Poor road conditions and bad traffic in a policyholder's area can contribute to higher auto insurance premiums.
Areas with high-density traffic can have a higher likelihood of accidents and traffic violations, and insurers use both to gauge a driver's risk. Speeding, reckless driving and accidents caused by traffic congestion can raise premiums between 10% and 95%, depending on the severity of the violation. If a driver files a claim or has one filed against them, it can increase their premium for years.
Poorly maintained roads can also boost premiums. Potholes, damaged surfaces and poor lighting can cause more accidents and increase the risk of vehicle damage. Insurers analyze claims data by zip code. In areas that have a higher frequency of claims due to poor infrastructure, all drivers living in that are could see higher premiums.
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