Moving violations, such as speeding tickets, and accidents, especially when you are at-fault and claims are placed against your policy, can affect your insurance rates. How much having a "bad" driving record will affect your rates, or even your ability to keep your insurance policy will depend upon state laws and your insurance provider's own guidelines.
Insurance companies normally have their own rating system, which they must file with the state's insurance regulator. They also have their own guidelines for deciding when to cancel or not renew a policy, but they must adhere to state insurance laws.
Colorado laws restrict the mid-term cancellation of a policy, except for the following reasons:
- Non-payment
- A driver's license is suspended or revoked
- An insured knowingly made a false statement on a claim
- Insured knowingly made a false statement on the application.
If the insurance company cancels your policy, the premium will be prorated without any penalty to you, but the reason for cancellation must be in compliance with Colorado Revised Statute 10-4-602 as listed above.
So your driving record should not cause you to get your policy canceled mid-term but depending upon your insurance company, Farmers, underwriting guidelines you may be up for non-renewal when your current policy time period ends. You should be able to find out from your insurance agent if your policy will be renewed or not. Either way you may want to start comparison shopping around for auto insurance now. You can being by getting a Colorado car insurance quote here with us.