Drivers need to comply with several Alabama regulations to legally operate motor vehicles. They have to secure a driver’s license by passing an educational course and state testing. They have to register their vehicles and display a license plate on them.
They also have to obtain liability insurance coverage in case they are at fault for a crash. Liability insurance compensates those hurt in collisions by paying for their property damage expenses and injury-related costs. A conviction for a driving under the influence (DUI) offense in Alabama could cost someone their driver’s license temporarily. It could also result in negative consequences for their insurance situation.
How can a DUI affect a driver’s insurance coverage?
Policy premiums increase
Insurance costs are different from one policy to the next. The amount of coverage a driver decides to purchase is one important factor when the company calculates premiums. Insurance companies also look closely at the demographic information about the person purchasing the policy. The neighborhood where they live, their age and their sex can influence how much they pay for coverage.
Insurance companies also typically check the driving history of the person seeking a policy. Those with substantial traffic violations on their records typically have to pay more for coverage. Researchers looking at the average cost of an insurance policy found that a single DUI conviction can have a drastic impact on the price a driver pays for coverage. The average Alabama driver pays $1,450 for a year of coverage. After a DUI conviction, that average premium surges up to $2,345. That’s a 62% increase in costs.
Current coverage may be unavailable
In some cases, a DUI conviction might make a driver too much of a risk for their current insurance company. Drivers may lose their insurance coverage in some cases after DUI convictions. They may then have to purchase a cost from a different insurance company. The aftermath of a DUI conviction can affect a driver’s eligibility and costs for insurance coverage for multiple years.
Fighting DUI charges can often be a cost-effective choice if people consider secondary consequences, including a likely change in insurance premiums. DUI convictions are frequently far more expensive than drivers initially think.