SR22 form refers to the financial responsibility certificate that indicates that a motorist has the recommended liability coverage amount on their car insurance policy. One only needs to file the SR22 file when ordered by the state or a court because of committing certain car related violation like getting a Driver under the influence (DUI) ticket.
Suspension of a license because of a violation like that means that you have to inquire your insurer provider to file the SR22 for you or get an auto insurance policy from a firm willing to file it for you.
This car insurance policy provided by the firm that also filed the SR22 form is known as SR22 bond or SR22 insurance.
This filing serves as the evidence of coverage to the Department of Motor Vehicles, affirming you have recommended liability coverage amount on your car insurance policy as mandated by your state.
Due to the fact that this coverage pays for property damaged or injuries to others resulting from an accident that you are the one at fault, various states needs evidence of 3rd party insurance. However, coverage of the SR22 insurance does not provide cover to physical damage on your car or bodily injuries that you may sustain from the accident.
Circumstances that require you to acquire SR22 insurance
• Driving while intoxicated (DWI) or Driving under the influence(DUI) convictions
• An uninsured driver responsible for an accident
• When caught driving and your license is restricted or revoked.
• Convictions of numerous traffic offenses within a short duration
All these circumstances results into you being considered as the high risk motorist something that instantly leads into your driving license suspension and your state Department of Motor Vehicles or the court will provide you with notice that requires you to obtain the SR22. After filing and processing of you SR22 form, you can restore your driving license and get back to driving.
Basically, any car insurance firm licensed in any state has the ability to file the SR22, though they are not obliged to do that. It is also worth noting that a SR22 negatively affects your insurance rates since you are deemed as a dangerous driver.