Car insurance is one of the most important aspects to consider when you’re driving a car. In most cases, your car insurance will be tied to your state’s laws and regulations. One requirement that many states have for drivers is having proof of financial responsibility if an accident occurs. This Form is called the SR-22 Form, and it verifies that you can afford to pay for repairs or damages if they occur while operating a vehicle on public roads. To help ease some confusion about this process, we’ve created a comprehensive guide!
What Is An SR-22?
Insurance companies require SR-22 insurance to be submitted as proof of financial responsibility if you are found liable for damages, injuries, or deaths while operating a motor vehicle. This type of insurance is required by law and applies even if your driver’s license has been revoked. If you’re not sure what it means to “show proof of financial responsibility,” we’ll break it down for you. Besides that, if you wish to reduce the risk of distracted driving, you should thoroughly read text messages listed on the Form.
Who Needs An SR-22?
Their state requires many drivers to purchase SR-22 insurance to continue driving. It is a form of car insurance specifically designed for people who have had their license suspended or revoked because they were deemed unsafe behind the wheel and put other drivers at risk. A driver’s license can be reinstated after meeting specific requirements, but it will be limited to driving only if an SR-22 policy is in effect.
How To Get An SR-22?
To obtain an SR-22 certificate, the driver must file a request with their DMV. The fee for filing this Form varies and is set by each state’s laws. Drivers are required to continue paying insurance premiums while waiting for their applications to be processed. These fees are in place to cover the cost of processing applications for SR-22 insurance certificates.
For example, an applicant living in Florida pays a $50 fee and is required to pay a $15 per month filing fee until their certification has been processed. The process for obtaining an SR-22 certificate varies. Some states, such as California and Florida, provide a form online that can be filled out and submitted electronically.
Other states require applicants to fill out paper forms mailed in or filed at the DMV office after completion.
Benefits Of SSR-22 Coverage
- If you have a driver’s license suspension, SR22 coverage will still apply to your car insurance. This is an essential point for drivers who are unsure how to get their licenses back and need some time before they can start driving again. With SR22 coverage, you’ll be able to continue driving your car without any problems.
- This type of insurance is a lot more affordable than most people think, and it’s available in different levels of liability protection. There are also discounts for students looking for discount rates on their auto insurance while studying full-time.
- The SR22 form can help those with poor credit restore their reputation as reliable insureds by proving they have the money necessary to pay off claims should an accident occur.
- Knowing how much your deductible will be before you need one could save you time and headache when filing claims later on down the line or paying out-of-pocket at the end of every month so that you don’t get charged too high a rate.
- The SR-22 form is a great way to protect your car and yourself, no matter what you’re doing in life or where you are living. It’s affordable enough that most people can afford it on an ongoing basis without too much of a struggle.
How Much Does A SR-22 Cost?
The cost of SR-22 insurance varies by state and is based on the risks involved. For example, drivers living in California are required to provide proof of liability for $5000 bodily injury per person or $100,000 bodily injury per accident as well as property damage up to $25,000 before they can get their license reinstated.
What Should You Do When Your SR-22 Ends?
If you have a valid insurance policy, contact your agent to see if that will cover an SR-22. You may need to update the information on your insurance application regarding the end date of your current insurer’s certificate and any other changes since it was last updated.
Summing Up On SR-22 Insurance
As we mentioned, the SR-22 is a form of proof that you have met your car insurance requirements. Its purpose is to show other insurers that you can afford what they need and thus not be seen as high-risk for theft or damages. If something happens and there’s any question about how much money you make compared to what an insurer might cover, the SR-22 can help clear up any confusion.