People who pay the lowest auto insurance rates are individuals who pose low risks to insurance companies. People who pay the highest rates are those who pose the highest risks to insurance providers. Insurance agents base the costs of insurance on risk levels for a reason. If you are a high-risk driver, you will likely pay higher rates and you might even need SR-22 insurance. SR-22 insurance is for people with high risk, but does this mean that every high-risk driver needs it?
It Is Not Necessary for All Drivers That Fall in This Category
Some high-risk drivers need SR-22 coverage, but there are also ones that do not. SR-22 is not something that everyone must have when an insurance company labels them in the highest risk category. Therefore, if you have a lot of speeding tickets on your record and are paying higher rates as a result, you might be a high-risk driver, but you might not need SR-22 coverage.
It Is Necessary Only When the State Mandates It
In other words, you should not rush out to buy SR-22 coverage just because of the label you have. You only need to buy it when the state mandates it, and they will let you know by issuing you a letter. The letter will state several critical things. It will indicate that you need SR-22, how long you must keep it, and the date by which it is due. At that point, your job is to find a company that offers SR-22 filings and purchase an auto insurance plan through them.
You Cannot Get By Without It if You Need It
If you receive a letter that tells you to purchase SR-22 insurance, you have two options. First, you can go ahead and purchase a plan and keep your driver's license. If you buy the plan by the due date, you can continue driving. The other option is to ignore the letter and not purchase a policy. If you choose this route, you will no longer be able to drive legally. The DMV will suspend your license, and you will encounter more problems if you continue to drive.
If you currently do not need SR-22 insurance but are a high-risk driver, you should do all you can to drop your risk level. An insurance agent can help you learn what steps to take to accomplish this goal. If you need SR-22 auto insurance, talk to an insurance provider today.
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