How Much Does a Speeding Ticket Really Cost You

The need for speed can come at a high cost — around $150 for a speeding ticket in the United States.

Even if you're reeling from the initial fine, you might be overlooking a less obvious but potentially more costly cost: an increase in your monthly insurance premiums. While insurance companies rarely reveal the exact formula they use to calculate premiums, studies show that a single speeding ticket can result in a 20% increase in insurance premiums.

The good news is that when it comes to traffic citations and speeding tickets, knowledge is power. You have choices, and knowing what they are can help you reduce the cost of the ticket, the impact on your auto insurance, and other negative consequences, such as points on your license.

Citation vs. Ticket

Many people believe that a citation and a ticket are two distinct ways for a law enforcement officer to penalize a driver. However, in general, the two terms are used interchangeably and mean the same thing.

Because most jurisdictions do not distinguish between citations and tickets, a citation is essentially a type of ticket.

A citation is the document issued by an officer following a traffic law violation. The offence, the consequences, and any required follow-up actions, such as a court appearance, will be stated in the citation.

Some examples of common citations are:

A speeding ticket is issued for exceeding the speed limit.
DUI and DWI citations, which are considered serious offences
Reckless driving is defined as driving in such a way that it endangers other motorists.
Citations for violating traffic laws, such as running a red light or failing to stop at a stop sign
Distracted driving, such as driving while using a cell phone, is prohibited.

What Is a Speeding Ticket or Speeding Citation?

Law enforcement issues a speeding ticket or citation for exceeding the speed limit. The ticket will state how far you exceeded the speed limit as measured by tools such as LIDAR. The higher the fine, the faster you were going.

Because each state has its own speeding penalty system, the penalties and fines for speeding violations vary. According to the National Highway Traffic Safety Administration, maximum penalties range from $100 to $2,500, with the possibility of jail time.

How a Ticket Affects Your Car Insurance Rate

If you receive a moving violation, your insurance premiums may rise. The severity of the penalty, on the other hand, is determined by a number of factors, including whether this is your first offence or one of several.

“A ticket is one of the many variables that go into rating someone for insurance, and it certainly influences the amount of their premium,” says Charlie Wendland, head of claims at Branch Insurance. “We also consider how long ago the incident occurred, as well as whether it was a serious or minor violation.”

Getting a ticket can also result in the accumulation of points on your driver's license, which can lead to additional consequences. Points on your driver's license are issued for certain traffic violations and can remain on your record for several years. Having too many of them can have legal consequences, such as having your license suspended, as well as financial consequences, such as fines and an increase in insurance premiums.

The specific regulations governing driver's license points, such as the point values for specific offences and the point threshold for consequences, differ by state. Similarly, because each insurance provider calculates premiums differently, it's difficult to predict the exact effect of points on your insurance rates, but getting too many points usually results in a rate increase.

If drivers are concerned that a ticket will raise their insurance rates, many insurance companies have begun to offer data-driven programs that monitor defensive, safe driving practices. These software applications share data with your insurance provider, and if the data shows that you have a good driving record, your premium may be reduced.

“We believe the technology is in its infancy, but it is maturing quickly because there is a market demand for usage-based insurance,” Wendland says.

We also recommend checking with your insurance company and your state's Department of Motor Vehicles to see if your state offers any defensive driving courses that can help you reduce the points or fines from a speeding ticket. The National Safety Council is an excellent resource for determining the availability of these programs in your state. Participating in these programs after a traffic violation may also help reduce your insurance premiums if your insurance provider allows it.

What to Do If You Get a Citation or Speeding Ticket

If you are pulled over, be courteous, honest, and forthcoming. This can make the interaction more fluid. If you don't understand something about a ticket, ask questions respectfully, but otherwise be prepared to move forward.

Following that, you can decide whether you are better served by accepting the consequences, which are usually a fine, or by contesting the ticket in court. Whatever route you choose, make sure to carefully follow the instructions on the ticket or citation. Appear in court at the time and place assigned to you. Failure to appear in court or pay the fine can result in far more serious consequences, such as having your license revoked.

You have the right to contest your ticket in court if you believe it was issued incorrectly, but keep in mind that doing so may result in additional penalties if you lose your case — or are found in violation of other traffic laws. Consider the risks and actual costs, and whether it is a better financial option to simply make the payment without contesting the ticket at all.

If you are issued a ticket in a state other than your home state, contesting the ticket can be more difficult. According to Sheila Dunn, communication coordinator for the National Motorists Association, it is critical to consider whether you can contest the ticket from afar or if you must appear in court in person. In some cases, it may be more cost effective to hire an attorney in the state where the ticket was issued to represent you in court rather than travel there yourself.

Can You Negotiate a Speeding Ticket?

There are some circumstances in which you may be able to negotiate a speeding ticket, though the jurisdiction plays a significant role in what is possible. Some tickets are more negotiable than others, according to attorney Ben Luftman of Luftman, Heck, and Associates LLP in Ohio, who focuses on traffic violations and criminal law.

According to Luftman, factors that could make a case promising for negotiation include: “the client's traffic record, or lack thereof; whether there were any issues with the ticket, such as errors on it; and whether there are evidentiary or proof issues with the case.”

If you believe you might be able to negotiate your ticket, make detailed notes of the circumstances as soon as possible after the citation so you don't forget anything.

According to Luftman, some states have programs that will dismiss the case if a certain amount of time passes with no further traffic citations. Other states offer defensive driving classes that can help you get your ticket reduced or dismissed.

We recommend consulting an attorney who is familiar with traffic law in the jurisdiction in question for specific advice on contesting a traffic ticket in court.