How Much Does a SR22 Insurance Cost?

The SR22 insurance is not a type of insurance at all but refers to a certificate that proves the financial liability of the driver. SR22 is important to assure that risky driver has the adequate liability especially in case of an accident. The average SR22 insurance cost depends on the factors such as the driver’s history and the state the driver resides in. The insurance companies are the only ones capable to file an SR22 but not all of them.

SR22 is mandated by state law and required for drivers that have a history of car accidents or multiple traffic violations. Drivers that violated traffic rules such as driving under the influence of drug or alcohol, driving without insurance, causing an accident, suspended the license and multiple traffic violation (tickets) are required to file an SR22 to reinstate their driving privileges.

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Average SR22 Insurance Cost

As discussed before, SR22 is not a type of insurance but a certificate of financial responsibility (CFR).Therefore, the cost of SR22 only refers to the fees required to obtain the certificate. But the requirement of filing the CFR can significantly affect the policyholder premiums.

The average SR22 insurance cost is usually around $15 to $50 for the filing fee and $55 to $250 for the penalty/reinstatement fee. It is also mandatory to carry the policy within a certain period of time.

Types of SR22

There are three types of SR22 namely Operator’s, Owner’s, and Operators-Owners Certificate. Operators refer to a type of policy that covers the driver only and not the vehicle. It is usually common for policyholders that drive a vehicle that is owned by the company or another party. Meanwhile, Owners refer to the coverage for both the driver and owned vehicles that are listed on the certificate.

The Operators-Owners is the most comprehensive and the preferred certificate since it covers the policyholder regardless of what type of vehicle he or she is driving.The type of certificate is critical to prevent violating any of the provisions in compliance with SR22.

Shopping for SR22 Insurance

The SR22 insurance rate increases depending on the violation of the policyholder. Therefore, drivers with a history of high-risk traffic violation will pay more expensive premiums and penalty fees. It is important to inquire to multiple car insurance companies and some of them might have much affordable auto insurance policy.

Insurance companies like State Farm provide auto insurance with comprehensive coverage and liability with the capability to file an SR22. The insurance company will file with the local Department of Motor Vehicles for obtaining a CFR. But the cost of filing and other fees such as penalty will be charged to the policyholder.

Factors Affecting the SR22 Insurance Rate

  • Driver’s Traffic History

As mentioned before, the primary reason to file an SR22 is that the driver violated a traffic rule or caused an accident. Hence, it resulted in the suspension of the driver’s license and the need to show proof of financial liability for reinstating driving privileges. In states like Florida and Virginia, in case of a violation related to driving under the influence of alcohol or drugs, an FR22 is required which has higher liability limits and dramatically increases the SR22 insurance rate.

  • Location, Minimum Vehicle Liability, and Duration

State law indicates that a convicted driver or driver with a suspended license should have minimum liability coverage and maintain it for a certain period of time. The filing of SR22 is required to repeal or to reinstate the driver license. Also, every state has a different minimum vehicle liability insurance requirement and tenure to carry the policy.

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Note: The information indicated above is based on Department of Motor Vehicles (DMV USA).

Drivers car crash display

Additional Information

There are six states that currently do not require SR22 insurance like Delaware, Kentucky, Minnesota, New Mexico, Oklahoma, and Pennsylvania. But moving into these states, the policyholders are mandated to continue the liability required by their former state. It is to serve as protection to possible victim and property damages to the state.

In case of transfer of residency to other states, drivers are required to inform the new local DMV to waive the old SR22 credentials. The DMV will indicate if there will be changes depending on the comparison of the minimum liability requirements between the two states. Some state even provides a new SR22 certificate to update the policyholder credentials.

It is also important to update the policy to prevent lapses since the DMV is quite strict. The insurance company is obligated to inform the DMV that the policy is not renewed or has ended. For non-compliance, the DMV will suspend the policyholder license and incur additional penalties with probation.

Drive Safely

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