Does Taking a Course to Drop Points on Your License Affect Insurance Rates?

by Jeannine Mancini
Your state's department of motor vehicles can provide information on approved driving courses.

Depending on your state laws, insurance companies will generally allow one moving violation every three to five years without increasing your auto insurance rates. If you are issued a ticket or citation, you have the option of electing to complete a driving-improvement course. The course reduces the amount of your ticket and keep the points off your record. A driving course might even help keep your insurance rates from rising.

How Points Affect You

Although several factors will influence your auto insurance rates, your driving record carries the most weight. Speeding tickets and moving violations can add points to your driver's license. The points vary, depending on the state and the violation. Although a minor ticket might not make a big difference in your auto insurance rates, several tickets within a year can add up to a costly problem. When it is time to renew your policy, the insurance company will review your driving record. If you have received any tickets or citations, you could experience a rate increase. According to MSN Money, a reckless-driving ticket could increase your insurance rates by as much as 22 percent. Too many points within a short period of time can lead to an automatic license suspension.

Point-Reduction Courses

After getting a traffic ticket, you may be given the option to attend traffic school. Driver-improvement or driver-safety courses can reduce the amount of your ticket and keep the points off your driving record. However, completing a course will not necessarily keep the citation from appearing on your driving record. In most counties, the citation will appear on your record as "adjudication withheld," which means no points were assessed. The insurance company has the discretion to decide whether to increase your rates because of the accident, even after completing a driving course.

Low-Risk Driver

A driving course will not remove points off your driving record. If you do not have any points, taking a driving course will not necessarily lower you insurance premium. While some insurance companies give discounts for successful completion of driver's improvement or safety courses, it is not a standard requirement. However, a driving course can help keep your insurance rates down by refreshing your driving knowledge and teaching you skills to avoid an accident.

State-Approved Courses

If you want to take a driving course, you will need to participate in a driving course that is state approved or accredited. Your county will have specific requirements for electing to take a driving course after receiving a citation. In most counties, you cannot take a course after you have paid your ticket. The programs available will vary, depending on the state. For example, New York offers a "Point and Insurance Reduction Program." Not only does the course reduce the number of points on your record, but it also results in a 10 percent reduction on your liability and collision premiums. In the majority of states, there are no insurance reduction guarantees for completing a driving-improvement course.

About the Author

Jeannine Mancini, a Florida native, has been writing business and personal finance articles since 2003. Her articles have been published in the Florida Today and Orlando Sentinel. She earned a Bachelor of Science in Interdisciplinary Studies from the University of Central Florida.

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