductible can range from a few hundred dollars to $2,500.

For example, if you have a $500 deductible and your used car only requires $300 of repairs after a minor accident, you’ll have to pay all $300 out of pocket since your insurance only kicks in after you’ve spent at least $500 of your own money. If you have a newer car with more expensive parts, it’s likely that most repairs will cost more than your deductible, so it makes more sense to opt for a higher deductible with a lower monthly rate.

Where can you find insurance for a used car?

Most major car insurance companies make it easy to add a used car that you’ve recently purchased to your existing insurance policy. If you already have insurance, contact your insurance company to add coverage for your used car. If you don’t already have insurance, you can start comparing options today. Virtually all car insurance companies will cover used cars, so you have a wide range of options to choose from.

As far as what kind of insurance you should get for a used car, start with liability, collision, and comprehensive coverage. You may also want to look into personal injury protection and GAP insurance depending on your state and whether you’re financing your used car respectively.

When starting your search, you may find it helpful to compare the coverage offered by the ten largest car insurance companies in the United States:

• State Farm
• Geico
• Progressive
• Allstate
• USAA
• Farmers
• Liberty Mutual
• Nationwide
• American Family
• Travelers

How can you save money on used car insurance?

Saving money on used car insurance starts with taking the time to compare your options, so you can find the most affordable insurance that provides all the coverage you need. But even after you’ve obtained coverage, there are a number of ways you can save on car insurance.

Here are a few tips for saving on insurance for a used car:

• Install an anti-theft device in your car. Many insurance companies offer discounts for cars with anti-theft technology.
• Complete a defensive driving course. Depending on your state and insurance company, you may be able to get a discount for enrolling in a course that takes as little as 10 hours to complete.
• Enroll in a safe drive program. Optional programs like State Farm’s “Drive Safe and Save” and Allstate’s “Drivewise” use telematics devices to monitor your driving habits and give safe drivers discounts on their insurance.
• Bundle your insurance. Many insurance companies allow drivers to bundle home or renters insurance with car insurance, saving them hundreds of dollars each year.

Looking for more ways to save? Take a look at our other suggestions on how to reduce the cost of car insurance.

What to Remember About Used Car Insurance

Used car insurance is usually cheaper than car insurance for a new vehicle. That said, a policy for a used car with a low deductible may be more expensive than one for a new car with a high deductible.

A used car with minimal safety features may also cost more to insure than a newer car with more safety features, especially if you have a history of accidents on your driving record.

To save money on insurance for a used or new car, you can try installing an anti-theft device, completing a defensive driving course, enrolling in a safe driver program, or bundling your car insurance with your home or renters insurance.

While used car insurance tends to be cheaper than insurance for a new car, how much you save depends on what insurance company and coverage you choose. Looking for the most affordable insurance for your used car? Find out how much you could save on insurance by entering your ZIP code in our free online quote tool.

Being a parent is an experience that can offer great joys, as well as difficult times. Of course, many of those difficult times relate directly to money, as many things in life do. With each step of life a child takes, there’s usually some sort of cost associated with it, and car insurance is no different. Many parents are in for a case of sticker shock.

In this article, we’ll be looking at different milestones, starting with teenage drivers who have a newly minted learners permit, all the way through graduation from college. Each of the events will impact your policy costs, and we’ll discuss them in detail.

How Much Do New Teenage Drivers Cost You in Insurance?

While most kids will countdown the days until they turn 16 (or younger in some sates) and can finally get their driving permits, parents have a slew of worries to occupy their minds. One of the biggest worries is that teenaged drivers are four times more likely to be in a collision or a crash than a driver outside of the 16-19 years of age range.

Your child may be an excellent driver, and they may have an impeccable and spotless driving record – but you’ll still pay way more for an auto policy once they’re added to it. Unfortunately, new drivers don’t have a driving record to offer insurance companies as proof. Beyond the risk factor mentioned above, consider that a large portion of new teen drivers will likely be in some sort of accident within the first year of getting their license.

As we get more practice driving, a lot of safety tips become second nature. We learn to watch the road and everything around us, and it gets easier. As new drivers, many things can go wrong. When you add in friends, texting while driving, and other common distractions for teens, the odds get worse.

Auto insurance for kids starts out higher. Generally, it doesn’t drop significantly for a few years. If your teen gets a ticket or is in an accident, the premiums can increase. Depending on the insurer, they may also dump your policy.

What Auto Insurance Discounts Do Teens Qualify For?

Not all is lost. They won’t be teens forever and while they are you can see if your insurance company offers any teen specific discounts. Good student discounts alone can instantly translate into policy savings from 10 to 25 percent, depending upon the insurer. These may not be the only discounts available to lower policy costs. Make sure you discuss this with your insurer to obtain every discount you are eligible for.

Should You Include Your Child on Your Auto Policy?

If your child is still a dependent, meaning they’re either in college or still live at home, a parent can continue to list them on their policy as a named driver. That’s even if you’ve helped to purchase a car of their own. Only in this case, the important part of “own” means you hold either primary or joint ownership of the automobile of the child.

As long as the child meets the student guidelines, they’re insurable under your policy. Some parents choose to keep their child’s insurance separate by buying them their own policy. This way, your insurance does not go up, and your teen is building their own history with an auto insurer. This can give them loyalty discounts early on. If you want additional coverage for your teen, you also don’t have to pay to apply it to your coverage as well. The cost of insurance will vary between drivers and families. So it’s important to compare insurance quotes and see where you’ll get the best monthly premium.

Where things begin to get somewhat cloudy is once a child is no longer dependent, or buys a car of their own that you have no material interest or ownership of.

What If Your Child Buys A Car of Their Own?

In some cases, a child will have saved up for their own car, and may wish to purchase one for themselves. That’s fine, and as long as the child is younger than 18 years old, it may be possible for the parents to insure the child and their fully paid for automobile under the policy. Once the child turns 18, they’ll need to obtain their own policy for a car bought in such a manner, unless of course, the parent is listed as a co-owner of the automobile on the title. In either instance, you can buy your child a separate policy you pay for.

Financing a car can be a bit different, however. While any lien holder is prohibited from entering into a contract with someone who hasn’t reached the age of 18, if a child 18 or older manages to finance a car by themselves, they’ll need their own policy. This is assuming parents are not cosigning since the parents have no insurable interest in the car purchased by their children. Just like you would have to, your child would be required to sustain a certain coverage level to meet the lender’s requirements. However, if this is a car that the parents have co-signed on the note for the loan and the child still lives at home, it probably can be insured on the parent’s auto policy.

When Does A Young Person Need Their Own Auto Insurance Policy?

If your child isn’t in school, owns their own car, and has reached 21 years of age, it’s time for them to have their own auto policy. While they won’t be paying the extremely high premiums associated with being teenagers anymore, they’ll still pay more than older people do. They’re also on the cusp of another milestone – meaning in just a few years, their cost for insurance will drop again, and they’ll no longer be in the highest risk group.

Your college-age or young adult child should choose a car insurance company that has a good app. Your college student is used to having everything they need easily accessible on their smartphone, and they’ll be able to keep all their relevant car insurance information at hand with a good app.

If you’re looking for peace of mind with a young driver, a solid auto insurance plan is the first step. You can get your teen signed up with a company you trust early on. Even if you think you’re getting the best rates, always run quotes and check out different policy types. You might be surprised at who is actually offering the best rates. To get started, just enter your zip code in our auto insurance quote calculator.

If you’ve recently obtained quotes or renewed your car insurance policy, you might experience sticker shock due to a dramatic increase in your premiums. While many are confused about such increases, there is always a reason for both increases and decreases in premiums.

Insurers are regulated by each state that they operate in, and they have strict guidelines to which they must conform, including the factors they utilize in order to quote and sell a policy.

Insurers don’t care what color of car you drive if you’re a smoker, and they likely will not raise your rates because of a single speeding ticket. So why do they raise rates?

In this article, we’ll be looking at things consumers do that can lead to increases in the policy premiums they pay. That’s right – these are areas where you can control how much you individually contribute to rate increases.

Buying a new car is something drivers do that can have a dramatic effect on their insurance premiums. Beyond the fact that you now may have a more expensive car to insure, you could also see changes in coverage that affect pricing. Your previous car might have been an older model that you carried liability coverage on, but with your new purchase, you’re looking at not only carrying liability but also collision and comprehensive coverage.

Making at-fault liability and/or collision or comprehensive insurance claims can also raise your premiums. For every claim you make, you’re indicating to your insurer that you’re at higher risk than you were before. Additional risk means that your insurer will want to pass the cost on to you, and that will be reflected in an increase in your auto insurance premium. And some insurers will place you into a higher risk category, even if you were not at fault in any way for your claims.

Consider this for an example: You’ve loaned your car to a friend, who promptly wrecks it, causing damage to both your own car as well as the car of another driver. You weren’t driving, but because your policy covers anyone who is legally behind the wheel of your car, that crash will be reflected on your policy, not one carried by the friend who may have their own policy on a car they own.

We mentioned that a single speeding ticket probably wouldn’t cause your insurer to raise your rates, but multiple tickets or more serious moving violations, such as reckless driving or being caught under the influence of drugs or alcohol will likely cause your insurer to raise your premiums. Significant cases can lead an insurer to issue a non-renewal notice, meaning you’ll need a new insurer when your current policy expires, and in extreme circumstances, canceling your policy altogether.

Changes in your credit history can also result in higher premiums. Many insurers utilize credit data, which they do in calculating an “insurance score.” Historical data collected and analyzed over time has shown that that the lower your credit score and insurance score are, the more likely you will be to file a claim.

Adding a new driver to your policy, especially a new teenaged driver, can significantly raise your rates. Conversely, marriage or domestic partnership additions can lead to a decrease, as they will normally offer savings over two individual policies. Because they’re the least experienced drivers on the road, and they’re also more prone to making rash or questionable decisions, teenagers represent an extremely high-risk segment of the driving population – the highest risk segment overall.

Finally, moving to a more urban or high crime area can lead to an increase in your policy premiums. Reality suggests that the higher the population, the more likely an accident or other claim factor (such as vandalism or auto theft) is to occur, hence the increase in rates. Not only is your neighborhood a factor, but even where you park at night contributes to the amount you’ll pay for your car insurance.

If you’ve experienced an increase in your premium, we encourage you to ask your insurer why. Working with them may help you uncover solutions available to you that can lead to lowering your costs, be they new discounts or dropping unneeded coverages. Even if you can come to a workable solution to your situation with your current insurance company, it’s probably a good idea to take advantage of the market and see what other car insurance companies might be able to offer. Our free online quotes can help do that quickly and easily.