Insurance companies generally will raise an insured's premium rates upon a Driving Under the Influence (DUI) or Driving While Intoxicated (DWI) guilty plea or conviction. They do so to shift to the DUI driver more of the financial risk of future claims. Upon a DUI conviction, the driver becomes a high-risk. Insurance companies know that in the United States there is an alcohol-related traffic fatality every 31 minutes and an alcohol-related traffic injury every two minutes. The insurance companies may alternatively choose to cancel the insurance policy or refuse to renew the policy. The premium rate raises in DUI conviction cases vary greatly, but are frequently doubled or tripled since the DUI driver will be labeled as a high-risk driver.
Note though, that some insurance companies do not raise premiums for Kentucky DUI convictions. Surprisingly, if the insurer finds out about a Ky DUI conviction, it may first look at their insured's driving history with the company along with their claims record, and then decide whether or not to increase the premium rate or cancel the policy or refuse to renew the policy.
Furthermore, it is not advisable to hide the Kentucky DUI conviction from the insurance carrier: they have many ways of discovering the conviction. Insurance companies discover drivers convicted of DWI / DUI in several ways: 1) the insured directly informing the insurance company; 2) insurance accident claims stemming from the DUI; 3) checking the insured's driving history (typically every three years); 4) investigations related to insurance policy applications (new or renewal); and 5) court records.
Post by Kentucky DUI Lawyer, Stephen J. Isaacs, Isaacs Law Office.
Comments