How a DUI Conviction Affects Your Car Insurance

If there is anything that could drive your car insurance(Source: Progressive)
cost sky-high it's a drunk-driving (DUI) conviction.Some car insurance companies don't even offer
According to the Insurance Information Institute, there isSR-22 policies, so you may be nonrenewed or
an alcohol-related traffic fatality in the United Statescancelled because your company can no longer
every 29 minutes. Aside from the risk of killing yourselfprovide what you need.
and others, drunk driving carries with it serious penaltiesInsurers can miss DUI convictions
from your car insurance company.It's possible that your insurance company will never find
Car insurance companies may check your motorout about your DUI conviction if you don't have to get
vehicle record only once every three years or whenan SR-22. A June 2002 study by the Insurance
you're applying for a new policy. It's possible thatResearch Council revealed that as many as
accidents, tickets and DUIs may never make their wayone-quarter of driving convictions never end up on
to your official motor vehicle record. However, if yourmotor vehicle records due to lack of shared
insurer does discover your DUI and classifies you as ainformation between courts and motor vehicle
"high-risk driver," shopping around at renewal time is thedepartments, or because a conviction has been
best strategy, as car insurance rates will vary greatlyerased through alternative means, such as driving
among insurers. On the other hand, a rate hike may beschool. If you get your charge reduced in a plea
the least of your problems; your policy could bebargain, or have a limited license suspension, such as
cancelled or nonrenewed, especially if you are30 days, it's also very unlikely your insurer will find out
currently in a preferred car insurance rate class. Thenabout your conviction.
you'll be forced to look for new car insurance with theIf your insurance company misses the conviction at the
double-whammy of a DUI and a cancellation on yourtime it happens, it may still have a few years to raise
record.car insurance rates if the DUI is discovered later.
Laws regarding DUIs and car insurance coverage varyYour ultimate destiny rests with your car insurance
by state. Most states require DUI offenders to get acompany.
form called an SR-22 from their auto insurers, so youFor example, one insurance company's action depends
can't hide. This form proves to the DMV that youon which subsidiary you're with. The insurer reviews
carry liability insurance and removes your licenserate-increase decisions on a case-by-case basis. If you
suspension. An SR-22 also requires your insurancehave a preferred policy with your insurance company
company to notify the DMV if it cancels your autoand receive a DUI, they may move you into another
insurance for any reason. You'll likely have to file proofpolicy, which could be its standard-policy for riskier
of insurance for three - sometimes five - years withdrivers and higher car insurance rates.
your state's DMV.If you're with Progressive, you will not face nonrenewal
SR-22 lawsor cancellation because of a DUI, but you may face a
Delaware, Kentucky, Minnesota, New Mexico,rate increase. Progressive also reviews car insurance
Oklahoma and Pennsylvania don't require SR-22s, butrates on a case-by-case basis, with multiple factors
if you have an SR-22 and then move to one of thesesuch as age, gender, driving history and your vehicle
states, you must continue to meet the requirements ofmodel going into your rate.
the SR-22 state where the offense was committed.It doesn't end there. Your DUI conviction will follow you
New York and North Carolina don't require SR-22if you apply for life insurance and could affect your
filings at all. In some states there is a fee for SR-22s.premiums there, too.