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Parking tickets are non-traffic infractions and therefore do not typically affect your auto insurance. Repeated parking tickets do not appear on your driving record or get flagged as a risk factor for insurance companies. However, unpaid tickets sent to collection agencies can affect your credit and, in most states, can increase your insurance premiums. Understanding which rate factors insurance companies look at most can help you deal with parking tickets and avoid higher premiums.
When parking tickets affect your insurance premiums
Because parking tickets are non-traffic infractions, they typically don’t affect your auto insurance rates — at least not directly. For example, you may receive a parking ticket if you forget to pay the meter or park in the wrong place. The good news is that these tickets aren’t typically attached to your driver’s license, reported to your state’s DMV, or disclosed to your auto insurance company. However, if you don’t pay these tickets within the specified time period, the impact on your credit could ultimately affect the cost of your auto insurance.
Will a parking ticket increase my insurance premiums?
Parking tickets rarely affect insurance. Insurance companies look for traffic violations, such as speeding tickets, as indicators of risky driving. Improper parking, on the other hand, doesn’t indicate how safe or risky a driver is, only how diligent they are in finding a suitable, legal parking spot. Parking in the wrong place is unlikely to result in an accident or an insurance claim.
However, if an unpaid parking ticket is sent to a collection agency, it could affect your credit-based insurance score. Most auto insurance companies look at your credit rating to determine whether to insure you and how much your car insurance will cost, which means that unpaid parking tickets could affect your insurance rates.
However, some states, including California, Hawaii, and Massachusetts, have laws that prohibit auto insurance companies from using your credit score when calculating your premiums. In these states, an unpaid parking ticket likely won’t affect your auto insurance rates.
How to avoid insurance premium increases due to parking tickets
If you receive a parking ticket, it’s usually best to take action immediately. If you delay paying the ticket, you could be assessed late fees or even risk having your vehicle impounded by the city.
Rather than ignoring the ticket, consider the following options:
- If you believe the ticket was a mistake, send a letter to City Hall as soon as possible explaining why you believe the ticket is unjustified under the circumstances. Attach a copy of the ticket, your contact information, and supporting evidence such as photos of a broken meter or a partially covered or damaged “No Parking” sign.
- If you can’t pay your fines right away, talk to your city or county about a payment plan or other arrangement. The city may be able to freeze any further late fees so that you don’t fall behind on payments for your outstanding fines.
- Ask family and friends to lend you the money for your tickets, so you can pay them back without worrying about late fees or collections.
How to avoid a parking ticket
The best way to avoid getting a parking ticket is to be careful where you park. Look carefully at nearby signs to see if parking is permitted in the area. Some areas have time restrictions, or only allow parking at certain times or on certain days of the week.
If you park in a metered lot, bring extra coins and make sure you keep track of the time you pay for parking. Set a timer on your phone to help you remember. Remember that you may need to allow a few extra minutes to get back to your car or add coins to the meter.
If you park in a spot with a broken parking meter, it may be difficult to prove to the local parking attendant that the meter was broken. In this case, consider parking somewhere else if possible.
Finally, if you regularly receive parking tickets near your home or workplace, consider alternatives such as renting a parking space in a garage, asking your employer for parking assistance, or taking public transportation instead.
Other Parking Ticket Penalties
While parking violations usually don’t affect your car insurance rates, here are some things that could happen if you don’t pay your parking ticket:
Boots on wheels
Some municipalities may put boots on your car’s wheels to prevent the tires from moving until the ticket is paid. In addition to paying the ticket, you may also have to pay the cost of removing the boots, which can cost as much as $142 in metropolitan areas like New York City.
Late fees
Late fees for unpaid parking tickets can be costly. If you don’t pay your ticket on time, you may have to pay a hefty late fee, sometimes up to double the amount of the original fine. In some areas, there are laws that cap the amount of late fees that municipalities can charge, but you may not want to risk racking up late fees for your violations.
Towed
If your car is towed and impounded after receiving multiple parking tickets, be prepared to pay a significant amount to get it back. For example, if your car is impounded in New Orleans, you’ll likely have to pay several fees to get your car back, including the parking ticket, $19 per day (up to $500), and a $161 towing fee.
