Effects of DUIs on Insurance
A driving while intoxicated (DUI) ticket can have many negative consequences. In addition to a fine, court costs and possible license suspension or revocation, it can affect your insurance in negative ways. The changes to your insurance do not typically go into effect until you are convicted of the DUI and it shows up on your motor vehicle report (MVR).
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Increased Rates
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It is almost guaranteed that when the insurance company finds out that you received a DUI, your insurance rates will increase. The insurance company views you as a higher risk customer when you receive a DUI, and therefore more likely to get in an accident that results in a high dollar claim. Even if you have nothing else on your driving record, a DUI will likely increase your rates considerably. Most states do not allow insurance companies to change rates in the middle of an insurance term, so your rates will likely remain the same until the policy renews.
SR-22
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Most states require that you get an SR-22 from your insurance company if you receive a DUI. An SR-22 is a form that the insurance company must send to the department of motor vehicles (DMV) showing you have insurance; if your insurance lapses for any reason, they must update the DMV, and your license will be suspended. Because of the extra paperwork and time required to file this, many insurance companies charge extra for a SR-22.
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Cancellation or Non-Renew
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Some insurance companies might cancel your insurance or not renew it at the end of your six month term if you have a DUI conviction. Most states require insurance companies to give 60 to 90 days notice to cancel or non-renew a person's insurance, so it might take some time for this to happen. If your insurance is canceled it might make it even harder to get insurance elsewhere.
Assigned-Risk Pool
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If you are unable to get insurance at any traditional insurance company, you might have to get insurance from the state's assigned-risk pool. This pool is for drivers that cannot get insurance from the voluntary, or traditional, marketplace. The rates are much higher in the assigned risk pool, because every driver insured in it is considered high risk. If you are in the assigned-risk pool, it is best to keep a clean driving record and get out of it as quickly as possible.
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References
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