It is always a major concern for everyone that having points on your license may cost you your license. Just the thought of losing the license that you worked so hard to obtain, sends sweat trickling down your forehead. You shake and hesitate because you don’t want to say goodbye to your license.
Now think of this, having points on your license could mean no insurance too! If this exclamation doesn’t make you shudder with fear, then nothing else will. Not having an insurance policy to protect your car is possibly the worst-case scenario.
Let’s put your mind slightly at ease: you can get insured even if you have points on your license.
How did the point system come into play?
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It’s quite simple. The points system was established so that law imposing officials and insurance companies could easily spot a red flag driver. Knowing you could get points on your license is a way for you to check that you are adhering to road rules and not going off track in terms of your driving.
Points are determined by the violation. Leaving a scene of an accident that you caused could be a more severe violation. A parking violation, however, may not result in any points being incurred. This could earn you a ticket. While tickets mean no points against your license, a ticket could mean paying more on your insurance premium. So while you may not be an obedient rule follower on the road, remember that you get rewarded from your insurance for adhering to road rules.
What insurance with points on your license would mean?
Sometimes insurance companies adhere to their point system. There is no hard and fast rule that an insurance company must adhere to the rules imposed by the motor vehicle department. An insurance company may use their system to assign points for discrepancies that go against the law and these companies judge your violations according to these standards. So while you still will get insurance coverage for your motor vehicle despite point systems, your policy’s premiums may change. It is a known fact that the more violation points that you accumulate, the higher your insurance rate will be.
What does this mean for me?
You must remember that your increased premiums are highly dependent on the insurance company that you are with. Some insurance companies are kinder than others in terms of charging higher insurance rates for points that they deem you deserve due to driving offenses. Some insurance companies offer accident forgiveness for the first accident even if it was caused by you.
How can you lower insurance rates?
A good starting point would be to rope in expert advice as a way forward. By comparing insurance premiums and rules from over 100’s of insurance companies, the right company will help you to settle for the very best option. Money experts will also be able to assert which company offers the best possible breakdown insurance. If you are a young driver, chances are your insurance premiums may be severely higher. This is because young drivers usually drive recklessly. You must remember to choose an insurance policy that details exactly how the company’s point system works.
Remember to go easy on your road regulation violations. You don’t want to be in a situation where you lose your license entirely.