Do Demerit Points Affect Insurance in Alberta?
Most often, when we speak to people about traffic tickets, they want us to eliminate demerit points so their insurance rates won't go up. We have to steer them straight about the REAL reason traffic tickets affect insurance. Already know the answer? Read on, smarty pants, to see if you're right.
How Do Demerit Points Affect Insurance?
You're correct if you think the most important reason to fight traffic tickets is about insurance premiums. Your insurance is driven up every time you just pay a traffic ticket…
2 traffic tickets in 3 years: 25% - 50% increase
3 traffic tickets: 35% – 100% increase
4 traffic tickets: 50% – 200% increase
5 traffic tickets: 75% – 400% increase
6 traffic tickets: 100% – 800% increase
7 or more even minor traffic violations in 3 years will double the immediately preceeding percentage for each additional conviction
You’d think the obvious solution is reducing or eliminating those darned demerit points. NOPE!...It’s important… but not MOST important. It’s the number of traffic tickets you have on your driving record and their level of risk that determines your insurance rates assessment.
So if Demerit Points Don't Affect Insurance, Why Worry About Them?
If your demerit point totals reach 15 in two years or less your licence gets suspended (8 demerits if you're a GDL). So it matters that we help you manage demerits but not in the name of insurance savings. Many traffic tickets carry no demerit points at all but still impact your rates.
Read more about the details of demerit suspensions in Alberta and what limits you have with your driver’s license level.
Oh, as an aside…
Does a Speeding Ticket Without Points Affect Insurance?
The only speeding ticket you can get that does not have demerits is a photo radar ticket, and no, it does not affect your insurance rates. With photo radar tickets only your vehicle was caught speeding… It could have been someone else driving at the time. You were sent the ticket because you are the owner of the vehicle and it’s your responsibility to see that the fine is paid. If it truly wasn’t you, you’ll have to settle up with the person who really was driving.
Read more about how the courts deal with camera tickets.
To Recap… It is Incorrect to Believe Demerit Points Affect Insurance Rates in Alberta
Insurance rates go up based on: how many traffic tickets show on your driving record over a three year period; and secondly, what the weight of each of those offences is. Managing your driving record is critical to controlling insurance premiums and we want to resolve your ticket to a much less harmful charge... or better yet, have it not show up at all.
So the next time you get a traffic ticket... or if you have one now... contact us. A few minutes of your time and we'll show you how we can minimize or eliminate the effect on your insurance and also help control demerits as well. It costs you absolutely nothing to find out.
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