What To Do If Your SR-22 Insurance Lapses

​SR-22 insurance, often referred to as a certificate of financial responsibility, is a document required by the state for high-risk drivers to prove that they carry the minimum required auto insurance coverage. This document is typically required after serious driving offenses such as DUI/DWI, reckless driving, or multiple traffic violations within a short period. Maintaining continuous SR-22 insurance is crucial because a lapse in coverage can have significant legal and financial consequences. In this blog, we’ll explore what happens if your SR-22 insurance lapses and the steps you should take to address the situation.

1. Understand the Consequences of an SR-22 Lapse
When your SR-22 insurance lapses, it means that your auto insurance policy has been canceled, expired, or is no longer active, and the state is notified of this lapse. The consequences of an SR-22 lapse can be severe and may include:

• License Suspension or Revocation: The most immediate consequence of an SR-22 lapse is the suspension or revocation of your driver’s license. The state requires continuous proof of insurance coverage, and a lapse signals non-compliance, leading to loss of driving privileges.
  
  
• Fines and Penalties: In addition to losing your driving privileges, you may be subject to fines and penalties for failing to maintain the required SR-22 coverage.
  
  
• Extended SR-22 Requirement: If your SR-22 lapses, the state may extend the period during which you are required to carry SR-22 insurance, adding more time to your mandatory coverage requirement.
  
  
• Higher Insurance Premiums: A lapse in SR-22 coverage can lead to significantly higher auto insurance premiums. Insurers view lapses as a sign of increased risk, which can result in more expensive policies when you seek to reinstate coverage.

2. Contact Your Insurance Provider Immediately
If you realize that your SR-22 insurance has lapsed, the first thing you should do is contact your insurance provider immediately. In some cases, the lapse may be due to a simple oversight, such as a missed payment or administrative error. Your insurer may be able to reinstate your policy if the lapse was recent and the issue is resolved quickly.

3. Reinstate Your SR-22 Insurance
If your SR-22 insurance cannot be reinstated with your current provider, you will need to obtain a new SR-22 filing as soon as possible. To do this:

• Secure Coverage: Once you’ve found a suitable policy, purchase the insurance and ask the provider to file the SR-22 form with the state on your behalf. This will reinstate your proof of financial responsibility.
  
  
• Verify the Filing: After the SR-22 is filed, verify with both the insurance company and the state that your filing is active and in compliance with state requirements.

4. Understand the Repercussions on Your Driving Record
A lapse in SR-22 insurance not only affects your current coverage but can also have long-term repercussions on your driving record and insurance premiums. A lapse may be recorded on your driving history, making it more difficult to obtain affordable insurance in the future. Additionally, the lapse could reset the clock on your SR-22 requirement, meaning you may need to carry SR-22 insurance for an extended period.

5. Consider High-Risk Insurance Providers
If you’re having difficulty finding an insurance provider willing to issue an SR-22, you may need to seek out insurers that specialize in high-risk drivers. These companies are experienced in dealing with SR-22 filings and can help you navigate the process of reinstating your coverage.

6. Avoid Future Lapses
To avoid future lapses in your SR-22 insurance, consider the following steps:

• Set Up Automatic Payments: Ensure that your insurance payments are made on time by setting up automatic payments. This can help prevent lapses due to missed payments or forgetfulness.
  
  
• Keep Track of Renewal Dates: Mark your calendar with important renewal dates and payment deadlines to avoid any accidental lapses in coverage.
  
  
• Maintain Continuous Coverage: If you switch insurance providers, make sure there is no gap in coverage between the cancellation of your old policy and the start of your new one.
  
  
• Communicate with Your Insurer: Stay in regular communication with your insurance provider and notify them of any changes in your situation that could affect your policy or coverage.

Conclusion
A lapse in SR-22 insurance can have serious consequences, including license suspension, fines, and higher insurance premiums. If your SR-22 insurance lapses, it’s crucial to act quickly by contacting your insurance provider, reinstating your coverage, and verifying your compliance with state requirements. By understanding the importance of continuous SR-22 coverage and taking steps to avoid future lapses, you can maintain your driving privileges and work towards eventually removing the SR-22 requirement from your record.

At Elite Insurance Services, we put our clients first by offering them policies that they can afford. Having insurance is a necessity nowadays, and we're here to help you. Learn more about our products and services by calling our agency at (719) 302-1110. You can also request a free quote by CLICKING HERE. 

Disclaimer: The information presented in this blog is intended for informational purposes only and should not be considered as professional advice. It is crucial to consult with a qualified insurance agent or professional for personalized advice tailored to your specific circumstances. They can provide expert guidance and help you make informed decisions regarding your insurance needs.