What is an SR-22?

October 1, 2014

 What is an SR-22?

An SR-22, sometimes referred to as a Financial Responsibility Form, demonstrates proof of liability insurance.  In other words, it is evidence a driver has an active insurance policy, thus the ability to pay a future claim up to a state’s minimum required limit.

 Why is an SR-22 needed?

In most cases an SR-22 is a requirement of the reinstatement process of a suspended, revoked or cancelled license.

 How can an SR-22 be obtained?

An SR-22 may be available on an auto insurance policy. An agency might recommend a separate auto insurance policy specifically to satisfy an SR-22 requirement.  A can assist in either adding the SR-22 filing to an existing auto insurance policy or starting a policy that includes an SR-22 filing.

 How does an SR-22 compare to an identification card?

An insurance identification card is provided so that an insured may provide coverage information when needed.  The card may be used in the event of an accident or traffic stop. An SR-22 is actually a form filing, separate from the auto insurance policy, sent by the issuing insurance company to the Department of Motor Vehicles or Bureau of Motor Vehicles. It serves as evidence that the driver has an active auto insurance policy in force.

 For what period of time is an SR-22 required?

This can vary by state and circumstance. For example, an SR-22 may be required for a time period of three consecutive years.

 What if the SR-22 customer doesn’t own a car?

Whether or not the customer owns a car, they must carry an SR-22 if deemed by the state.

 What if the customer misses a payment?

Should an auto insurance policy not be paid to date, the policy will cancel, meaning there is no longer active coverage in the case of an accident. When the policy has an SR-22, the issuing insurance company is required to notify the Department of Motor Vehicles/Bureau of Motor Vehicles that the policy has cancelled. This notification is called an SR-26 filing.

 What if an SR-22 is needed for another state?

An SR-22 must be maintained in the state it was mandated, even if the customer does not reside in that state. If these states are different, the local independent agency needs to utilize an auto insurance company that can issue an SR-22 in the required state.