A DUI conviction can have serious consequences. Not only will you face the consequences of a DUI conviction, such as fines and attorney fees, but there will also be long-term consequences, including the impact on your car insurance rates, coverage, and other costs.
Your insurance company will respond to you in one way if you are not convicted of DUI.
1. Rates of auto insurance increase
A DUI ticket can lead to an increase of your insurance rates. Sometimes, this will be substantial. Your premiums will increase if you are deemed a high risk driver.
2. Your policy may be cancelled.
Your policy could be cancelled if your insurance company is unable to provide you with insurance coverage. Your policy will be cancelled if your insurer stops providing insurance coverage during the policy term. To find out how your insurance company will handle your case, it is a good idea to research the laws in the state you live in.
The majority of states require DUI offenders that they obtain an SR-22 form from their auto insurance companies. The SR-22 serves two functions:
1. This makes it impossible to avoid a DUI-related traffic stop without your insurer knowing about it. This ensures that you have adequate coverage and no lapses if you are convicted for DUI.
This form certifies to the DMV that you have liability insurance. It also removes your license suspension. Your insurance company must notify the DMV if they cancel your coverage. If the DMV does not receive notification, your license will be automatically suspended. This arrangement has a problem because not all insurance companies offer SR-22 coverage. This could mean that your policy is not renewed or cancelled.
It is possible that you had an auto policy in place prior to getting a DUI ticket. If this happens, your rates may not change for a while. Your current insurer might not know about your DUI conviction. This is because insurance companies randomly check the driving records and may find out about your DUI conviction. If they do, your policy could be cancelled at expiration, or you may have to pay triple your current policy.
If your current insurance company has ended, there are high-risk companies that will take your case. These companies will place you in the ‘high-risk driver’ category, and you will be required to pay higher auto insurance rates for your new SR-22 plan.
To stay with your favorite company, you must be a responsible and attentive driver. This is better than being DUIed and considered a high-risk driver. Your car insurance company will penalize you for driving drunk.
It is easy to avoid embarrassment and rate increases caused by a DUI. Don’t drink and drive. You can also call a taxi or hire a driver to take you around while you have fun. This will reduce your auto insurance premium and will also keep you clean.
