High-risk auto insurance is a special kind of insurance that applies to situations where the insurer believes there is a higher-than-average chance of a claim or when the potential amount of claims is above normal.
This can be due to various factors, such as multiple accidents, violations, or DUIs, as well as your payment history, age, or the value, use, or features of your car.
If you have been rejected for coverage, contact your insurance company to discuss your specific case. While many high-risk insurers can handle most of these scenarios, some are better than others. Here is our list of the best car insurance providers for different high-risk situations.
We partnered with MediaAlpha to offer you the following car insurance deals. Below, you can find more information on our selections for the best alternatives for high-risk drivers.
Top High-Risk Auto Insurance Providers of 2024
1. BEST OVERALL: The General
Why We Chose It
The General is our top pick for the best high-risk provider for basic coverage because it can cover almost any kind of high-risk driver. Whether you have poor credit, a record of accidents, violations, or have been uninsured, it likely can help. Additionally, the company has local agents who can assist you with your specific needs.
The company provides convenient payment options with low down payments. The General is ideal if you are looking for basic or minimum insurance coverage, even though coverage options are limited with very little information online.
Company Overview
The General is an insurance agency, underwriting policies through three companies, including The General Automobile Insurance Co. You can work with a local agent to help find the best coverage, or you can get a quote online.
AM Best, a ratings agency that evaluates the financial stability of insurers, gave The General an A (Excellent) rating.
However, The General has faced poor complaint trends among its automobile insurance customers. The National Association of Insurance Commissioners (NAIC) gave the company a complaint index score of 3.13 averaged over three years. A score of 1.00 means a company has a normal number of complaints for a company of its size, so The General received many more complaints than expected.2
Warning: Be aware that the General agency also underwrites insurance through two other insurance divisions (Permanent General Assurance Corp. and the Permanent General Assurance Corp. of Ohio), both of which have extremely high incidents of complaints through the NAIC.34 So when you get your insurance policy, be clear on which of the General agency companies will be underwriting it.
Pros & Cons
Pros
- Coverage accessible to high-risk drivers
- Quick online quotes and policy management with an app
- Local agents can assist you with your policy
Cons
- High number of customer complaints
- Low maximum coverage limits
- Few coverage benefits or options
2. BEST RATES AFTER A DUI: State Farm
Why We Chose It
State Farm is a good option if you want to improve your driving record after being charged with driving under the influence. We searched for pricing online and found State Farm's quotes were lower than most standard insurers for DUI and multiple violations.
State Farm also enables high-risk drivers to reduce their costs by joining its Drive Safe & Save program in which it uses an app to track safe driving habits to potentially lower your premiums by up to 30%.
Company Overview
State Farm is the biggest car insurer in the U.S. in terms of market share.
It's also a financially stable company. Ratings agency AM Best gave the insurer a financial stability rating of A++ (Superior), which means State Farm is in a superior position to meet its financial obligations, including paying on claims.
Pros & Cons
Pros
- Lowest premiums for drivers with a DUI
- Drive Safe & Save program can help high-risk drivers save
- Various opportunities to save on insurance costs for safe driving habits or safe car features
Cons
- Discounts from the Drive Safe & Save program can take up to six months if you exhibit safe driving habits
- Pressure to work with a local agent
3. BEST RATES AFTER A TRAFFIC VIOLATION: GEICO
Why We Chose It
GEICO may offer high-risk drivers better prices than some of its competitors that specialize in this category.
We ran price samples with GEICO for high-risk and average-risk drivers. We intentionally left out information to allow a credit-based insurance score, which means pricing was not optimized for a good credit score. Risk-based rates were very reasonable compared with other insurers. We also saw good prices for young drivers. GEICO consistently offered good rates for higher-risk drivers from other online sources that compare insurance rates.
Company Overview
GEICO was the top-scoring insurer in the J.D. Power 2020 Insurance Shopping Study and in the J.D. Power Digital Customer Experience Study in both 2020 and 2021, which makes it a great pick if you like to use an app to manage your insurance or get quotes.
The insurer can also provide SR-22 filings. This is a form filed with your state to show that you are meeting its minimum auto liability insurance requirements if you had a DUI or reckless-driving charge.
Additionally, if you have a classic car or replica, GEICO also has a partnership with American Modern Insurance Group to provide coverage for such vehicles.
In general, GEICO appears well-equipped for a range of high-risk driver scenarios, so it is our pick for Runner-up Best Overall. If you think you need high-risk insurance, be sure to check GEICO’s rates before going to a specialized high-risk insurer.
It carries a financial strength rating of A++ (Superior) from AM Best. This means the ratings agency believes GEICO is in a superior position to meet its financial obligations, including paying claims. It also ranks highly for customer and claims satisfaction in independent studies.
Pros & Cons
Pros
- Easy online quotes with good pricing for high-risk drivers
- Safe driver discounts via tracking device
- SR-22 or FR-44 forms available
Cons
- No gap insurance
- Safe driving DriveEasy program not available in all states
4. Top Choice for Cost Reduction: Progressive
Reasons for Selection:
Progressive, the third-largest auto insurer in the United States, stands out for its sophisticated online quoting tool, allowing users to compare rates across multiple insurers and set their desired price point. This tool not only provides transparency but also offers insights into the coverage options available at the specified price.
For high-risk drivers seeking to lower their insurance premiums, Progressive offers the Snapshot safe driver program. By monitoring driving habits, this program incentivizes safer driving behaviors, resulting in potential cost savings on premiums. This feature is especially beneficial for high-risk drivers aiming to improve their driving habits and reduce insurance expenses.
We've chosen Progressive as the top choice for cost reduction due to its comprehensive features designed to tailor insurance prices, whether obtained online independently or with the assistance of an agent.
Company Overview:
Progressive offers adaptable pricing solutions that allow drivers to customize coverage levels according to their needs. While its online quoting tool is commendable, it's worth noting that Progressive's customer service satisfaction ratings in the 2022 J.D. Power Auto Insurance Study rank below average across all regions.
According to the 2020 and 2021 complaint ratios, Progressive had fewer complaints than average in 2020 (0.21) but more than doubled in 2021 (2.27). This indicates a significant increase in complaints, highlighting potential areas for improvement in customer service.
The cost of Progressive insurance varies depending on the method of acquisition, whether through agents, brokers, or online sales. These variations are attributed to differences in expenses associated with each sales channel.
Pros & Cons:
Pros
- Availability of SR-22
- Snapshot safe driver program yields average annual savings of $156
- Multiple online quotes facilitate finding the best price
- Diminishing deductible rewards safe driving with reduced deductible every six months without a claim
Cons
- Rates fluctuate based on the purchasing method
- Below-average customer service and claims satisfaction rankings
FAQs High-Risk Auto Insurance Providers
What Is High-Risk Auto Insurance?
High-risk auto insurance refers to any policy an insurance company considers as having the possibility to carry higher-than-average payouts due to claims. Insurance companies set premiums based on how likely they think it is they will have to pay claims, and in doing so, how much they expect to pay out.
One of the tools for setting car insurance rates is risk classification factors, such as driving history. You might be classified as a high-risk driver if you meet any of the following criteria:
- New drivers and, for some insurers, young drivers
- Those without previous insurance
- People who have had one or more car accidents
- Drivers who have been convicted of driving under the influence (DUI) or driving while intoxicated (DWI)
- Drivers with multiple traffic violations
- Someone who has been required by a state to file an SR-22
- People who have a below-average credit history
- People with modified or high-value cars
- How Do I Get High-Risk Auto Insurance?
The best way to get high-risk car insurance is to compare quotes from a few different insurance companies before you make a choice. Once you have quotes, be sure to talk to insurance professionals about your situation.
How Can I Reduce the Cost of My High-Risk Auto Insurance?
You can use various methods to lower the cost of your car insurance depending on your situation.
Your car’s value: Think about installing aftermarket anti-theft devices. Many insurers offer discounts for these devices. But be sure to ask your insurance company which one gives the highest discounts.
Buying a new car: Be sure to check the cost of the model’s car insurance before you buy it. Car insurance premiums depend on the car’s risk profile. Cars with more costly parts, higher engine capacity, or are prone to theft, especially in your zip code, will increase your insurance cost. Cars with safety features may reduce the cost of your insurance.
Multiple accidents: Compare rates with different insurers every renewal term. Some insurers use the last five years of driving history to set the rate; others use the last three years. And not all insurers penalize at-fault accidents the same way.
Insurer discounts: You can reduce your cost by taking defensive driving courses or joining a safe driver program that tracks data about your driving habits. But check with your provider to see what your options are.
Low credit score: Take steps to improve your credit score. You don't need to pay off all your credit cards to boost your credit score. Paying your bill before it's overdue or lowering your average card balance can help. If your credit score is low due to a special circumstance, like a divorce, medical crisis, temporary unemployment, or death in the family, let your insurance company know. Some make exceptions, and this could save you some money.
Senior drivers: Some companies consider drivers over age 65 higher risk. Defensive driving courses and looking for insurers that have better rates or group plans for seniors could help save you some money.
Membership associations and your employer: Sometimes, membership plans will be more flexible because you are affiliated with a group.
What If I Can’t Find Insurance?
If you try to get quotes and are unable to find insurance because of your high-risk classification, ask insurance companies that deny coverage why they are doing so. This will help you learn about the best way to find coverage elsewhere.
If it is due to past claims, you can ask for a letter of claims experience, so you will have all the details you need to get quotes elsewhere. You can also contact your state insurance commissioner’s office to help you find insurance. States have systems to ensure that auto insurance is available to those who cannot get it in the private market. As part of this, you could be assigned by your state to an “assigned risk plan” at a private insurer, rather than choosing your insurer, or you could try a government-run insurance program.
How We Picked the Best High-Risk Auto Insurance Companies
To choose the best high-risk car insurance companies, we examined which insurers are able to provide coverage in each high-risk situation, including:
- Insuring high-risk drivers or specialty cars
- Providing better rates for poor to bad credit
- Offering an SR-22
We checked the financial strength rankings of all the insurers, ensuring they were from Excellent to Superior, as rated by AM Best, because financial stability is a crucial factor for an insurance company’s ability to fulfill its financial obligations.
We examined the car insurance prices on the companies’ websites, through online quotes, and in independent auto insurance rate studies to select the best options in the high-risk car insurance categories. We also considered customer complaints for specialty insurers and the top car insurers in the U.S. by region and nationally as reported to the NAIC, as well as rankings in four different car insurance studies by J.D. Power, which rated overall customer satisfaction, claims satisfaction insurance shopping experience, and digital customer experience.
While our regular car insurance company reviews concentrate on identifying companies with a low complaints ratio through state regulators in the NAIC databases, we discovered that most specialized car insurers in the high-risk market had average to extremely high levels of complaints filed in the last three years; therefore, we searched for the companies with the best records in the category.