Can an auto insurance company deny you coverage? (Details for 2025)
Can an auto insurance company deny you coverage? Yes, about 5% to 15% of applicants are denied due to issues like a poor driving record, low credit score, or coverage gaps. If you cannot get car insurance, try a high-risk insurer or apply through a state-assigned risk pool in your area.
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Tim Bain
Licensed Insurance Agent
Tim Bain is a licensed insurance agent with 23 years of experience helping people protect their families and businesses with the best insurance coverage to meet their needs. His insurance expertise has been featured in several publications, including Investopedia and eFinancial. He also does digital marking and analysis for KPS/3, a communications and marking firm located in Nevada.
Licensed Insurance Agent
UPDATED: Apr 30, 2025
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Advertiser Disclosure: We strive to help you make confident auto insurance decisions. Comparison shopping should be easy. We are not affiliated with any one auto insurance provider and cannot guarantee quotes from any single provider. Our partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different companies please enter your ZIP code on this page to use the free quote tool. The more quotes you compare, the more chances to save.
Editorial Guidelines: We are a free online resource for anyone interested in learning more about auto insurance. Our goal is to be an objective, third-party resource for everything auto insurance related. We update our site regularly, and all content is reviewed by auto insurance experts.
UPDATED: Apr 30, 2025
It’s all about you. We want to help you make the right coverage choices.
Advertiser Disclosure: We strive to help you make confident auto insurance decisions. Comparison shopping should be easy. We are not affiliated with any one auto insurance provider and cannot guarantee quotes from any single provider. Our partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different companies please enter your ZIP code on this page to use the free quote tool. The more quotes you compare, the more chances to save.
On This Page
Can an auto insurance company deny you coverage? Yes, they can, especially if you are a high-risk driver. People who can’t get insurance with one or more companies may have poor driving histories, bad credit, or a vehicle that’s more of a risk to cover. Around 15% of car insurance applications are typically denied, often due to these factors.
If you can’t get car insurance because of accidents, DUI, or multiple tickets, you may need to turn to a high-risk or nonstandard car insurance provider for help.
- Any car insurance company has the right to deny you coverage
- Denial can result from violations, at-fault accidents, DUIs, or coverage lapses
- Know why you were denied to avoid long-term high-risk rates
If you’re still wondering, “Why am I being denied car insurance?” keep reading to learn more reasons why auto insurance providers typically deny applications and what to do if no one will insure you. Then, use our free quote comparison tool to find the cheapest auto insurance companies for high-risk drivers near you.
Auto Insurance Providers Can Deny You Coverage
A common question we get from drivers is, “Can auto insurance companies deny coverage?” The answer is yes. Car insurance providers can deny your application for coverage.
So, why would an insurance company refuse to insure you? Car insurance companies can refuse to cover individuals for many reasons. For example, companies are more likely to deny coverage if you’re considered more likely to file a claim.
What makes someone uninsurable for car insurance? Many companies deny auto insurance coverage if a person has a poor driving record, including drivers with:
- Multiple traffic tickets or violations
- Speeding tickets
- One or more at-fault accidents
- A DUI or DWI
- A lapse in coverage
Having negative items on your driving record indicates that you may be more of a risk in terms of car insurance coverage. Still, some insurance companies may deny coverage for less obvious reasons.
Some companies are wary of insuring teen drivers or drivers over 70. Other insurance companies may deny coverage if you have a poor credit score or are too young to have a credit score. Additionally, many companies may deny coverage if you have a vehicle that’s a risk to insure. Learn more about auto insurance companies for people with bad credit.
Car Insurance Denied Coverage by Gender
Can an insurance company refuse to insure you due to your gender? While it’s true that insurance companies consider various factors when determining coverage and premiums, they usually can’t deny you just because of your gender.
A lot of states have laws that ban that kind of discrimination. For example, places like California, Hawaii, Massachusetts, Michigan, North Carolina, Pennsylvania, and Montana don’t allow insurance companies to use gender when setting rates or deciding on coverage. Learn more about Montana state laws and how to find cheap car insurance in Montana.
Car insurance companies may not inform you why your application for coverage was denied. If you are unsure why you were denied coverage, you can contact a representative from the company you applied with and ask for more specific information.
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What to Do if You’re Denied Car Insurance or Can’t Get a Quote
So now that you know the answer to, “Why am I ineligible for car insurance?” you may be wondering what to do if no car insurance will take you. Car insurance companies reserve the right to deny anyone coverage.
So if you were denied insurance but still need coverage to drive, you still need to find an insurance company that will help. However, if you were denied by one insurance company, it could have been an isolated incident.
Read More: Does a denied claim affect auto insurance rates?
What happens if a person cannot get auto insurance? If you’re unable to get car insurance, you should attempt to get multiple auto insurance quotes from other companies in your area. Each insurance company evaluates factors differently, so you may find that one company is willing to offer coverage while another is not.
If one insurer denies you, it doesn’t mean others will. An agent can help you find companies that specialize in high-risk drivers.Jeff Root Licensed Insurance Agent
You can contact an insurance agent to help if you’re unable to get a car insurance quote. Insurance agents may have a better understanding of companies that will cover you based on your unique situation and needs.
Tips for Finding Car Insurance After Being Denied
You might be thinking, “What should I do if no car insurance will accept me?” If you attempt to get car insurance and are denied, there are a few things you can do to try and find coverage in your area.
Shop Online
Find and compare the best car insurance quotes from several companies online (Read More: How to Find Affordable Auto Insurance Rates Online). If you’re wondering, “Why are car insurance companies denying me?” keep shopping for coverage with other providers and consider nonstandard or high-risk insurers if necessary.
Companies consider different factors when determining a person’s car insurance rates and whether they’re eligible for coverage. Shopping online and comparing options is a good way to determine which companies will offer the coverage you need at a price that works with your budget and meets your needs.
Search for High-Risk Coverage
If you’re a high-risk driver, you may be wondering, “What should I do if no one will insure my car?” You may need nonstandard coverage. Check out the table below to see how much you could expect to pay for high-risk auto insurance.
Auto Insurance Monthly Rates for High-Risk Drivers
| Insurance Company | Clean Record | One Accident | One DUI | One Ticket |
|---|---|---|---|---|
 | $228 | $321 | $385 | $268 |
 | $166 | $251 | $276 | $194 |
 | $339 | $525 | $585 | $427 |
 | $198 | $282 | $275 | $247 |
 | $114 | $189 | $309 | $151 |
 | $161 | $235 | $239 | $194 |
 | $248 | $335 | $447 | $302 |
 | $164 | $230 | $338 | $196 |
 | $150 | $265 | $200 | $199 |
 | $123 | $146 | $160 | $137 |
Can you be uninsurable? Yes, some of the things that might make you an uninsurable, high-risk driver include:
- Being a teenager or young adult driver
- Having little to no experience behind the wheel
- Multiple traffic violations
- One or more at-fault accidents
- A DUI or DWI
Other red flags, like a reckless driving conviction, poor credit, or a lapse in coverage, can also make it harder to find affordable insurance or get approved at all. Still, some companies, like Geico and State Farm, offer coverage to high-risk drivers in certain instances. You can shop online and compare quotes from companies that offer coverage to high-risk drivers to see if one company might work for you.
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Major insurance companies may not provide coverage to high-risk drivers, but their subsidiaries do. If this is the case, you might find information online to help you determine which companies or their subsidiaries can insure your vehicle. Find the best auto insurance companies for high-risk drivers.
Consider State Assistance
If you can’t get approved for car insurance, you may be eligible for coverage through your state (Read More: Government Assistance Programs for Low-Income Drivers).
State car insurance coverage typically comes through a state-assigned risk pool. You’ll need to be denied by a certain number of private auto insurance companies before you’re eligible for state coverage.
State-Sponsored Car Insurance Assistance Programs
| State | Program Name | Monthly Rates | Who Qualifies |
|---|---|---|---|
| California | California Low Cost Auto Insurance (CLCA) | $46 | Income ≤ 250% of the federal poverty level, good driving record, car valued ≤ $25,000 |
| Hawaii | Hawaii Joint Underwriting Plan (HJUP) | Varies (based on risk and insurer in the state pool) | Drivers unable to get insurance through standard carriers; often for high-risk drivers |
| New Jersey | Special Automobile Insurance Policy (SAIP) | $30 | Medicaid recipients with hospitalization coverage |
| Maryland | Maryland Auto Insurance (formerly MAIF) | $250 | Residents denied coverage by private insurers; must have valid license and vehicle registration |
With state-assigned coverage, your rates will likely be significantly higher than if you found coverage through a private insurance company. Still, this coverage would allow you to drive your vehicle in your state legally.
Change Your High-Risk Status
Companies that see you as less of a risk will offer you proper auto insurance coverage at a reasonable price.
As a high-risk driver, the best thing you can do is improve your status to purchase standard auto insurance coverage eventually. Take a safe or defensive driving course, enroll in a usage-based car insurance program, and keep your driving record clean.
Over time, you’ll find that insurance companies are willing to offer you more competitive rates for car insurance coverage.
Get on Someone Else’s Policy
If you’re a teen driver or you live in the home with someone who has a car insurance policy, you may be able to jump on that individual’s policy for coverage.
Read More: Adding a Driver to Auto Insurance: What You Should Know
Different companies have different requirements for being added to someone else’s policy. Still, it’s a great way to get coverage without having to pay expensive car insurance rates with a high-risk insurance company.
Improve Your Credit Score
If you’re wondering, “Why can’t I get approved for car insurance?” it could be because your credit score was too low.
In most states, your credit is a factor that affects your car insurance rates. If you were unable to get an insurance quote because of your credit score, you could improve your score to get coverage with car insurance companies in the future.
To improve your credit score:
- Pay off loans and credit cards as much as you can.
- Use 30% or less of your total credit limit.
- Don’t open a lot of credit cards or accounts in a short period of time.
- Check your credit report to ensure it is accurate.
It can take a while to improve your credit. Still, as you do, you’ll notice you have more options for car insurance, and your rates should be more affordable.
How to Avoid Being Ineligible for Car Insurance
Now that you know the answer to “Why am I not eligible for car insurance?” we’ll give you some tips on how to avoid getting denied for coverage.
Keeping a clean driving record is the best way to avoid getting denied car insurance coverage. If you are in an accident or have a violation, report it to your current auto insurance company. Doing so will let your insurance company know you’re willing to be forthright and honest about your driving record.
Even if you don’t plan to file a claim, always notify your insurance company after a car accident. It helps avoid complications later if something unexpected comes up.Eric Stauffer Licensed Insurance Agent
Alert your insurance company if you change addresses, get married, or have any other change in your circumstances. For example, changing addresses could help you become less risky if you move to a home with a garage or lower crime rates and less traffic. Read more about how an address change impacts auto insurance rates in our article.
Keep your credit score up so insurance companies do not see you as a risk, and avoid filing claims for small incidents if you can.
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Understanding Why an Auto Insurance Company Can Deny You Coverage
You may be wondering, “I can’t get auto insurance. What do I do?” If you can’t get auto insurance from a standard provider, you should continue shopping online and comparing quotes from several insurance companies. However, don’t get discouraged if you’re denied by one company, as insurance companies consider different factors when determining whether you’re eligible for coverage.
As you shop for quotes online, consider going with a high-risk car insurance company if you notice other providers are unwilling to insure you.
In addition, you can speak with an insurance agent if you need help finding nonstandard car insurance providers in your area.
Once you find coverage, work to improve your driving history and credit to avoid a high-risk status in the future. Insurance companies will offer you coverage and see you as less of a risk if you keep your driving record clean and pay off your debts.
Read More: Does not paying your auto insurance affect credit?
If you’re wondering, “Why did Liberty Mutual deny me a quote?” enter your ZIP code into our free quote comparison tool below to instantly compare cheap rates from the top providers near you.
Frequently Asked Questions
Can you be denied auto insurance?
Can an auto insurance company deny coverage? Yes, car insurance companies can refuse to insure you.
So, what makes you uninsurable for car insurance? These are the common reasons for being denied insurance coverage:
- Fraudulent claims
- Bad driving records
- Poor credit scores
- Too many claims
- Lapses in coverage
If the issue is that your car is too high-end or seen as risky, you might have better luck with a company that specializes in covering luxury vehicles. Take a look at our ranking of the best auto insurance for luxury cars to see what’s available.
Why would Liberty Mutual deny me?
You may wonder, “Why did Liberty Mutual deny me? or Why can’t Liberty Mutual give me a quote?” You may have received a Liberty Mutual denied quote for several reasons, including a poor driving record, insufficient credit history, or incomplete application information.
If you’re not sure what happened, take a look at our Liberty Mutual auto insurance review. It can give you an idea of what might affect your coverage and why they might turn you down.
Who regulates car insurance companies?
The state regulates car insurance companies. If you have a complaint with your car insurance provider, you should attempt to resolve the issue with your company via a representative before making a formal complaint with your state. However, if you find that it’s impossible to resolve the issue with the insurance company directly, you can file a complaint with your state.Â
Why would a car insurance company refuse to insure you?
So, you may be wondering, “Why am I being denied car insurance?” There are several common reasons why an insurance company may deny coverage:
- Poor Driving Record: If you have a history of multiple accidents, traffic violations, or DUI convictions, an insurance company may consider you a high-risk driver and deny coverage.
- Claims History: If you have a significant claims history, especially involving at-fault accidents or fraudulent claims, insurance companies may view you as a higher risk and deny coverage.
- Credit Score: Some insurance companies use credit information to assess risk. If you have a low credit score or a history of financial problems, it may lead to a denial of coverage or higher premiums.
- Vehicle Type: Certain high-performance or exotic vehicles may be deemed high-risk, and insurance companies may choose not to provide coverage for them.
- Insurance Fraud: If you have been involved in insurance fraud or have a history of providing false information, an insurance company may deny coverage.
Will being denied auto insurance affect my ability to get coverage in the future?
Can insurance companies refuse to insure you for previous coverage denials? Being denied auto insurance may have an impact on your ability to secure coverage in the future. Insurance companies may consider your previous denial when assessing your risk profile.
However, as time passes and you address any issues that led to the denial, it may become easier to obtain coverage or transition to a standard insurance market.
Why did I get a Hagerty denied claim?
There are many reasons you might end up with a Hagerty denied claim, including lack of evidence, policy exclusions, and failure to meet agreed-upon vehicle usage or storage conditions. Check out our Hagerty auto insurance review for more information about the company.
Can I obtain auto insurance through state or assigned risk programs if no one will give me car insurance?
Some states have assigned risk or high-risk auto insurance programs designed to provide coverage to drivers who cannot get car insurance from private companies.
These programs ensure that drivers can meet the legal requirements for auto insurance. Contact your state’s insurance department or consult with an insurance professional to explore these options if you can’t get car insurance.
Why would I be eligible for car insurance?
Drivers are eligible for car insurance if they have a driver’s license, a vehicle, and meet the insurer’s underwriting criteria, including factors such as driving history, age, and credit.
Why can’t I get insurance quotes?
A top question readers ask is, “Why am I unable to get car insurance quotes?” You may be unable to get insurance quotes for many reasons, including technical issues, location restrictions, your risk status, incomplete application details, and vehicle issues.
What happens if you cannot get car insurance?
You may be wondering, “What if I can’t get car insurance?” If you cannot find car insurance coverage with a standard insurance company or a company that covers high-risk individuals, you may need to purchase state-mandated car insurance.
Read More: Minimum Auto Insurance Requirements by State
However, this coverage will be more expensive than a policy through the private market, so this should be your last resort.
Why am I being turned down for car insurance even without an accident or ticket?
Why can’t I get insurance even if I don’t have any accident or ticket? Other factors that could lead to your car insurance being rejected include poor credit, owning a high-risk car, or living somewhere with several claims.
Can you sue an insurance company for denying coverage?
Yes, you can sue if an insurance company wrongfully denies your coverage. But before going that route, check your policy and talk to the company first; it might just be a mix-up. If they still won’t budge, here’s what to know about when to take your auto insurance company to court.
What is one of the most common reasons for a claim being rejected by an insurance company?
One of the most common reasons a claim gets denied is that the damage wasn’t covered by your policy. For example, the company might reject the claim if your policy doesn’t cover certain types of accidents or repairs. Always make sure you know what’s covered in your policy.
Do insurance companies pursue uninsured drivers?
Not directly. But if you get into an accident with an uninsured driver and your insurance pays for the damage, your company might go after that driver to get their money back. It’s called subrogation, but basically, they’re trying to recover what they paid you.
How often do insurance companies deny coverage?
Roughly 5–15% of people get turned down when applying for car insurance. So, while it’s not extremely common, it can still happen, especially if your application raises concerns like a poor driving history or other risk factors.
If you’ve been denied by one company, use our free quote finder to check out other options and find a policy that works for you.
Which cars are the insurance companies refusing to insure?
Insurance companies usually avoid covering cars that are super expensive to repair, have a history of being stolen a lot, or have been heavily modified. Some older cars without safety features might also be harder to insure. Read More: Does auto insurance cover vehicle theft?
How do I successfully appeal an insurance denial?
If you’ve been refused car insurance, you’re probably wondering how to successfully appeal an insurance denial. Start by asking the company why you were denied. Once you know the reason, you can fix any issues, like updating paperwork or clearing up errors. If that doesn’t work, you can file a complaint with your state’s insurance department or get help from a lawyer.
Free Auto Insurance Comparison
Enter your ZIP code below to view companies that have cheap auto insurance rates.
Secured with SHA-256 Encryption
Tim Bain
Licensed Insurance Agent
Tim Bain is a licensed insurance agent with 23 years of experience helping people protect their families and businesses with the best insurance coverage to meet their needs. His insurance expertise has been featured in several publications, including Investopedia and eFinancial. He also does digital marking and analysis for KPS/3, a communications and marking firm located in Nevada.
Licensed Insurance Agent
Editorial Guidelines: We are a free online resource for anyone interested in learning more about auto insurance. Our goal is to be an objective, third-party resource for everything auto insurance related. We update our site regularly, and all content is reviewed by auto insurance experts.
