The SR22 Insurance Form

Many people who own a vehicle have heard of SR22 insurance before, but most people who have never been required to file an SR-22 insurance form have no idea what it is. So what exactly is it, why is it required, and how does it work?

Technically speaking, SR22 insurance isn’t insurance at all, but rather a form or a document that certain drivers are required to carry. If you are required to file for SR-22 insurance, it typically means that you have violated (through commission or omission) state driving or traffic laws. A driver who is required to carry this form is typically seen by insurance companies as a high risk driver.

There are many reasons why one would be required to carry an SR22 insurance form. Most of the reasons stem from irresponsible decisions behind the wheel. The most common reasons why a driver to be required to carry this insurance form are:

• • • Driving without insurance coverage
    • Serious moving violations like a DUI, reckless driving, or similar
    • Repeated traffic offenses in a very short period of time
    • Suspended or revoked license

Whether or not a driver is required to have SR-22 insurance is very case-by-case. For example, there are many drivers who have been caught violating one or more of the traffic rules above, but weren’t required to file for SR22 insurance. The final result depends on the severity of the infractions as well as many other factors.

If a driver is required to have SR-22 insurance, a form must be filed by the driver’s insurance company to the Department of Motor Vehicles in the driver’s state. The insurance company is then required to notify the state if the driver is not abiding by the rules and regulations that caused the driver to receive the SR22 in the first place.

For example, suppose you were caught without state minimum car insurance (including liability), and were required to file an SR22 as a result. In this example, if you ever stopped making your car insurance payments (or canceled the policy altogether), your insurance company would be required to notify the DMV that you are no longer being insured through that carrier.

If a driver gets to the point where he or she is required to file SR22 insurance, he or she usually has to keep it for a minimum of three years. Depending on the state the driver lives in and the severity of the decisions the driver made, the length of time required to carry SR22 insurance may be reduced or extended beyond three years. Once a driver has SR22 insurance, if he or she ever wants to get rid of it, then he or she needs to carry continuous car insurance coverage for the full three years, and limit the traffic infractions during this period.

Most car insurance companies will write a car insurance policy for a driver who requires an SR-22; however not all companies will. These drivers are seen as high risk drivers, and some companies will not take the risk.

Although the SR-22 may limit certain drivers from accessing a full range of car insurance policies, there should always be plenty of insurance companies willing to take the risk.

A driver who has to file for SR22 insurance can reasonably assume that his or her car insurance will be more expensive than an equivalent driver without one. The main reason for this may not necessarily be due to the form itself, but more due to the reasons that caused the driver to file for SR-22 insurance in the first place.

If you are a person who is required to file an SR22, then you need to start thinking long-term. In the short term, your car insurance may be more expensive, but if you can be responsible behind the wheel and responsible in maintaining insurance, then after only a short time your insurance rates should reduce to what most people pay.

In some states, when a driver has SR22 insurance, the state minimum liability limits are sufficient insurance coverage to satisfy the requirements. Collision and comprehensive coverage will likely be optional.

In other states, much higher limits are required. The requirements vary state-by-state, and when a driver is required to file for the SR22 insurance form, he or she will be informed on the minimum amount of insurance that is needed.