What to Expect From Buying SR-22 Insurance
Bemused by the thought of buying an SR-22 insurance? Don’t worry! This article will explain what you should expect from buying an SR-22 insurance and some advantages and disadvantages associated with it.
An SR-22 is a type of financial responsibility form that an insurance company files with the state. Its proof that you carry auto insurance liability coverage. Its most commonly required if youre caught driving without insurance, were convicted of a DUI or DWI, have multiple traffic tickets, or have been involved in an accident for which you are liable.
The first thing to expect is higher premiums. The cost of SR-22 insurance depends on the individual insurance provider and the state, but expect to pay more than what you would normally pay for insurance if you didn’t need an SR-22. SR-22s can costs anywhere from $15 to $25 in filing fees, plus the insurance premiums. This can add up to a very high cost depending on your driving record and the length of time and type of coverage you need.
The second expectation is a longer commitment period. Depending on your driving record, you will usually need to have the SR-22 for at least three years. If you don’t maintain your insurance while the SR-22 is in effect, the insurance company will notify the state that you are no longer covered. Once insurance lapses, the process of reinstatement can be arduous.
Thirdly, you can expect that your SR-22 will follow you wherever you go. If you move to a different state, you are still required to maintain your SR-22 insurance and file it in the new state. Therefore, you may not even be able to switch insurers and may have to stick with the same insurer.
Fourth, switching to an SR-22 will cancel out other discounts and offers you may have either already received or were going to receive. Even though an SR-22 may be expensive, make sure to look over your available discounts and choose the company that will give you the best coverage at the lowest rate.
Finally, you are likely to find it difficult to obtain new policies. Your current insurer may be willing to issue an SR-22 for you, but other insurers may not. It can help to shop around to see if you can find a cheaper SR-22 insurance policy, even if youre already insured with another company.
Advantages and Disadvantages of Using an SR-22
One of the main advantages of getting an SR-22 insurance is that it allows you to keep your driver’s license. While the SR-22 may be expensive, it’s still less than the cost of a suspended license. To reinstate the suspended license, you must pay the reinstatement fee and maintain an SR-22 and standard liability insurance for three years.
On the other hand, an SR-22 comes with some pretty stiff restrictions, such as: you must maintain the SR-22 and a minimum amount of liability insurance throughout the duration of the filing period typically three years. If you dont, the insurance company will alert the state, and your license can be suspended again. Additionally, your driving privileges may be limited while carrying an SR-22.
Also, getting an SR-22 can lead to higher premiums. The cost of the SR-22, in addition to monthly insurance fees, can be a huge expense added to your budget. Even if you have prior insurance policies, the cost of the SR-22 could be more expensive with the same insurer.
If you have a spotty driving record, getting an SR-22 might be worth it since it shows you are serious about driving responsibly. It is also a good way to prove you have financial security and the necessary coverage to protect other drivers you may be liable for.
Furthermore, getting insured with an SR-22 may be the difference between being able to drive and having your license suspended. Even though it can be stressful to take on additional costs, having an SR-22 shows that you take responsibility for your actions.
Information You Need to Buy SR-22
When you shop for an SR-22, you will need to provide information that is needed on the SR-22 form. The information required includes: the vehicle identification number (VIN) for all vehicles being insured, required coverage amounts of liability insurance and uninsured/underinsured motorist coverage, and the name and address of the insurance agent.
You will also need to provide the courts date and file number for the offense that required the SR-22, the name and address of the driver being insured, the policy number, and the policy period. If youre already insured, youll need to provide information about your existing policy.
When youre ready to purchase the SR-22, youll have to pay the insurance filing fee and a deposit for the policy. The fee and deposit vary depending on the state and the insurance company. Be sure to ask the insurance company for an estimate of what the fees and deposits will be so there are no surprises when it comes to deciding to purchase the SR-22.
How to Make Sure an SR-22 Filing Remains Active
Once you’ve purchased the SR-22, it is important that the policy is not cancelled or allowed to lapse. If the insurance policy does lapse or is cancelled, the insurance company is legally required to report that information to the DMV, and your driver’s license will be reinstated.
It is important to make sure you make all your insurance payments on time. To make sure the SR-22 is staying current, check your records every six months to make sure it is still active. You can also contact your insurance agent or company to verify that the SR-22 filing is active.
Most companies send policyholders periodic e-mails to remind them when the payment is due and when the vehicle is due for inspection. Its important to read those emails and respond with any questions or concerns. If you dont understand something, dont be afraid to reach out to your insurer and ask for clarification.
When Should You Buy SR-22 Insurance?
When it comes to buying SR-22 insurance, its important to consult with an independent insurance agent or use a website to shop for a policy. Doing a bit of comparison shopping can help you find the best coverage at an affordable price.
Its also important to check with your states DMV to find out if the SR-22 is required before you buy a policy. Once you have the information, you can then check with different insurance companies to see what their SR-22 policies entail. Ask them about the types of coverage they offer, the premiums, discounts, and other policy details that interest you.
Once you have the information, consult with your independent insurance agent or compare policies online to figure out which policy offers you the best price and coverage. You should also take into account your status as a driver, such as how long youve had a license or tickets in the past, when choosing a policy.
Finally, make sure to read all of the documents before signing any contracts, and look for any additional information that could help you understand the details of the policy.
Conclusion
In conclusion, as you can see, there are some advantages and disadvantages to buying SR-22 insurance, and you should take all of them into account when making a decision. Its important to research the different options available and do a bit of comparison shopping to make sure you get the best rate and coverage available. Additionally, make sure you check with your states DMV to find out if you are required to carry SR-22 insurance at all.