Do parking tickets affect your insurance rates?

Citations that impact auto insurance rates fall into two categories: moving and non-moving violations. Parking tickets count as non-moving violations, which have little impact on premiums since they do not reflect your driving behavior. Other non-moving violations include expired tags, broken tail lights, and missing license plates.

On the other hand, moving violations, such as speeding, aggressive driving, and running a stop sign, can significantly affect your insurance rates. These violations result in more serious penalties, like higher fines, points on your record, and increased premiums.

Even though parking tickets won’t directly affect your insurance rate, you should still take them seriously. Ignoring them leads to more serious repercussions.¹

Penalties for Unpaid Parking Tickets

While parking tickets don’t show up on your driving record, leaving them unpaid can lead to consequences, including:

• Increased fines: Late fees can cause you to face double or triple the original fine for your parking ticket.
• Driver’s license suspension or hold on vehicle registration: If the issuing agency reports your unpaid ticket to the Department of Motor Vehicles, your driver’s license may be suspended, or a hold may be placed on your vehicle registration.
• Arrest: An unpaid parking ticket can result in a court notice in some states. Ignoring it may lead to a bench warrant for your arrest, meaning law enforcement can arrest you if they spot you.
• Booted vehicle: You may have a device attached to the wheel of your car to keep you from driving. Once you pay the parking ticket, you can have the device removed.²

Impact on Credit Score

Additionally, unpaid tickets can negatively affect your credit score. Delinquent tickets may be sent to collections and negatively impact your credit. Most states allow providers to use your credit score to determine premiums, except for California, Hawaii, Massachusetts, and Michigan, so if your credit score takes a hit for failing to pay parking tickets, your insurance premiums could go up, too. For example, in New York, drivers with poor credit pay twice as much on average for car insurance than those with good credit.

Always double-check street signs while parking and follow the sign with the strictest limits. If you’re unsure, ask passersby if they’re familiar with local parking restrictions. Avoid parking in prohibited areas, including red curbs, crosswalks, and within 15 feet of a fire hydrant.

When parking at a meter, be sure to keep it fully paid. Many meters have time limits, so set a reminder on your phone to return before the meter expires. If you’re using an app-based meter, you may be able to extend your time directly from your phone. In some cases, if you return to your car with time left, stopping the meter early can refund you for the unused minutes.

When in doubt, opt for paid parking in a lot or garage. While it may cost more upfront, it’s often less than the price of a parking ticket. Many garages also offer a flat fee after a certain number of hours, allowing you to enjoy your outing without worry.

Pay Immediately

If you receive a parking ticket, the best way to prevent it from affecting your premiums is to pay it promptly. Paying the fine helps you avoid further complications, such as additional fees, collections, or license suspension.

Appeal Your Ticket

You can appeal a parking citation if you believe it was unfairly issued. The DMV typically allows you to request an administrative review to contest your ticket. If granted a review, provide evidence, such as photos of a broken meter or a partially hidden parking sign. You can also request the court to lower the fine or give you more time to pay if necessary.

Get a Payment Plan

If you can’t pay the full amount upfront, some cities offer payment plans for parking tickets. For example, Chicago has an online payment plan for drivers, while Los Angeles allows low-income individuals to request an Installment Payment Plan (IPP) by submitting income information.³

Parking tickets won’t directly affect your insurance rates since they are considered non-moving violations. However, failing to pay can lead to increased fines, penalties, and potentially higher premiums. If you receive a ticket, take steps to prevent the situation from escalating by paying promptly, filing an appeal, or opting for a payment plan.