What Is SR-22 Insurance?

SR-22 insurance is often misunderstood. Contrary to popular belief, it is not a type of insurance but rather a form that some drivers must file with the state to show they have the minimum required insurance coverage. This requirement is typically imposed on drivers with serious infractions such as DUIs, driving without insurance, or multiple at-fault accidents. The duration for maintaining an SR-22 filing varies by state but is generally around three years.

5 Tips for Finding Affordable SR-22 Insurance

Securing affordable SR-22 insurance can be challenging due to the higher risk associated with drivers who need it. However, there are strategies you can employ to lower your insurance costs:

1. Shop Around

Insurance rates can vary significantly between companies. Shopping around and comparing quotes from multiple insurers is the best way to find affordable coverage. Utilize tools like Experian’s auto insurance comparison tool to find the best rates that meet your needs and budget.

2. Improve Your Credit

In many states, insurance companies consider your credit-based insurance score when determining your rate. Improving your credit score by paying bills on time, reducing debt, and keeping credit utilization low can help you qualify for lower premiums.

3. Complete DUI Programs or Classes

If your SR-22 requirement stems from a DUI conviction, completing an alcohol education program may help reduce your insurance premium. These programs demonstrate your commitment to responsible behavior, which can positively impact your rates.

4. Look for Discounts

Many insurance companies offer various discounts that can help you save on your premiums. While you may not qualify for certain discounts like accident-free or safe driving discounts, you can still benefit from others such as pay-in-full, autopay, paperless billing, and bundling discounts. Always inquire about all available discounts to see how they can affect your rate.

5. Increase Your Deductible

Raising your deductible can lower your premium. However, it’s important to weigh the savings against the potential costs of filing a claim. Ensure you can afford the higher deductible in case you need to make a claim.

How to Get SR-22 Insurance

Obtaining SR-22 insurance involves a few straightforward steps:

1. Choose an Insurer

Not all insurance companies file SR-22 forms on behalf of their policyholders. Find an insurer that offers this service. If you have trouble finding coverage, consider companies that specialize in insuring high-risk drivers.

2. Purchase Coverage

Select the types of coverage you need and choose your policy limits. Be upfront with the insurer about your need for an SR-22 filing.

3. Let Your Insurer Know

Inform the insurance company about your SR-22 requirement. Contact their customer service to ensure they file the form on your behalf. There is usually a filing fee, typically around $25.

4. Get Confirmation

Confirm with your state’s DMV that the SR-22 form has been filed. If they haven’t received it, follow up with your insurance company.

5. Maintain Coverage

Ensure your policy does not lapse. If your coverage is canceled or lapses, the insurance company must notify the state, which can result in fines, penalties, or suspension of your license and registration.

The Bottom Line

Requiring an SR-22 filing will likely result in a rate increase. The extent of the increase depends on the infraction, your driving record, age, and other factors. By shopping around, comparing quotes, and asking about discounts, you can find more affordable coverage. In the long term, improving your driving habits is one of the best ways to reduce your insurance rates.

Contact O1ne Mortgage for Your Mortgage Service Needs

At O1ne Mortgage, we understand the importance of finding the right insurance and financial solutions. If you have any mortgage service needs, don’t hesitate to call us at 213-732-3074. Our team of experts is here to help you navigate your options and find the best solutions for your unique situation.