Is SR22 required, when insurers report the cancellations?
by Guest » Fri Jan 18, 2013 02:16 pm
If the state laws need to report all the cancellations. I wonder what are the Sr22's for? CA has both I know.
Total Comments: 3
Posted: Sun Jan 20, 2013 01:15 am Post Subject:
An SR-22 is filed by the insurance company with the DMV to prove that you have insurance coverage following an uninsured event that resulted in revocation of one's driving privilege, such as being convicted of driving without proof of insurance or being involved in a collision.
In California, and almost all other states, each insurance company is now required to electronically report voluntary cancellations of auto insurance by the policyowner or for all cancellations by the insurance company due to nonpayment of premium by the insured.
While related, the two reports are not the same. One could lead to loss of driving privilege, the other restores it.
Posted: Mon Jan 21, 2013 01:20 pm Post Subject:
I have heard that the standard insurance cancellations have a delay option, whereas Sr-22s have to be filed on time.
It seems like the cancellation and Sr-22 works like an either-or option. Isn’t it? Since once a cancellation is reported, there isn’t any need for the SR-22.
Posted: Mon Jan 21, 2013 03:17 pm Post Subject:
Since once a cancellation is reported, there isn’t any need for the SR-22.
Wrong. The SR-22 is notice that insurance is now in effect after some incident occurred when there was no insurance in effect (either a collision or being cited for driving without proof of insurance) so that a person's driving privilege may be continued or reinstated after having been suspended or revoked.
A cancellation notice from the insurance company to the DMV is exactly the opposite, giving the DMV authority under state laws to revoke a person's driving privilege, in some cases without additional notice.
The two notices are not the same nor are they interchangeable. Although insurance companies are under mandates to report cancellations within a certain time period, it could still take the DMV months to revoke a person's driving privilege for a first offense (CA gives most drivers up to 150 days to obtain new insurance -- way too lenient in my opinion for a first time offender). Drivers who now have an SR-22 in their possession probably want to deliver that to the DMV as soon as possible, because one's driving privilege is not automatically reinstated simply because they have the form in hand.
Posted: Sun Jan 20, 2013 01:15 am Post Subject:
An SR-22 is filed by the insurance company with the DMV to prove that you have insurance coverage following an uninsured event that resulted in revocation of one's driving privilege, such as being convicted of driving without proof of insurance or being involved in a collision.
In California, and almost all other states, each insurance company is now required to electronically report voluntary cancellations of auto insurance by the policyowner or for all cancellations by the insurance company due to nonpayment of premium by the insured.
While related, the two reports are not the same. One could lead to loss of driving privilege, the other restores it.
Posted: Mon Jan 21, 2013 01:20 pm Post Subject:
I have heard that the standard insurance cancellations have a delay option, whereas Sr-22s have to be filed on time.
It seems like the cancellation and Sr-22 works like an either-or option. Isn’t it? Since once a cancellation is reported, there isn’t any need for the SR-22.
Posted: Mon Jan 21, 2013 03:17 pm Post Subject:
Since once a cancellation is reported, there isn’t any need for the SR-22.
Wrong. The SR-22 is notice that insurance is now in effect after some incident occurred when there was no insurance in effect (either a collision or being cited for driving without proof of insurance) so that a person's driving privilege may be continued or reinstated after having been suspended or revoked.
A cancellation notice from the insurance company to the DMV is exactly the opposite, giving the DMV authority under state laws to revoke a person's driving privilege, in some cases without additional notice.
The two notices are not the same nor are they interchangeable. Although insurance companies are under mandates to report cancellations within a certain time period, it could still take the DMV months to revoke a person's driving privilege for a first offense (CA gives most drivers up to 150 days to obtain new insurance -- way too lenient in my opinion for a first time offender). Drivers who now have an SR-22 in their possession probably want to deliver that to the DMV as soon as possible, because one's driving privilege is not automatically reinstated simply because they have the form in hand.
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