Standard Auto

Standard Auto
Standard Auto

A category of auto insurance made up of average, low-risk drivers insured by companies that sell that type of insurance. Though some insurers specialize in high risk, or ‘non-standard’ auto insurance, many more offer standard auto and cover the average driver. Examples include State Farm, Allstate and Farmers Insurance.

All insurance customers classified as standard auto share an average risk of accident, injury and claims. Though underwriting guidelines can vary widely from state to state, as a general rule, drivers placed in standard auto groups by their insurance companies have less than two tickets or at-fault accidents. Because of their good driver standing, those in this category pay less for auto insurance than someone classified as ‘non-standard.’

To remain in this category, some states also require consumers to maintain good credit. But this is by no means standard practice, and some states are barring insurers from raising auto insurance rates due to poor credit.

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