Yes, your insurance rates will almost certainly go up after a license suspension
A suspended license is treated by insurance companies as a serious violation of traffic law. When your insurer finds out — and they will, because they check your driving record regularly — they will raise your rates, sometimes substantially. The increase depends on why your license was suspended, how long the suspension lasts, and your insurer's own underwriting rules, but expect rates to climb by 20 to 100 percent or more.
Some insurers will not renew your policy at all once they learn of a suspension. Others will offer renewal but at a much higher rate. A few will drop you mid-policy if the suspension happens after you buy coverage. The timing matters: if you get suspended after your policy renews, the rate hike usually takes effect at your next renewal date, not when ready.
Key Takeaways
- Insurance companies check your driving record regularly and will discover a license suspension, usually within weeks of the suspension taking effect.
- Rates typically rise 20 to 100 percent or more depending on the reason for suspension and your insurer's underwriting standards.
- Some insurers will not renew your policy at all; others will renew at a higher rate or drop you mid-policy if the suspension occurs after purchase.
- You are required by law to maintain insurance even with a suspended license, and driving without it creates additional legal and financial liability.
- The rate increase usually lasts three to five years from the suspension date, even after your license is reinstated.
Why insurers treat suspensions as high-risk
Insurance companies use your driving record to predict how likely you are to file a claim. A suspension signals that you have broken traffic law seriously enough that the state took away your right to drive. This is a much stronger signal of risk than a single ticket.
The reason for the suspension matters to insurers. A suspension for unpaid traffic fines or failure to appear in court is treated differently than a suspension for DUI, reckless driving, or accumulating too many points. DUI suspensions trigger the largest rate increases because they correlate with the highest claim frequency and severity. A suspension for administrative reasons — like not paying child support or failing to maintain insurance — is still serious but may result in a smaller increase than a criminal traffic violation.
Insurers also see suspension as evidence that you may drive illegally. Some suspended drivers continue to drive anyway, which means they are uninsured or underinsured when they cause an accident. This uncertainty makes insurers charge more to cover the added risk.
When the rate increase takes effect
If your license is suspended after you buy a policy, your current rate usually stays in place until your renewal date. At renewal, the insurer will pull your updated driving record, see the suspension, and quote you a new rate. You will receive a notice of the rate change before your policy renews, typically 30 to 60 days in advance.
If you shop for insurance after your suspension is already on your record, every quote you receive will reflect the suspension. You cannot hide it — insurers always ask about suspensions and check the state's driving record database to verify your answer.
If your suspension happens very close to your renewal date, some insurers may cancel your policy outright rather than renew it at a higher rate. In that case, you will need to find a new insurer, which will be more difficult and more expensive because you are now a higher-risk customer.
How long the rate increase lasts
The suspension itself is temporary — your license will be reinstated after you meet the state's conditions (paying fines, completing a program, waiting out the suspension period, or some combination). But the rate increase lasts much longer than the suspension.
Most insurers keep the suspension on your record for three to five years from the date it was imposed, not from the date your license was reinstated. So even after you get your license back and can legally drive again, you will still pay the higher rate for several more years. Some insurers use a longer lookback period, especially for DUI suspensions, which can affect your rates for seven to ten years.
After the suspension falls off your record, your rates will not automatically drop. You will need to ask your insurer for a new quote or shop around to find a better rate. Many drivers do not realize this and continue paying the inflated rate indefinitely.
You still need insurance while your license is suspended
This is a critical point: you are legally required to maintain active auto insurance even though you cannot legally drive. If your license is suspended, you cannot use the car on public roads, but you still own it, and most states require you to carry liability coverage on any vehicle you own.
Some insurers will let you keep your policy active during a suspension. Others will cancel it. If your insurer cancels, you will need to find another one willing to insure a suspended driver. This is harder and more expensive, but it is necessary — driving without insurance on top of a suspended license creates massive legal and financial exposure.
If you cannot drive during the suspension, you can ask your insurer about a non-owner policy, which covers you if you rent a car or borrow one. This is cheaper than a standard policy and keeps you insured without a vehicle registered in your name. However, not all insurers offer non-owner policies, and some will not sell one to a suspended driver.
Shopping for insurance after a suspension
Once your license is suspended, your options narrow. Standard insurers — the ones most people use — will either drop you or charge rates 50 to 150 percent higher than before. You will need to look at high-risk insurers, also called non-standard carriers, which specialize in drivers with suspensions, DUIs, accidents, and other violations.
High-risk insurers charge more, but they are your main option while suspended. Some names you may encounter include Acceptance Insurance, Bristol West, Direct General, and Infinity. These companies exist specifically to insure drivers that standard carriers will not take. Rates are higher, but coverage is real and legal.
Get quotes from at least three insurers before buying. Rates vary widely, and a high-risk insurer that is expensive for one driver may be reasonable for another. Also ask whether the insurer will renew you after your suspension is lifted — some will not, which means you will have to shop again.
What happens if you drive without insurance during a suspension
Driving with a suspended license is already illegal. Doing it without insurance adds a second serious violation. If you are stopped, you face fines for both the suspended license and the lack of insurance. In most states, driving without insurance is a misdemeanor, and you can be arrested.
If you cause an accident while driving on a suspended license without insurance, you are personally liable for all damages — medical bills, vehicle repairs, lost wages, pain and suffering. The other driver's insurance company will sue you to recover what they paid out. You could lose your wages, bank account, and assets. This is why maintaining insurance is non-negotiable, even during a suspension.
Frequently Asked Questions
Will my insurance company find out about my suspension?
Yes. Insurance companies pull your driving record regularly — usually every six months to a year, and always at renewal. Most suspensions show up within weeks. You cannot hide it, and lying about it on your process gives the insurer grounds to cancel your policy and deny claims.
Can I get insurance from my current company after suspension, or do I have to switch?
It depends on your insurer's underwriting rules. Some will renew you at a higher rate. Others will not renew and will send you a non-renewal notice. If they drop you, you will have to find a new insurer, usually a high-risk carrier. Check your policy documents or call your agent to ask their suspension policy before it happens.
Does the rate go back down once my license is reinstated?
Not automatically. Your rates will stay high for three to five years after the suspension date, even after your license is restored. After that period, you can shop around or ask your current insurer for a new quote. Many insurers will lower your rate once the suspension ages off your record, but you have to ask.
What if I do not drive during my suspension — can I pause my insurance?
Most states require you to maintain liability coverage on any vehicle you own, even if you do not drive it. You cannot legally pause or cancel your policy. You can ask about a non-owner policy if you will not be driving, which is cheaper, but you must have some form of active coverage.
How much will my rates go up?
It varies by the reason for suspension, your age, location, and your insurer's underwriting standards. DUI suspensions typically result in the largest increases — 50 to 150 percent or more. Administrative suspensions may result in smaller increases. Get quotes from multiple insurers to see the actual numbers for your situation.