The penalty for failing to KSR-22 coverage in place when required to do so varies, depending on the state. It is very likely that a person caught without it will lose his or her license and/or registration.
An SR-22 is not a special type of auto insurance coverage which some drivers must buy to stay legal. It is a form filled out by the insurance company issuing the policy and it is filed with the state Department of Motor Vehicles (DMV). The purpose of the SR-22 form is to confirm that driver has at least the minimum level of coverage required in his or her state in force. This form falls under the provisions of the state’s financial responsibility requirements.
When SR-22 coverages required, it must be kept in place for certain number of years. If the policyholder cancels the coverage or his or her auto insurance company refuses to renew it, the company is required to contact the DMV.
The DMV will follow up by sending a letter to the driver asking to provide proof of coverage. If the driver fails to respond within a certain amount of time, his or her license and/or registration may be suspended automatically. To have driving privileges reinstated, the driver required to have an SR-22 on file will need to provide proof of coverage and pay a fee to the DMV.
Who Needs an SR-22
An SR-22 may be required if the driver involved in an accident is found to be driving without insurance. Another instance where SR-22 coverage may be needed is following a DWI (Driving While Impaired) or DUI (Driving Under the Influence) charge. Depending on the state, you may be required to keep SR-22 coverage in place for up to three years.
Where to Find SR-22 Auto Insurance Coverage
Not all auto insurance companies offer coverage to drivers who need an SR-22. People who need this type of designation on their auto insurance record are generally considered high-risk for insurance coverage purposes. If you are told you need to file an SR 22, check with your current auto insurance provider first to see whether it will agree to cover you under those terms.
If your current auto insurance provider does not provide SR-22 coverage, you will need to start looking for new one. Some insurance companies specialize in providing coverage for high-risk drivers and this can be a good place to start. Even among high risk auto insurance companies, premium rates can and do vary significantly depending on the company.
The best way to find SR-22 auto insurance coverage at an affordable price is to get quotes from several companies before making a decision. Before you start requesting pricing from auto insurance providers, take some time to think about the type and level of protection you need. That way, you can focus your request for quotes to the exact level of coverage that you need. You may want to consider putting a no-frills insurance policy in place to keep your coverage costs down.