Your relationship with your insurer is created by the insurance policy you have, the premiums you pay, and the amount of risk you bring to the insurer through your anticipated future behavior behind the wheel. How does the insurance company decide what they think your future behavior will be? By looking at your past behavior. What you have done in the past is generally a good indicator of what you will do in the future.

There are four types of policies you might be issued based on that past behavior:

• Non-Standard Insurance
  
• Standard Insurance
  
• Preferred Insurance
  
• Ultra Preferred Insurance

Each of these types of auto insurance policies is issued based on your behavior behind the wheel prior to applying for the insurance.

Non-Standard Insurance: issued to higher risk clients with a long history of traffic violations. Offers a more expensive premium than other car insurance policies.

Standard Insurance: issued to average people with some traffic violations, but no more than the average person. Has an average insurance premium.

Preferred Insurance: issued to people with fewer than normal violations in their history. Offers the insured a discount on their car insurance premiums.

Ultra Preferred Insurance: issued to people with abnormally perfect driving records. Gives the drivers a large discount on their coverage.