The Pros and Cons of Non Owner SR22 Insurance
Are you interested in the pros and cons of non owner SR22 insurance but don't know where to learn more? Read more about it here.
If you have recently been convicted of a DUI or other major moving violation, a court or state may have mandated you to carry an SR22 auto insurance policy. What about if you don't own a vehicle?
Does that mean you still need to obtain an SR22 auto insurance policy? Yes! Even if you don't have a car you own, you may still need to get an SR22 auto insurance policy.
This is where a non owner SR22 policy comes into play. If you want to learn more about this insurance policy and what it does and does not cover, then you came to the right place. This brief guide will cover the pros and cons of a non owner car insurance policy and who you can reach out to for more information.
Car Insurance Without a Car
Non owner car insurance, also known as non-drivers insurance, provides a driver liability insurance coverage for those who do not own their own vehicle. If you do not have your own vehicle but frequently drive someone else's car, you will need a non owner insurance policy.
Liability auto insurance pays for any damages or injuries you cause to other people or property in a car accident. It is important to note that this coverage only provides liability insurance coverage.
This means that it only covers the damage to other vehicles or people if you are at fault for an incident. It does not pay for any damages done to the car you borrow.
What Is SR22 Insurance?
SR22 insurance is not a type of insurance. Instead, it is a certificate of responsibility that many drivers need to obtain per a court or state order. Your auto insurance carrier typically files this form on your behalf to prove that you meet the minimum liability coverage required by your state.
What Is Non Owner SR22 Insurance?
Now that you know what non owner car insurance is and what an SR22 is let's talk about a non owner SR22 policy. A few auto insurance companies offer non owner SR22 policies because drivers need auto insurance coverage but do not own a vehicle.
Suppose you have recently been convicted of a serious traffic violation such as a DUI. In that case, you may have a court order requiring you to have an SR22 certificate attached to your auto insurance policy. This ensures that you have enough coverage to pay for any damages caused by a future auto accident.
SR22 Non Owner Car Insurance Pros
There are many reasons why your state may mandate you to obtain an SR22 auto policy. As stated earlier, if you are someone convicted of driving under the influence, you may need to get an SR22 policy so that you can still drive a vehicle.
Other reasons why you may need an sr22 non owner policy:
Previously failed to carry liability insurance on your vehicle
A conviction for driving without an active insurance policy
DWI or other major alcohol offense conviction
Serious moving violation
Habitual traffic offender
To apply for a hardship permit
Reinstate your license after revocation or suspension
If you have any of those listed offenses on your record but still plan on driving, you will need to obtain a non owner SR22 policy.
Some insurance companies can offer you to add other types of insurance to the policy. For example, an auto insurer may provide you with the opportunity to add medical payments/personal injury protection or uninsured/underinsured coverage.
Medical payments help to pay for your injuries sustained in an auto accident. This coverage will only cover the medical bills associated with the accident.
Personal injury protection also covers your medical bills, but it has the added benefit of paying for any wages lost while you were out of work recovering from your injuries. You can use these coverages, regardless of who is at fault for the accident.
If you are involved in an accident with another vehicle that does not have insurance, you can use your uninsured coverage to pay for the damages done to your car. If a vehicle hits you and does not have enough insurance to cover your damages, you can use your underinsured coverage.
Depending on where you live, there is a deductible associated with this coverage. For example, if you live in Texas, there is a $250 deductible you will need to pay after the repairs are complete to the vehicle.
SR22 Non Owner Car Insurance Cons
The biggest con of these non owner car insurance policies is the fact that there are no first-party coverages. This means that if you are involved in an accident, there is no coverage to take care of the damages caused to the vehicle you drive.
Non owner insurance policies are mostly considered secondary coverages. In other words, your non owner insurance policy only kicks in if there is no coverage on the vehicle you drive. For example, let's say that you borrow your cousin's car, and they have full coverage on their policy.
If you get into an accident, your cousin's vehicle insurance will cover the damages. If your cousin's vehicle did not have any insurance, then your policy will kick in and cover for the damages caused. Keep in mind that if your cousin does not have any coverages for their vehicle's repairs, your non owner policy will not cover the damages either, as it is only a liability policy.
High Insurance Rates
Another major con of these SR22 insurance policies is their high rates. The main reason these policies are much higher than the average driver is the risk associated with insuring you.
If you received a DUI conviction or other reckless behavior type of conviction, you are seen as a higher risk to insure. To mitigate the risk associated with insuring you, they increase your premium rates.
The good thing is after you take off the SR22 certificate from your auto insurance policy, your rates will most likely lower significantly. Even though your previous incidents may be seen as a risk, your insurance policy will most likely won't cost as much as a policy with an SR22 attached.
Can I Cancel My Non Owner SR22 Policy?
If you purchase a vehicle at any time during your policy period, you will need to reach out to your insurer to cancel your non owner SR22 policy. They may not cancel your policy.
Instead, they will switch your policy from a non owner policy to a standard sr22 policy. If you fail to let your auto insurance company know about your new car and you get into an accident, the coverages under your non owner policy may be denied.
Suppose you want to cancel your policy because you don't want to pay for the non owner policy. However, you are still court-mandated to carry the minimum liability insurance coverages.
In that case, it is best that you do not cancel your policy. Your insurer has an obligation to let the court know about your insurance policy status.
If you cancel your policy, they will let the state know, with huge consequences. For example, you may need to start the process of obtaining a new SR22 policy all over again, or you may have your license suspended.
Overall Cost of Non Owner SR22 Insurance
As mentioned earlier, most SR22 insurance policies come at a high rate due to insurance companies' risk when insuring you. A few reputable SR22 insurance companies offer you the best rate possible for their non owner SR22 policies.
The cost of your policy depends on:
Where you live
The coverage limits
How often do you plan on driving
The insurance company's rates for SR22 policies
Remember that even though your policy may be higher than the average driver, your non owner policy should cost less than a standard SR22 policy. Make sure that you compare quotes from different SR22 auto insurance companies to get the best rate.
Get Your Non Owner SR22 Insurance Quote Today
If you frequently borrow a vehicle, but you also need to obtain an SR22 insurance policy, you will want to look into getting a non owner SR22 policy. This insurance policy offers you liability insurance in the event that you are involved in an accident.
This non owner SR22 policy will also ensure that you meet the state minimum liability auto insurance. If you are ready to obtain your non owner SR22 policy, submit your information for a free quote. We offer the best rates, and our team is here to help you with any questions or concerns about your new auto insurance policy.