Jessica Sautter is a Content Writer for with a Bachelor’s Degree from Eastern Michigan University in Elementary Education with a Major in Reading and a Minor in Mathematics.

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Chris Harrigan has an economic degree from Limestone College and an MBA from Clemson University. He previously managed auto insurance claims for Enterprise Rent-A-Car. Currently, he is using his business and insurance expertise to provide insurance data analysis and visualizations to enhance the user experience.

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Reviewed by Chris Harrigan
Former Auto Insurance Claims Manager

UPDATED: Sep 23, 2020

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Key takeaways...

  • The driver point penalty system can work against young drivers
  • Young drivers should be aware of how the point system works in their home states
  • Young drivers who use car insurance comparison shopping websites can offset the expense of points

Millions of young and inexperienced drivers use the roads of the nation every day. While many of these young drivers have good records, as a group, they are statistically more accident prone.

Young drivers face higher insurance costs than other demographic groups, which can easily add to these costs if they accumulate points on their driving records.

Allowing these costs and penalties to get out of control can result in the loss of driving privileges.

Read on to discover what driving penalty points are, how they are earned, and how they can be removed.

You’ll also learn ways that young drivers can save hard-earned money on their car insurance policies, make use of discounts, and harness the power of car insurance comparison shopping websites.

If you are looking to cut down on auto insurance costs after getting penalized, compare three to four policies to find the best rates for you! Enter your ZIP code above!

How the Drivers’ License and Insurance Penalty Point System Works


State driving authorities and insurance companies need effective ways to keep track of the driving habits of licensed motorists.

Keeping track can allow governments to prevent unsafe drivers from operating on roads; it can also allow car insurance providers to accurately assess the risk posed by individual drivers.

One widely used method for keeping tabs on traffic offenses and their severity is the traffic violation points system. Each state has its own variation of this system, but each system arises from the same fundamental principle.

State laws categorize and numerically score the many types of traffic offenses according to their perceived severity.

For example, a driver who fails to signal before making a turn could receive one point, while a driver who runs entirely through a red light might receive five points.

A driver with more points on their record is judged to be higher risk, and must often pay more for car insurance.

It’s important to note that most demerit points can accumulate over time. For example, a driver who continually receives one point for parking violations could lose their driving privileges if they receive 10 such tickets over a one-year period.

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Typical Driving Situations That Result in Penalty Points


There are long lists of driving offenses that can land new drivers in hot water.

Some of these offenses may not be what drivers may expect, so to be on the safe side, new young drivers should follow current driving laws that are in effect in their states of residence.

The following items are a list of some frequently penalized traffic violations.

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Most states allow young drivers with points to reduce these points with good driving behavior. If such drivers avoid committing traffic offenses for specific periods of time, any accrued points will drop off.

For example, drivers who have points in a certain state due to speeding can eliminate these points by getting no speeding tickets for two years.

Another way for young drivers to reduce their penalty points — and save money on car insurance — is to enroll in and pass drivers’ education courses.

Not only can this help new drivers to save money, but it can also help them to become better drivers.

Saving Money Through Car Insurance Comparison Shopping Websites


Hundreds of car insurance companies are willing to compete for business, and comparison shopping sites make it easy for insurance shoppers to find such companies.

These sites put large amounts of information about these companies in one place, consequently helping shoppers save on time AND money.

Using these sites is fairly easy. A prospective car insurance shopper will only need to enter basic information that can include their name, age, address, vehicle type, vehicle identification number (VIN), and level of driving experience.

There are also discounts that young drivers can look into that may reduce their increased auto insurance rates, such as:

  • Good Student Discount Young drivers who maintain a high GPR at school may be able to qualify for lower car insurance rates
  • Safe Car Discount Young drivers can also save money if their cars have certain approved safety features in place, such as anti-lock brakes, anti-theft systems, suspension control systems, and side-impact airbags.

Comparison Shopping Can Help Young Drivers Save Money

Everyone makes mistakes, but young drivers with points on their records face a particular set of circumstances and expectations that can be hard to deal with — not to mention years of high car insurance payments.

That being said, young drivers who apply the information found in this article can certainly expect to face years of discounts and savings as well.

If you are looking to save on increased auto insurance rates, start comparison shopping today by entering your ZIP code below!