SR-22 Insurance, What it is and What it covers

SR22, also known as a certificate of financial responsibility, is a form required by some state motor vehicle departments to prove that a driver has the minimum liability insurance required by law. This form is typically required for drivers who have been convicted of certain serious driving offenses, such as DUI or reckless driving, and are considered high-risk drivers by insurance companies.

What does the SR22 cover?

When it comes to high-risk coverage, SR22 is required as proof of high risk coverage, and it covers the minimum liability insurance required by law. Liability insurance is the coverage that pays for damages or injuries a driver causes to another driver, their passengers, or their property. It is usually the most essential coverage that you can purchase and is the cheapest. The liability insurance is usually expressed in three numbers, for example, 25/50/10. The first number is the maximum amount of coverage per person for bodily injuries, the second number is the maximum amount of coverage per accident for bodily injuries, and the third number is the maximum amount of coverage per accident for property damage.

Who needs an SR22?

The SR22 form is typically required for high-risk drivers who have had their driver’s license suspended or revoked due to a serious driving offense. Some examples of these offenses include:

  • DUI or DWI
  • Reckless driving
  • Accidents caused by uninsured or under-insured drivers
  • Multiple traffic violations within a certain period of time

The SR22 form is also sometimes required for drivers who have been caught driving without insurance.

How to get an SR22

The SR-22 form must be filed with the state by the driver’s insurance company and will remain in effect for a certain period of time, usually three years. During this period, the driver must maintain the required minimum insurance coverage or their license will be suspended. The SR-22 form is also known as a Certificate of Financial Responsibility (CFR). The form is typically filed by the insurance company with the state motor vehicle department, and the driver is required to pay a fee to the department in order to have the form processed. The cost varies by state but is typically around $25.

Once the SR22 form is filed and the fee is paid, the driver will be able to have their driving privileges reinstated. However, it’s important to note that having an SR22 form on file does not guarantee a driver will be able to obtain insurance coverage. Many insurance companies will refuse to insure high-risk drivers or will charge significantly higher rates for coverage.

In this case, the driver might need to search for specialized high-risk auto insurance providers that offer coverage to high-risk drivers. These specialized providers often offer more comprehensive coverage options, such as comprehensive and collision coverage, that will cover damages to the driver’s own vehicle, in addition to liability coverage.

The coverage provided by an SR-22 is similar to that provided by other types of auto insurance, including liability protection and personal injury protection. Liability protection pays for damages that a driver causes to another person or property in an accident. Personal injury protection covers medical bills for the driver and passengers in the event of an accident.

It’s also important to note that if the SR22 coverage is ever canceled or allowed to expire, the insurance company is required to notify the state motor vehicle department, and the driver’s driving privileges will be suspended or revoked once again. It’s crucial for drivers to make sure that they maintain their SR22 coverage throughout the required period to avoid having their driving privileges taken away again. This might require the driver to set up automatic payments or reminders to ensure the insurance premium is paid on time.

SR22 is a form required by some state motor vehicle departments to prove a driver has the minimum liability insurance required by law. It is typically required for drivers who have been convicted of certain serious driving offenses and are considered high-risk by insurance companies. The SR22 form is not an insurance policy itself but rather a certification from an insurance company that the driver has the required liability coverage.

High-risk drivers should be aware that obtaining SR22 coverage may be more difficult and more expensive than for non-high-risk drivers, but it is a necessary step to regain driving privileges. It’s important for the driver to maintain their SR22 coverage throughout the required period to avoid having their driving privileges suspended or revoked again.

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