No, New Jersey does not require SR-22 insurance. Even though New Jersey does not have an SR-22 requirement, drivers in the state should still expect their insurance rates to go up if they’re convicted of a serious driving-related offense. For example, premiums in New Jersey go up by an average of 94% after a DUI conviction.
Unlike New Jersey, many states require drivers to file an SR-22 form with the DMV in order to verify that they meet the state’s minimum insurance coverage requirements after being convicted of a major moving violation like DUI. New Jersey is one of 12states without such a requirement.
SR-22 insurance covers the cost of other people’s injuries and property damage after accidents that you cause, and it does not cover damage to your own vehicle. If the court or state tells you that you need SR-22 insurance certification, your minimum coverage requirements are still the same as for any other resident.… read full answer
SR-22 is actually the name of the form the court or state requires from drivers convicted of certain violations, such as DUI/DWIs, reckless driving, and driving without a license or insurance. The SR-22 must be filled in by your insurance company and certifies that you have the legally required coverage.
What SR-22 Insurance Covers Depending on State
Many states only require liability insurance. In these states, SR-22 insurance covers the costs of the other driver’s injuries or property damage if you’re at fault in an accident. Some states, like Florida and Michigan, also require Personal Injury Protection, which pays medical expenses for you and your passengers. States such as New Jersey and New York mandate uninsured or underinsured motorist protection, as well. This kind of insurance pays for your losses if another driver is at fault and either has no/low liability insurance or is a hit-and-run driver.
SR-22 Insurance Limits
Like all insurance, SR-22 insurance policies are written with limits. These limits are the maximum amounts the insurance company will pay out for losses. The coverage limits for your SR-22 insurance policy will follow the requirements of the state in which you were convicted or now live, whichever are higher.
Even though it’s minimal, SR-22 coverage can be expensive. The violation you committed will put you into the insurance company’s high-risk pool of drivers. This can raise your insurance costs 25% or more.
Yes, you can get car insurance with a suspended license if you have a hardship license to drive to work, school, and medical appointments. Or, some car insurance companies may be willing to insure your car against non-collision damage —theft, fire, flood, vandalism, falling objects, etc.—if you turn in your plates and store the vehicle for as long as your driver's license is suspended.… read full answer
You may have to shop around for coverage. If your insurance company doesn’t issue high-risk policies, they may cancel or refuse to renew your coverage. Smaller, regional companies and insurers that focus on drivers other companies don’t like to cover, such as The General, are more likely to insure you while your license is suspended.
Before your suspension ends, you will need to have liability coverage and any other state-required insurance again, under your name. The court or state may require you to submit an SR-22 form certifying that you have at least the state’s minimum insurance requirements. Only an insurance company can submit this form, when you purchase insurance, and not all companies will. Once again, you may need to look around, but some major national insurers do offer SR-22 insurance and service, including State Farm, Progressive and GEICO.
Most insurance companies check your driving record for the past three to five years, meaning if you had a violation outside this time period, it will not affect your insurance premiums. Some states regulate this “look-back” period, however, making it longer or shorter. For example, Massachusetts allows insurance companies to look back at 10 years of driving records. Virginia limits insurers to checking only three years of history.… read full answer
When you apply for, or renew, your auto insurance, the insurance company will evaluate your risk level — how likely you are to cost them money through claims. The best way to do this is by reviewing your driving record. Insurers look for accident reports and both major and minor driving violations.
Minor violations include speeding, failure to stop, improper turns, following too closely, etc. These raise your risk in the eyes of an insurance company because they show you don’t obey traffic laws designed to prevent crashes. In most states, minor traffic violations can be seen on your record for only three years.
Speeding (at least 20 mph over the limit), reckless driving, impaired driving, leaving the scene of an accident, and vehicular manslaughter are examples of major driving violations. They stay on your record longer. In Florida, for example, causing an accident while under the influence stays on your record for 75 years, basically your lifetime. Insurance companies count serious violations and at-fault accidents heavily in setting premiums.
Once the blemishes on your record are older than the look-back period, however, they are no longer a factor in setting your rates. For example, if your insurance company has a look-back period of five years, an accident you had in 2014 would stop affecting your rates in 2019. Your insurance rates should decrease at your next renewal as a result.
WalletHub Answers is a free service that helps consumers access financial information. Information on WalletHub Answers is provided “as is” and should not be considered financial, legal or investment advice. WalletHub is not a financial advisor, law firm, “lawyer referral service,” or a substitute for a financial advisor, attorney, or law firm. You may want to hire a professional before making any decision. WalletHub does not endorse any particular contributors and cannot guarantee the quality or reliability of any information posted. The helpfulness of a financial advisor's answer is not indicative of future advisor performance.
WalletHub members have a wealth of knowledge to share, and we encourage everyone to do so while respecting our content guidelines. This question was posted by WalletHub. Please keep in mind that editorial and user-generated content on this page is not reviewed or otherwise endorsed by any financial institution. In addition, it is not a financial institution’s responsibility to ensure all posts and questions are answered.
Ad Disclosure: Certain offers that appear on this site originate from paying advertisers, and this will be noted on an offer’s details page using the designation "Sponsored", where applicable. Advertising may impact how and where products appear on this site (including, for example, the order in which they appear). At WalletHub we try to present a wide array of offers, but our offers do not represent all financial services companies or products.