Car Insurance DUI Consequences
According to the Insurance Information Institute, nearly 12,000 people died in alcohol-related car crashes in 2008 alone. Due to the seriousness of driving under the influence, the consequences are severe. Besides experiencing license suspension, paying fines or serving jail time, there are also consequences to face with your car insurance company.
Other People Are Reading
-
The SR-22
-
In many states, if you are convicted of a DUI, you will be required to file an SR-22 form from your insurance company to prove you are insured so your license suspension can be lifted. This notifies your insurer that you have had a DUI.
Checking Records
-
Even if you were not required to obtain an SR-22, your insurance company, by law, can still check for a DUI on your record every three months or when you are renewing a policy.
-
Rate Increases
-
Insurance companies, once aware of DUIs, nearly always raise rates. A rate increase, though undesirable, is the least severe consequence of a DUI. If that is the only negative consequence, switching insurance companies would not be advised.
High-Risk Label
-
Your insurer may choose to label you high-risk. This can affect your ability to find insurance elsewhere and can affect the rates you are offered.
Cancellation
-
Your car insurance company may choose to cancel your policy. Having a policy canceled can make it more difficult to get insurance from another company. In some states insurers cannot cancel but can refuse to renew at expiration time.
-
References
- Photo Credit luxury car - model toy car image by alma_sacra from Fotolia.com
