Speeding tickets in Ontario can have more consequences than just a fine. One of the most significant impacts is on your car insurance premiums. In this article, we’ll explain how speeding tickets can affect your insurance rates, what factors come into play, and how long you can expect these consequences to last.
Do Speeding Tickets Affect Insurance Premiums?
Yes, speeding tickets in Ontario can lead to increased insurance premiums. Insurance companies view speeding as a sign of risky behavior, which may increase the likelihood of accidents. As a result, even a single ticket can lead to higher insurance rates, and the more tickets you accumulate, the more expensive your premiums become.
How Much Can Insurance Premiums Increase?
The amount your insurance premium will increase depends on several factors:
- Severity of the Offense
Minor speeding offenses (e.g., going 10-15 km/h over the limit) typically lead to smaller increases, while major offenses (e.g., going 30-49 km/h over) can result in much steeper rate hikes. Exceeding the speed limit by 50 km/h or more can lead to severe penalties, including license suspension, and a drastic rise in premiums or even policy cancellation. - Insurance Company Policies
Not all insurance companies treat speeding tickets the same. Some may increase rates significantly after just one ticket, while others might offer leniency for a minor infraction, especially if it’s your first offense. - Driving History
If you have a clean driving record, your insurer may be more lenient when adjusting your premium after a speeding ticket. However, if you have a history of multiple tickets or traffic violations, expect a more substantial increase.
Minor vs. Major Speeding Offenses
Insurance companies often differentiate between minor and major speeding violations:
- Minor Offenses: Speeding less than 20 km/h over the limit typically results in a smaller premium increase. In some cases, your insurer may not raise your rate at all after the first minor ticket.
- Major Offenses: Speeding 30 km/h or more above the limit will lead to a noticeable increase in premiums. This is especially true for offenses in school zones or residential areas, where insurance companies may view the risk as higher.
How Long Will a Speeding Ticket Affect My Premiums?
In Ontario, speeding tickets typically stay on your driving record for 3 years. During this time, insurance companies will likely consider the ticket when calculating your premium. After the 3-year period, the ticket will no longer impact your rates. However, if you accumulate multiple tickets during this time, the rate increases will stack, potentially leading to even higher premiums.
Will My Premium Increase After One Ticket?
For a first-time minor offense, some insurance companies may not raise your premium immediately, especially if you have an otherwise clean driving record. However, if you receive multiple tickets within a short period, it’s almost certain your insurance rates will go up.
Can I Avoid an Insurance Rate Increase After a Speeding Ticket?
Here are a few ways you might avoid a steep premium increase after a speeding ticket:
- Take a Defensive Driving Course
Some insurance providers offer discounts or forgiveness programs for drivers who take an accredited defensive driving course. This may offset the impact of a speeding ticket on your premiums. - Seek Ticket Reduction or Dismissal
Contesting a speeding ticket in court may result in a lesser charge or even a dismissal, which could prevent it from affecting your insurance. It’s important to weigh the time and cost of contesting the ticket against the potential savings on your insurance premium. - Shop Around
If your current insurer significantly raises your premiums after a ticket, it’s worth comparing quotes from other providers. Different companies assess risk differently, and you may find a better rate with another insurer.
Speeding Tickets Will Impact Your Insurance Premiums
In Ontario, speeding tickets can have a notable impact on your insurance premiums. While minor infractions may result in small increases, major violations can cause your premiums to skyrocket. It’s essential to maintain a clean driving record and explore options like defensive driving courses or ticket reduction strategies to minimize the effect on your insurance.