What might cause a driver to be classified as "high-risk" by an insurance company?

A driver may be classified as "high-risk" by an insurance company primarily due to a history of traffic violations and accidents. This classification is based on the statistical likelihood that such drivers may file a claim, which represents a higher financial risk for insurers. When a driver has multiple infractions — such as speeding tickets, DUIs, or at-fault accidents — it indicates a pattern of risky behavior behind the wheel. Insurance companies evaluate this data to determine premium rates; drivers with a high-risk classification will usually face higher premiums to offset the potential costs to the insurer from claims.

In contrast, a clean driving record would signal to insurers that the driver poses a lower risk, while owning a high-performance vehicle may influence the cost of insurance but does not directly imply reckless driving behavior. Having a long history with the same insurer can be beneficial and lead to discounts, further indicating low risk rather than high risk. Hence, the presence of past incidents of traffic violations and accidents directly correlates with a high-risk classification.