Americans are living in a day and age where everything is becoming more expensive, and auto insurance rates are no exception. Last February, the national inflation rate was 3.2%, and rising car insurance rates contributed about 0.5% to this overall rate. Between February 2023 and February 2024, car insurance rates have risen almost 21%. The state of New York is seeing an even larger increase of auto insurance rates at 26%. In New Jersey, many auto insurance companies are also following this trend by raising their rates between 11% and 20%. 

What can Americans do to prevent their insurance rates from rising even more? For starters, they can plead “not guilty” to something auto insurance companies use all the time to raise their customer’s rates: speeding tickets. 

Receiving a speeding ticket can be stressful, but it is not uncommon. Millions of Americans each year receive a speeding ticket. To add to that stress, auto insurance companies will use a guilty plea or points on a driver’s record from a speeding ticket to raise insurance rates on their customers. Don’t end up paying more for an insurance plan that is already expensive. Plead not guilty to all speeding tickets you receive, and read on to learn more about the national increase in auto insurance rates, the benefits of pleading not guilty to a speeding ticket, and how an attorney can help. 

Why are Car Insurance Rates Increasing?

There are many factors that are contributing to rising auto insurance rates in the U.S. Some of the most influential factors include:  

• The increase in car repair rates due to supply chain shortages and increasing costs for auto parts. Technological advances in new cars are also making auto parts more expensive. Therefore, the overall expenses of auto insurance companies are increasing, and they are compensating by charging customers higher rates.
• Labor shortages, which have forced auto insurance companies to pay car mechanics’ higher wages.
• Traffic deaths have become more frequent in the U.S in recent years. Insurance companies are raising rates because they need to cover the repair and attorney costs associated with the car accidents. 

How do Auto Insurance Companies Price their Plans?

Auto insurance companies will generally price their plans based on the profile of a specific state. The company will decide their rate by looking at the actuarial loss trends in that state, meaning they evaluate trends such as how much they are paying for their customer’s claims after an accident related to property damage, medical expenses, legal fees, etc. 

Car insurance rates vary from state to state because of this. Some states inevitably have better insurance rates than others. For example, between February 2023 and February 2024, North Carolina only experienced a 5.5% auto insurance increase. This was about 15.5% less of an increase than the national average. Currently, some of the most expensive states for car insurance include Florida, New York, Louisiana, and Pennsylvania. 

In New York, the average auto insurance plan is $168 per month. In New Jersey, the average auto insurance plan is $124 per month. Both of these states have higher average car insurance rates than the national average, which is about $85 per month. A younger driver in the household or a history of accidents or tickets can make these rates double or even triple or more.

What can Drivers do to Lower their Auto Insurance Rates? 

Drivers across America may feel frustrated or helpless when it comes to climbing auto insurance rates. But having some control over one’s insurance rates is possible, and it’s important to understand how. Here are some steps drivers can take to keep their rates as low as possible:

• Compare insurance costs across different companies to find an affordable option. 
• Maintain a good credit score and record, as this is considered by auto insurance companies when determining individual rates.
• Ask their insurance company for higher deductibles, but keep in mind that while this lowers insurance rates, it can increase out of pocket costs if the driver files a claim 
• Ask about discounts, such as low-mileage discounts or discounts for not having accidents or moving violations, etc. 
• Take a driving course to reduce their rate if their state and insurance company allow it. New York offers a Defensive Driving Course or Motor Vehicle Accident Prevention Course to reduce insurance rates. New Jersey also offers a Driver Improvement Program and Defensive Driving Courses to lower insurance rates.  
• Plead not guilty to any issued speeding tickets.

Why Should Drivers Plead Not-Guilty to Moving Violations?

One of the major ways drivers can keep their insurance rates low is by pleading not guilty to any and all moving violations they receive. Pleading guilty to a speeding ticket is not advised because car insurance companies can use a guilty plea to raise the driver’s insurance rate. 

Auto insurance companies use risk assessment, or how likely the driver is to get into a future accident, when deciding to raise the driver’s auto insurance rates. Drivers who have more points will be perceived as higher-risk drivers, which will likely increase their insurance premiums. 

Fighting speeding tickets can help drivers avoid increased insurance rates in the present, while also helping them avoid increased insurance rates in the future by preventing points from accumulating. 

In addition to avoiding higher insurance rates, pleading not guilty to a speeding ticket is also beneficial because:

• It can lessen the fines associated with a speeding ticket because a driver and their attorney can fight to reduce the consequences of a speeding ticket in court 
• It can reduce the points added to the driver’s record by attending court and reducing the consequences of the speeding ticket. This can also help prevent a license suspension by preventing too many points from accumulating.
• If a driver wins the not-guilty plea in court, it can help them if they plead not-guilty to a ticket in the future. This is because courts can access a driver’s record years later, and they can use guilty verdicts from speeding tickets against the driver in future cases. 

How can an Attorney Help Fight a Speeding Ticket? 

After a driver pleads not guilty to a speeding ticket, they will have to attend court to fight the ticket. A driver can negotiate the consequences of their traffic violation down, but they will be more likely to win their case if they have an attorney by their side. 

An attorney can fight for their client’s speeding ticket to be dismissed under certain circumstances, such as speeding out of necessity. If a ticket is dismissed, it is the same as if it never was issued, meaning the driver’s auto insurance rates will not increase. 

If an attorney is unable to get a driver’s speeding ticket dismissed, they may still be able to reduce the consequences of the ticket. For example, an attorney may be able to negotiate a speeding ticket down to a non-moving violation, which have less severe consequences, or down to a lesser-point ticket that only adds two points or less to the driver’s license. 

In New York and New Jersey, where auto insurance rates are particularly high, an attorney can work to keep their client’s already expensive rates as unaffected by a speeding ticket as possible. No one wants their auto insurance to go up, and it doesn’t have to with adequate legal representation. Speak to an attorney today.

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Contact a Rosenblum Law Attorney Today

If you’ve been issued a speeding ticket in New York or New Jersey, contact a Rosenblum Law attorney to help you fight for a not-guilty verdict. Our attorneys have years of experience in fighting speeding tickets. We will create a comprehensive legal strategy to help you avoid the consequences of a ticket.

In a historically high period of inflation and auto insurance premiums, don’t end up paying more for insurance than you have to. Contact us today for a free consultation.