Will a MIP Violation Affect Car Insurance Rates?
Do auto insurance companies take into account offenses like Minor in Possession when setting rates?
Car insurance after a MIP
A MIP — or Minor in Possession — occurs when an individual under the age of 21 is found in possession of alcohol. Although this infraction is taken seriously and charged as a misdemeanor in most states, a MIP usually does not affect car insurance premiums. Because a Minor in Possession violation is not specifically related to driving, auto insurance companies don't consider it a black mark on one's driving record. However, a MIP can come with complicated consequences, including driver's license suspension or a ticket that labels a driver high-risk and could affect insurance rates. Let’s explore the best steps to take to ensure your car insurance after a MIP stays affordable.
When can a MIP affect car insurance premiums?
A MIP usually doesn’t affect car insurance costs, because it is not considered a driving offense. However, it's important to be aware of the indirect consequences of a MIP. Chief among these concerns is the suspended driver's license that can come as a result of a Minor in Possession.
Your license can be suspended after a MIP if you fail to appear in court or neglect mandated community service or fines. A suspended driver's license will have major implications on your insurance premiums. To avoid any rate changes, ensure you complete any court-ordered requirements as promptly as possible.
Underage drinking and car insurance rates
If a young driver is caught with a BAC level exceeding 0.00, they’ll be ticketed for a DUI or DWI. For a teenager, a violation of this severity can double car insurance premiums.
On average in 2017, a DUI/DWI raised car insurance rates by 77%. The financial impact of the violation can linger for three to five years in most states, while in California, a DUI/DWI will increase your car insurance rate for 10 years. Below are estimated car insurance rates after a DUI charge.
| Violation + Year | Average Annual Premium |
|---|---|
| None | $1,427 |
| First Year with DUI | $2,520 |
| Second Year with DUI | $3,278 |
| Third Year with DUI | $4,371 |
| 10th Year with DUI | $12,020 |
Additional resources
Car insurance rates shouldn’t change after a MIP unless requirements specifically related to the charge are neglected and your license is suspended. If you responsibly complete your obligations in the wake of a MIP, your car insurance costs might not go up! Remember, when your rates do go up, it's a good idea to compare car insurance quotes to ensure you are getting the best deal.
Weigh your options and get the best value from your next insurance policy.
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- What's the difference between DUI and DWI?
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- Car Insurance with Expired Registration
About The Zebra
The Zebra is not an insurance company. We publish data-backed, expert-reviewed resources to help consumers make more informed insurance decisions.
- The Zebra’s insurance content is written and reviewed for accuracy by licensed insurance agents.
- The Zebra’s insurance content is not subject to review or alteration by insurance companies or partners.
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- The auto insurance rates published on The Zebra’s pages are based on a comprehensive analysis of car insurance pricing data, evaluating more than 83 million insurance rates from across the United States.