How Can Driving Behaviour Impact Your Car Insurance Premium

How Can Driving Behaviour Impact Your Car Insurance Premium?

Are you aware that your car insurance company may assess a premium based on how you drive? If not, continue reading to see how your driving abilities may affect your auto insurance cost.

Maintaining a spotless driving record has become difficult due to the unpredictable nature of traffic and road construction. But there are advantages to having a spotless driving record. For instance, having a clean driving record can lower your vehicle insurance costs.

Before heading to the reasons how it impacts your driving record, let’s discuss what driving behavior exactly means!

What Is a Driving Record?

All a driving record is simply a history of your driving. A driving report contains all the information, including identifying information, the number on the driver’s license, challans, and fines received information about traffic infractions and accident history. Your driving style is also reflected in your driving history. A spotless driving record indicates that you adhere to traffic laws and regulations and drive safely.

As a record of your driving behavior overall, having a clean driving history is advantageous. If you have a clean driving record, your license will not have any black marks on it. Additionally, having a spotless driving record is advantageous when purchasing auto insurance and when filing insurance claims.

How Does Driving Record Affect Car Insurance?

One of the most important considerations when it comes to car insurance coverage is driving history. Your insurance premium may vary depending on your driving record. A summary of your driving history can be obtained by an insurance provider to assess the risk associated with insuring your car.

Your car insurance price may increase if your driving record is not very good. Therefore, maintaining a clean driving record lowers insurance rates and helps when filing a claim. Additionally, it is even simpler to negotiate a lower rate for your auto insurance policy if you are purchasing it online.

The country’s insurance regulator, IRDAI (Insurance Regulatory and Development Authority of India), is working to encourage safe driving practices. According to the new regulation, insurance providers may now base their rates on the “pay as you drive” and “pay how you drive” concepts.

  • Pay as you drive

As a result, car owners will be able to pay for insurance coverage based on how much they use it. The vehicle’s owner must declare its intended use before it may be tracked via geotagging. Insurance firms will need to explain the claim procedure if a consumer exceeds the declared usage.

  • Pay how you drive

Depending on how you operate the vehicle, this will happen. Customers can choose to have their driving activity, including speed, mileage, and other factors, tracked in real-time. Based on these criteria, insurance firms can choose the premium.

Tips to Reduce Your Car Insurance Premium

Here is a list of tips to reduce your car insurance premium.

  1. Stay Calm in Traffic

Accidents can also occur due to traffic congestion. When drivers see traffic, they accelerate quickly and attempt to pass each other by cutting each other off. In the end, getting there requires patience. Try to be courteous to make your journey more enjoyable and contribute to accident prevention. Keep a safe gap between your car and the one in front of you as well. Avoid unnecessary honking; it merely makes a scene in the midst. To stay safe on the road, turn signals should be used.

  1. Do Not Rush

Another essential piece of advice is to never haste. Another reason for car accidents is excessive speeding. Observe all posted speed restrictions. Take your time and learn defensive driving skills to help you avoid having to slam on the brakes and bring the car to a stop.

  1. Never go out while you’re tired.

One of the common causes of traffic accidents is fatigue. Before starting your journey, make sure you’ve had enough sleep. Unease and agitation can cause you to stray from the path or make it difficult for you to keep your eyes open. So, get some rest to lower your chance of accidents.

  1. Follow the Rules

Always abide by the laws and regulations governing traffic. Traffic infractions, including speeding, running red lights and driving while intoxicated, can damage your driving record and result in heavy fines, which is also bad for your record. Follow the requirements to maintain a spotless driving record.

  1. Pay the penalties

You will receive a ticket or penalties if you break a traffic law. You prevent additional penalties and make sure to pay the fines by the deadline. Maintaining a spotless driving record is made easier by the timely payment of fines.

Benefits of a Clean Driving Record

A clean driving record has its benefits. The advantages of having a spotless driving record are listed below:

  1. Reduced Insurance Premium: Safe driving practices and a clean driving record equate to lower risk. When you purchase or renew a car insurance policy, the premium is lower if there is a low-risk factor.
  1. Discounts: The insurance provider will give you a discount known as a No Claim Bonus if you are a safe driver and have never filed a claim. The NCB will lower the insurance premium when you renew your auto insurance.

How To Check Your Driving Record?

Now that you are aware of how important having a spotless driving record is, you may be wondering how to obtain your own. Getting your driving history is rather easy. To request a driving license (DL) history, you must go to your local RTO (Regional Transport Office). You will receive all the details, including the DL’s issuance date and any black markings on the document caused by an accident or traffic infraction.

  • You can also check your driving history online by going to RTO’s official website.
  • You can check for any challans issued or any traffic offenses you’ve incurred by entering your DL number. If any fines are owed, you can also pay the challans online.
  • You can also enter your vehicle’s registration number at the same time to see if any challans have been issued about it. This method can be used to check fines for excessive speeding, signal jumping, etc.


To make roadways safer, there exist traffic laws and regulations. Safe driving is advantageous to both you and other road users. Safe driving practices result in a spotless driving record, which is crucial in terms of car insurance. A clean driving record lowers insurance costs and is beneficial when filing claims. You may keep a clean driving record by abiding by the law and driving sensibly on the road. This is beneficial when purchasing or renewing car insurance.

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