Are you wondering what an SR22 is? Are you wondering if you need it?
If you’ve had a DUI or if you’re a high-risk driver, you have to have SR22 insurance. If you don’t have it, you’ll face suspension. If you get suspended, you’ll be left with no car and no insurance.
In this article, we’re going to talk about what it is and what it does. Keep reading to learn more.
Table of Contents
1. SR22 Is Proof of Financial Responsibility
One important aspect to understand about SR22 insurance is that it is not a type of insurance, but a proof of financial responsibility. This means that it is not a specific type of coverage that you can buy, but rather a document that serves as proof that you have met the state’s smallest insurance requirements.
This can be confusing for many individuals who may think that they are purchasing a new insurance policy when in reality they are obtaining the necessary documentation to show that they are responsible for any future financial obligations related to an incident while driving. It is important to keep in mind that you are not meant to give extra coverage but to prove that you are a responsible driver.
2. Required by Certain States and for a Specific Period
SR22 insurance is a type of auto insurance that is required by certain states and for a specific time. This type of insurance is mandated for high-risk drivers or those who are involved in many traffic violations. It serves as a guarantee to the state that the driver has the least liability insurance coverage.
The period for which you need SR22 general insurance varies by state and can range from three to five years. It is important for drivers to be aware of their state’s laws and regulations, as failing to follow this rule can result in penalties such as license suspension or even criminal charges. It is crucial to understand the specific time for which it is required to avoid any legal consequences.
3. More Expensive Than Traditional Auto Insurance
One important factor to understand about SR22 insurance, offered by California insurance services, is that it is more expensive than traditional auto insurance. This is because it is considered high-risk coverage. It is often required for individuals who have a history of traffic violations or accidents.
Insurance companies see these individuals as a higher risk and charge a higher premium for their coverage. Additionally, SR22 insurance is usually purchased as a separate policy from traditional auto insurance, which can contribute to the higher cost.
Everything You Need to Know About SR22 Insurance
Understanding the basics of SR22 insurance is crucial for obtaining or maintaining a driver’s license. From its purpose to how it impacts insurance premiums, being informed about SR22 can save you time and money in the long run.
Don’t hesitate to speak with an insurance agent to decide the best plan for your needs. Take control of your driving record today and get SR22 insurance to get started.
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