November 28, 2022

Can You Get Car Insurance with a Suspended License?

Millions of passenger car accidents happen in the US every year. While cars are getting safer, drivers are getting reckless. This recklessness often results in the suspension of a driver’s license. 

But what about car insurance policies? Can someone get car insurance with a suspended license? From the reasons for license suspension to the process of getting car insurance and the price hike to expect, here’s everything you need to know about car insurance with a suspended driving license. 

Suspended License

The first thing to do is understand what a suspended license means. Your driver’s license is a legal document that certifies that the holder of the record has passed the inspection and is fit to handle the mentioned vehicle. 

Driving without a driver’s license can get you heavy fines and even some jail time. Sometimes, people who commit serious traffic offenses can get their driver’s license suspended for a few months to a few years. 

A suspended license means that you cannot drive anywhere and have to resort to public transportation to commute. But what are the traffic offenses that could lead to the suspension of your driver’s license?

Reasons for Suspension

The reasons for the suspension of a driver’s license come in a range of different traffic violations. The state you live in also matters a lot, as some states consider reckless driving a significant offense, while others will give you a slap on the wrist. 

Any serious traffic violation can lead to a driver’s license suspension. It can be reckless driving, driving under the influence, driving while intoxicated, driving without the required insurance policies, or getting in severe car accidents that result in serious or permanent injury or death to someone. 

Sometimes, getting multiple tickets and having a bad driving record will get your driver’s license suspended. So the best way of avoiding such things is by driving carefully and following traffic laws. 

So what happens after your driver’s license has been suspended? You still need to drive and go to places. For all that matters, you’ll have to get a restricted license. 

Restricted License

Your state’s DMV will issue a restricted or conditional driving license that can be used to drive under particular circumstances. There are other restrictions as well, which you’ll have to talk to the folks at the DMV to know about. But what about car insurance? 

Car Insurance with a Suspended License?

It is possible to get car insurance with a suspended license only if you have a restricted or conditional license first. Insurance companies will offer car insurance but with multiple conditions. They could also apply some restrictions on the claim process.

We’ll talk about the rates of car insurance after license suspension later. But first, you need to know about SR-22 and FR-44 forms if you wish to have car insurance after getting your license suspended. 

SR-22 and FR-44 Form

There is considerable confusion that has spread widely about SR-22 and FR-44 forms. Many people consider these two as car insurance policies you get after getting your license taken. That is not the case. 

SR-22 and FR-44 are legal forms that need to be submitted to the state’s department of motor vehicles either by the applicant or the applicant’s car insurer. This form is to notify the DMV that the person with the suspended license (and a restricted license) is operating the car with the appropriate and mandatory car insurance policies. 

Every state has its own requirement for car insurance policies with a specific minimum coverage limit. For example, some states require drivers to have liability insurance with a minimum coverage limit of a certain amount. 

Some states require drivers to have both liability coverage and personal injury protection plan as well, while some require them to have uninsured motorist coverage too.

So if someone has a restricted license due to some accident, they are very likely to get in another accident. What if they get the license and start driving without the proper car insurance policies? This is where the SR-22 form comes in. 

The SR-22 or FR-44 form is the insurance company ensuring the government that you have all the proper car insurance documents as mandated. SR-22 is necessary to have for people with suspended licenses to drive a vehicle legally. 

FR-44 is just like SR-22, but while SR-22 is valid in almost all the states in the US, FR-44 works only in Virginia and Florida as of 2022. These documents also only cost a little to file, ranging from $15 to $25. But this cannot be said about the auto insurance policies. 

Rates After License Suspension

Your car insurance rates will increase after your driver’s license gets suspended. This price hike is not because of license suspension but because of the reason why your license was suspended. 

How much will the price hike be? That depends totally on the state you live in and the traffic violation committed. For example, you can get a little price hike of just 20% to 30% for license suspension due to multiple tickets. 

But if the traffic violation was serious, expect severe damage to your wallet as well. DUI or DWI charges can increase your insurance rates by 100% to 200%, while accidents that lead to permanent injury or death of the other person could increase the cost of car insurance even more.

It is complicated to get affordable car insurance rates after getting your license suspended. The only way to save some money is by changing your car insurance provider and choosing another, more affordable one. 

For example, if you live in Nevada, look for the cheapest car insurance in Nevada, compare all the options after getting a quote and select the one that offers the best coverage at the most affordable price.

So make sure that you drive safely, follow the traffic rules, and avoid getting in car accidents and driving while intoxicated. Prevention is better than any cure. 

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Thinking about car insurance with a suspended license? Here’s everything you need to know, from the process to price hike and SR-22 forms.