How a DUI Conviction Impacts Your Auto Insurance
A DUI (Driving Under the Influence) conviction can have a significant impact on your auto insurance. Here's how a DUI can affect your auto insurance:
Increased Premiums: Following a DUI conviction, your insurance company is likely to consider you a high-risk driver. As a result, they may increase your premiums significantly. The exact increase will depend on several factors. These include your location, driving history, and the insurance provider.
SR-22 Requirement: In many places, a DUI conviction may require you to file an SR-22 form. You will need to submit this form to your state's Department of Motor Vehicles (DMV) or similar agency. An SR-22 is a certificate of financial responsibility that proves you have the required auto insurance coverage. Insurance companies usually charge a fee for filing an SR-22, further adding to the financial impact of a DUI.
Policy Cancellations or Non-Renewals: Some insurance companies have strict policies regarding DUI convictions. They may choose to cancel your policy or refuse to renew it when it expires. In such cases, you'll need to find a new insurance provider that is willing to insure a driver with a DUI on their record. This can be challenging and may result in even higher premiums.
Limited Coverage Options: If your insurance provider keeps covering you after a DUI, they might limit your coverage choices. They might exclude certain coverage types or impose additional conditions, such as higher deductibles or reduced coverage limits.
Required FR-44 Form: In some states, like Florida and Virginia, drivers with a DUI must file an FR-44 form. This form is like an SR-22 but needs higher liability insurance limits. This can lead to further increases in insurance costs.
Impact on Future Insurance Rates: A DUI conviction usually stays on your driving record for three to seven years. This time can vary based on where you live. During this period, your insurance rates are likely to remain higher than they would be for drivers with clean records.
Other Consequences: It's important to note that a DUI conviction can have other financial implications beyond auto insurance. You might have to pay fines and legal fees. You may also need to install an ignition interlock device in your car, which can raise costs even more.
To reduce the impact of a DUI on your insurance, drive safely. Avoid driving under the influence of alcohol or drugs. As time passes, the DUI conviction will age. You can improve your driving record by showing responsible behavior. This may help lower your insurance costs in the future.