Standard vs. Non-Standard Auto Insurance: What You Need to Know [2024]
Navigating the intricate landscape of auto insurance involves a critical understanding of the distinctions between Standard and Non-Standard policies, and in this comprehensive analysis, we delve into the unique features and advantages each category extends to drivers.
Free Auto Insurance Comparison
Compare Quotes From Top Companies and Save
Secured with SHA-256 Encryption
Scott W. Johnson
Licensed Insurance Agent
Scott W Johnson is an independent insurance agent in California. Principal Broker and founder of Marindependent Insurance Services, Scott brings over 25 years of experience to his clients. His Five President’s Council awards prove he uses all he learned at Avocet, Sprint Nextel, and Farmers Insurance to the benefit of his clients. Scott quickly grasped the unique insurance requirements of his...
Licensed Insurance Agent
UPDATED: Mar 9, 2024
It’s all about you. We want to help you make the right coverage choices.
Advertiser Disclosure: We strive to help you make confident insurance decisions. Comparison shopping should be easy. We are not affiliated with any one insurance provider and cannot guarantee quotes from any single provider.
Our insurance industry partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different insurance providers please enter your ZIP code above to use the free quote tool. The more quotes you compare, the more chances to save.
Editorial Guidelines: We are a free online resource for anyone interested in learning more about auto insurance. Our goal is to be an objective, third-party resource for everything auto insurance related. We update our site regularly, and all content is reviewed by auto insurance experts.
UPDATED: Mar 9, 2024
It’s all about you. We want to help you make the right coverage choices.
Advertiser Disclosure: We strive to help you make confident insurance decisions. Comparison shopping should be easy. We are not affiliated with any one insurance provider and cannot guarantee quotes from any single provider.
Our insurance industry partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different insurance providers please enter your ZIP code above to use the free quote tool. The more quotes you compare, the more chances to save.
On This Page
Securing the most favorable rates involves a nuanced interplay of factors such as credit score, mileage, coverage level, and driving record. This in-depth analysis scrutinizes various insurance providers, offering a comprehensive overview of the best company for rates based on diverse customer profiles. From exemplary offerings for drivers with pristine records to tailored solutions for those with unique circumstances, this guide unveils key insights to empower individuals to make informed decisions about their insurance coverage. Whether you’re a low-mileage driver with a stellar credit history or someone seeking coverage despite a challenging driving record, discover the company that aligns with your specific needs and optimizes your insurance experience.
Standard Auto Insurance
Pros:
- Broad Availability: Standard auto insurance is available to most drivers, providing widespread coverage.
- Lower Costs: Generally, standard policies offer lower premiums compared to non-standard policies.
- Credit Impact: Your credit has less impact on rates with standard auto insurance.
Cons:
- Limited High-Risk Coverage: Standard policies may not be suitable for high-risk drivers with a history of accidents or violations.
Read more: How much auto insurance do you need?
Compare Insurance Providers Rates to Save Up to 75%
Secured with SHA-256 Encryption
Non-Standard Auto Insurance
Pros:
- High-Risk Coverage: Non-standard policies cater to high-risk drivers, providing coverage when standard options are unavailable.
- Acceptance for Risky Profiles: Individuals with poor driving records or specific risk factors can find coverage.
- Flexible Options: Non-standard policies may offer more flexibility for unique situations, such as modified cars or rideshare drivers. (For more information, read our “Is it possible to have a rideshare car rental?“).
Cons:
- Higher Costs: Non-standard auto insurance tends to be more expensive due to the elevated risk, leading to higher premiums and deductibles.
- Limited Availability: Some non-standard insurance companies may operate in fewer states, reducing accessibility.
- Reduced Coverage Options: While covering the basics, non-standard policies may have limitations on certain coverage aspects.
The Verdict: Standard Auto Insurance
Considering the breadth of coverage, competitive rates for eligible drivers, and additional benefits offered, standard auto insurance emerges as the better overall choice. Here’s a detailed breakdown of the reasons why standard auto insurance stands out as the better choice overall:
Comprehensive Coverage: Standard auto insurance policies typically offer comprehensive coverage, including liability, collision, and comprehensive damages. This breadth of coverage ensures protection in various scenarios, providing peace of mind to drivers.
Competitive Rates for Eligible Drivers: Standard insurance policies often come with competitive rates for drivers with clean records or those meeting standard eligibility criteria. This affordability makes it an attractive option for a wide range of drivers.
Additional Benefits and Perks: Many standard insurance providers offer additional benefits, such as roadside assistance, rental car coverage, or discounts for safe driving records. These perks enhance the value of the policy beyond basic coverage.
Accessibility: Standard policies are more accessible to a broader demographic of drivers. They cater to individuals with reasonably good driving records, making it easier for most people to secure coverage without facing high premiums.
Ease of Comparison and Selection: Standard policies are easier to compare among various insurance providers. This allows drivers to make informed decisions based on rates, coverage options, and additional benefits offered by different companies.
Consistency and Reliability: Standard insurance policies are regulated and follow standardized underwriting guidelines. This consistency ensures a level of reliability and predictability in coverage terms and claims processing.
Potential for Discounts: Standard insurers often offer discounts for various factors, including safe driving, bundled policies, or loyalty programs. This potential for savings adds to the attractiveness of standard policies.
While non-standard insurance serves a crucial purpose by providing coverage to high-risk drivers or those with specific circumstances, the comprehensive coverage, competitive rates, and additional perks offered by standard auto insurance make it the preferred choice for most drivers.
What is non-standard auto insurance, and how does it differ from a standard auto insurance policy?
Standard auto insurance is available for most drivers. Non-standard auto insurance is for high-risk drivers. Usually, companies will steer some drivers toward non-standard auto insurance policies for the following reasons:
- A lapse in coverage. There is a good chance these policyholders drove without auto insurance for a period. Also, these drivers may have lost coverage due to their driving records or nonpayment. (For more information, read our “What To Do If Your Auto Insurance Gets Cancelled for Nonpayment“).
- A bad driving record. Such a record can include speeding tickets, DUIs, and other moving violations.
- SR-22 requirements. You will need to file an SR-22 if your driver’s license gets suspended for any reason. (For more information, read our “Understanding SR-22 Insurance: What is it and who is it for?“).
Auto insurance companies may also consider newer drivers high-risk.
- Newer drivers have no established driving record.
- Younger drivers (those under 25 years old) are especially at high risk of car accidents. The Insurance Institute for Highway Safety determined that teen drivers are three times more likely to be involved in fatal accidents than drivers aged at least 20 years old.
- The Centers for Disease Control and Prevention notes that teenagers are less likely to use seat belts and are more likely to engage in distracted driving, among other risky behaviors.
Like newer drivers, foreign drivers are considered high-risk. Visitors or temporary residents have not established a good driving record in the U.S., and they may not be aware of state driving laws. As a result, the risk of them getting into accidents is higher. Older drivers might be high-risk, as well.
Read more: How a Traffic Ticket Affects Your Auto Insurance Rates
Compare Insurance Providers Rates to Save Up to 75%
Secured with SHA-256 Encryption
Which companies offer non-standard auto insurance?
Where can you find non-standard auto insurance near you, and how much does non-standard auto insurance cost?
Below is a list of companies that offer non-standard auto insurance policies, and most are non-standard insurance companies. We have also included average rates based on driving records.
Rates from Non-Standard Auto Insurance Companies
| Company | Standard Rates | One Accident | One Ticket | DUI/DWI |
|---|---|---|---|---|
| 21st Century | $118.67 | $139.29 | $154.95 | $194.50 |
| Bristol West | $256.65 | $163.49 | $335.11 | $420.64 |
| Dairyland | $135.75 | $159.33 | $177.25 | $222.49 |
| Direct Auto Insurance | $174.98 | $205.38 | $228.47 | $286.79 |
| Freeway Insurance | $133.33 | $156.49 | $174.09 | $218.52 |
| GAINSCO | $124.40 | $146.11 | $162.43 | $203.89 |
| Geico | $107.95 | $126.70 | $140.95 | $176.93 |
| Hallmark | $215 | $252.35 | $280.73 | $352.38 |
| Infinity | $185 | $217.14 | $241.56 | $303.21 |
| Kemper | $244.17 | $286.59 | $318.82 | $400.19 |
| Mercury | $99.75 | $117.08 | $130.24 | $163.49 |
| National General | $269.44 | $316.25 | $351.81 | $441.61 |
| Progressive | $147.14 | $172.70 | $192.12 | $241.16 |
| Safe Auto | $161.42 | $189.46 | $210.77 | $264.56 |
| The General | $233.50 | $274.06 | $304.88 | $382.70 |
| Titan | $184.50 | $216.55 | $240.90 | $302.39 |
Of course, you will see the steepest increase in rates for DUIs.
Founders Insurance is a non-standard auto insurance company. Unfortunately, it is hard to find rates from the company, and it is only available in four states.
Read more:
- DWI: Auto Insurance Explained
- DWI vs. DUI: Auto Insurance Explained
- Direct Auto Insurance Review
- Freeway Auto Insurance Review
- GAINSCO Auto Insurance Review
- Founders Auto Insurance Review
- Kemper Auto Insurance Review
- Bristol West Auto Insurance Review
What about age-based auto insurance rates?
For example, how much is auto insurance for a 16-year-old? Take a look:
How much is auto insurance for a 16-year-old? Auto Insurance Rates by State
| State | 16-Year-Old Male | 16-Year-Old Female |
|---|---|---|
| Alabama | $3,258.62 | $2,941.44 |
| Alaska | $2,780.51 | $2,319.01 |
| Arizona | $3,140.26 | $2,684.72 |
| Arkansas | $3,506.83 | $3,096.41 |
| California | $3,575.37 | $2,943.15 |
| Colorado | $3,528.54 | $3,231.37 |
| Connecticut | $4,883.67 | $4,222.07 |
| Delaware | $3,994.73 | $3,308.01 |
| District of Columbia | $3,901.91 | $3,352.71 |
| Florida | $4,025.80 | $3,491.93 |
| Georgia | $3,772.49 | $3,204.98 |
| Hawaii | $658.62 | $658.62 |
| Idaho | $2,110.40 | $1,846.44 |
| Illinois | $2,683.87 | $2,294.32 |
| Indiana | $2,736.24 | $2,354.35 |
| Iowa | $2,895.46 | $2,438.22 |
| Kansas | $2,835.86 | $2,500.38 |
| Kentucky | $4,560.11 | $4,056.46 |
| Louisiana | $5,407.76 | $4,637.59 |
| Maine | $2,317.31 | $2,317.31 |
| Maryland | $3,192.63 | $2,674.93 |
| Massachusetts | $2,124.45 | $1,829.41 |
| Michigan | $6,254.56 | $6,187.29 |
| Minnesota | $2,694.51 | $2,170.85 |
| Mississippi | $3,104.50 | $2,694.09 |
| Missouri | $3,115.15 | $2,916.75 |
| Montana | $2,717.50 | $2,746.88 |
| Nebraska | $1,469.66 | $1,477.75 |
| Nevada | $2,775.40 | $2,327.52 |
| New Hampshire | $2,545.50 | $2,242.80 |
| New Jersey | $3,208.38 | $2,794.14 |
| New Mexico | $3,094.71 | $2,756.25 |
| New York | $3,535.78 | $3,118.55 |
| North Carolina | $4,255.70 | $3,792.50 |
| North Dakota | $2,776.68 | $2,166.59 |
| Ohio | $2,445.03 | $2,145.31 |
| Oklahoma | $3,668.61 | $3,185.39 |
| Oregon | $3,428.06 | $3,187.10 |
| Pennsylvania | $2,433.11 | $2,467.17 |
| Rhode Island | $5,012.67 | $4,267.20 |
| South Carolina | $2,931.65 | $2,634.48 |
| South Dakota | $3,117.70 | $2,631.93 |
| Tennessee | $3,860.62 | $3,405.07 |
| Texas | $3,391.03 | $2,891.21 |
| Utah | $3,023.61 | $2,691.96 |
| Vermont | $2,194.27 | $1,820.47 |
| Virginia | $2,308.79 | $1,903.91 |
| Washington | $2,767.74 | $2,499.95 |
| West Virginia | $3,098.54 | $2,608.94 |
| Wisconsin | $2,786.05 | $2,385.43 |
| Wyoming | $2,575.31 | $1,960.11 |
Rates for newer drivers can be 100 times higher than standard rates for experienced drivers. However, parents can lower teens’ monthly rates by adding teen drivers to their standard insurance policies.
Rates drop considerably once a driver turns 25.
Read more: The Full Delaware Auto Insurance Guide [Providers + Coverage]
Average Annual Auto Insurance Rates Based on Age, Gender, and Marital Status
| Company | Average annual rates single 17-year-old female | Average annual rates single 17-year-old male | Average annual rates single 25-year-old female | Average annual rates single 25-year-old male | Average annual rates married 35-year-old female | Average annual rates married 35-year-old male | Average annual rates married 60-year-old female | Average annual rates married 60-year-old male |
|---|---|---|---|---|---|---|---|---|
| Allstate | $9,282.19 | $10,642.53 | $3,424.87 | $3,570.93 | $3,156.09 | $3,123.01 | $2,913.37 | $2,990.64 |
| American Family | $5,996.50 | $8,130.50 | $2,288.65 | $2,694.72 | $2,202.70 | $2,224.31 | $1,992.92 | $2,014.38 |
| Farmers | $8,521.97 | $9,144.04 | $2,946.80 | $3,041.44 | $2,556.98 | $2,557.75 | $2,336.80 | $2,448.39 |
| Geico | $5,653.55 | $6,278.96 | $2,378.89 | $2,262.87 | $2,302.89 | $2,312.38 | $2,240.60 | $2,283.45 |
| Liberty Mutual | $11,621.01 | $13,718.69 | $3,959.67 | $4,503.13 | $3,802.77 | $3,856.84 | $3,445.00 | $3,680.53 |
| Nationwide | $5,756.37 | $7,175.31 | $2,686.48 | $2,889.04 | $2,360.49 | $2,387.43 | $2,130.26 | $2,214.62 |
| Progressive | $8,689.95 | $9,625.49 | $2,697.73 | $2,758.66 | $2,296.90 | $2,175.27 | $1,991.49 | $2,048.63 |
| State Farm | $5,953.88 | $7,324.34 | $2,335.96 | $2,554.56 | $2,081.72 | $2,081.72 | $1,873.89 | $1,873.89 |
| Travelers | $9,307.32 | $12,850.91 | $2,325.25 | $2,491.21 | $2,178.66 | $2,199.51 | $2,051.98 | $2,074.41 |
| USAA | $4,807.54 | $5,385.61 | $1,988.52 | $2,126.14 | $1,551.43 | $1,540.32 | $1,449.85 | $1,448.98 |
Of course, seniors in their early to mid-60s tend to have the lowest auto insurance rates.
How can you lower your auto insurance rates after being deemed a high-risk driver?
You may be eligible for standard auto insurance again if:
- Your state takes a major driving violation off your record.
- You have continuous auto insurance coverage for six months or longer.
- You maintain a good driving record for at least a year or however long your SR-22 period lasts.
Note that auto insurance companies have different forgiveness periods. Most companies will reevaluate their policyholders after three years. Some companies, like State Farm, have long forgiveness periods.
We hope we have answered all your questions about standard vs. non-standard auto insurance. If you’re ready to compare quotes, you can enter your ZIP code into our free quote tool below to see rates from top auto insurance companies in your area.
Compare Insurance Providers Rates to Save Up to 75%
Secured with SHA-256 Encryption
Case Studies: Standard vs. Non-Standard Auto Insurance
Case Study 1: John’s Accident
John, a 35-year-old driver with a clean driving record, was involved in a minor accident. He had a standard auto insurance policy, which provided coverage for liability, collision, and comprehensive damages. As a result, John was able to file a claim with his insurance company to cover the cost of repairing his vehicle.
The insurance company reviewed the claim and determined that John was not at fault for the accident. Consequently, they covered the repair costs in accordance with the terms of his standard policy.
Read more: Average Cost of Auto Insurance
Case Study 2: Sarah’s DUI Incident
Sarah, a 28-year-old driver, was arrested for DUI and had her standard auto insurance policy canceled. She had to seek coverage from a non-standard provider, despite her tainted driving record. She managed to secure a non-standard policy with minimum liability coverage but at much higher premiums than her previous standard policy.
Case Study 3: Mark’s Modified Car
Mark, a car enthusiast, decided to modify his vehicle extensively. He added aftermarket parts and made significant performance enhancements. When he informed his standard auto insurance company about the modifications, they informed him that his policy would no longer cover the modified components or any potential damage resulting from them.
Mark had to seek non-standard auto insurance that specialized in covering modified vehicles. He found a non-standard insurer that provided coverage for his modified car but at a higher premium than his previous standard policy.
Read more: Do aftermarket parts affect insurance?
Case Study 4: Maria’s High-Risk Driving History
Maria, a 42-year-old driver, had a history of multiple speeding tickets and at-fault accidents. Her standard auto insurance policy provider deemed her too high-risk to insure and canceled her coverage. Maria had to turn to a non-standard auto insurance company that specializes in covering drivers with poor driving records.
While she was able to secure coverage, the premium for her non-standard policy was significantly higher due to her high-risk status.
Case Study 5: Tom’s Classic Car
Tom owned a classic car that he cherished. He wanted to ensure his prized possession was adequately protected. However, his standard auto insurance policy didn’t account for the unique value and limited production of his classic car. Tom had to switch to a non-standard auto insurance company that specialized in covering classic and vintage vehicles.
The non-standard policy offered agreed-value coverage, which provided coverage based on the car’s appraised value. Although the premium was higher than his previous standard policy, it gave Tom the peace of mind he desired.
Case Study 6: Jessica’s Ridesharing Gig
Jessica started working as a rideshare driver using her personal vehicle. Her standard auto insurance policy did not provide coverage while she was engaged in rideshare activities. Recognizing the need for additional coverage, Jessica obtained a non-standard auto insurance policy that included coverage for rideshare use.
The non-standard policy ensured that she was adequately protected during her work hours as a rideshare driver, giving her and her passengers peace of mind.
Frequently Asked Questions
What is the difference between standard and non-standard auto insurance?
Standard auto insurance refers to the typical coverage options offered by most insurance companies, based on standardized underwriting guidelines. Non-standard auto insurance, on the other hand, is designed for drivers who are considered high-risk and may not meet the eligibility criteria for standard coverage.
Who is considered a high-risk driver?
High-risk drivers are individuals who are more likely to file claims or have a history of accidents, violations, or other factors that make them riskier to insure. This can include drivers with multiple traffic violations, DUI convictions, a poor credit history, or a lack of driving experience.
Why would someone need non-standard auto insurance?
Drivers who have been classified as high-risk or have difficulty obtaining coverage from standard insurance providers may need non-standard auto insurance. It provides an option for individuals who may not meet the typical eligibility requirements or have a less favorable driving record.
What types of coverage are available with non-standard auto insurance?
Non-standard auto insurance typically offers similar coverage options as standard policies, such as liability coverage, collision coverage, comprehensive coverage, and uninsured/underinsured motorist coverage. However, the terms and conditions of the coverage may differ and can be more expensive due to the higher risk associated with the insured driver.
Are non-standard auto insurance policies more expensive?
Yes, non-standard auto insurance policies are generally more expensive than standard policies. Since non-standard insurance providers cater to higher-risk drivers, the premiums are often higher to account for the increased likelihood of claims. The rates can vary depending on factors such as the driver’s risk profile, driving history, and the insurance company’s pricing policies.
Compare Insurance Providers Rates to Save Up to 75%
Secured with SHA-256 Encryption
Scott W. Johnson
Licensed Insurance Agent
Scott W Johnson is an independent insurance agent in California. Principal Broker and founder of Marindependent Insurance Services, Scott brings over 25 years of experience to his clients. His Five President’s Council awards prove he uses all he learned at Avocet, Sprint Nextel, and Farmers Insurance to the benefit of his clients. Scott quickly grasped the unique insurance requirements of his...
Licensed Insurance Agent
Editorial Guidelines: We are a free online resource for anyone interested in learning more about auto insurance. Our goal is to be an objective, third-party resource for everything auto insurance related. We update our site regularly, and all content is reviewed by auto insurance experts.