In the state of Florida, you need to make sure that your driver’s license has liability coverage on it. The reason why this is so important is because if there were ever any sort of accident involving you as a motorist, then the other party would be able to sue you for damages they’ve suffered. This can range from property damage up to bodily injury, depending on what happens during the incident. In order to protect yourself against these liabilities, all states require certain types of insurance policies. One of those is called an “SR-22 form.” But how does one go about getting such a policy? And are there alternatives to having to carry out an SR-22 filing with the DMV? Keep reading to find out more…
What Is SR-22 and FR-44 Insurance in Florida?
Before we discuss how to obtain an SR-22, let us first explain what exactly this type of insurance entails. An SR-22 is also known as an ‘evidence of financial responsibility’ (FR) certificate. It is essentially a document issued by an insurer which certifies that the insured has enough money available to pay off any judgement that might come their way should they injure someone while operating a vehicle under their care. It is only valid for 3 years once filed and renewed, but it acts as proof of insurance until you actually purchase another policy. This allows people who operate vehicles illegally to drive legally for a short period of time before buying insurance themselves. However, an SR-22 cannot cover accidents caused due to drunk driving or even drugged driving. If you plan on doing either of those things, you will instead want to look into insuring through a company that specializes in DUI insurance. The FR-44 is similar in nature but differs slightly in terms of its requirements. While both documents function similarly, an FR-44 works differently when compared to an SR-22. With regards to cost and premium rates, the two are very much comparable. However, the main difference between them lies within the fact that an SR-22 requires a person to submit personal information. On top of showing their ability to afford payment, this certification shows that they meet the legal criteria set forth by the Department of Highway Safety & Motor Vehicles (DHSMV). A FR-44 doesn’t ask you anything regarding your credit history nor does it request any private details such as your Social Security number. If you’re interested in learning more about each individual piece of paperwork, keep reading below!
Non-owner SR-22 insurance in Florida
As mentioned earlier, an SR-22 is often referred to as evidence of financial responsibility. As such, many people refer to it as non-owner auto insurance. When asked whether or not they owned a car, most Americans respond affirmatively. That being said, some individuals choose to rent cars rather than own them outright. Others simply don’t see owning a vehicle as something worth pursuing financially. Either way, it is likely that at least 1% of U.S. residents fall into this category. For those who aren’t aware, an SR-22 isn’t intended for renters. Like all other standard auto insurance plans, it was designed specifically for people who own automobiles. Non-owners may still file one however, especially if they live somewhere where owning a vehicle makes little sense. For example, renting a car is cheaper than paying for parking fees at malls. Or perhaps living in rural areas means you won’t use public transportation anyway. Regardless of the reason behind your decision to rent a car, here is a quick rundown of the steps involved in obtaining an SR-22. First, you’ll need to visit your local DHSMV office. They handle everything related to automobile licensing and registration in Florida. Once inside, you must fill out Form SR22 Application for Auto Liability Insurance. Afterward, you’ll receive notice via mail indicating whether or not you qualify for an SR-22. You’ll also be given instructions on how to proceed next. Once again, you’ll need to head back over to the department. Upon arrival, you’ll complete Form SR22/Form SR32 Certificate of Insurance. Make sure to bring along all the necessary documentation pertaining to your income, including bank statements and tax returns. Lastly, you’ll need to take photographs of your assets. These pictures serve as supporting documentation of your finances. Afterwards, you’ll receive an official copy of the certificate. From there, you’ll need to wait 30 days before renewing your current policy. At renewal time, you’ll be asked to provide a new copy of the certificate. Then, you’ll be good to go for another three years, provided you maintain your original premiums. Now that you know how to apply, read on below to learn how to buy cheap SR-22 insurance in Florida.
How do I get an SR-22?
One way to save money on your SR-22 insurance is to shop around among multiple companies. Although prices vary across carriers, you could potentially end up saving hundreds every month just by comparing different options. Aside from price, consider customer service quality, return policies, and ease of use. Here’s our guide detailing how to compare auto insurance. Another option is to search online. There are plenty of websites offering affordable SR-22s, although they typically charge a higher rate than traditional insurers. Some sites offer discounts based upon length of membership or additional services such as roadside assistance. If you’d prefer to work directly with a carrier, try visiting the website listed above.
SR-22 vs FR-44
While the primary purpose of an SR-22 is to show that you have sufficient resources to pay for any judgment awarded after an accident, it doesn’t necessarily mean you’re free of risk. This is because the document focuses primarily on making sure you have adequate funds to pay for the claim itself, regardless of the outcome. On the contrary, an FR-44 is meant to act as a safeguard against future lawsuits. It ensures that you have the monetary capacity to satisfy potential judgments rendered against you in case of an accident. Unlike an SR-22, however, an FR-44 offers no guarantee against claims brought forward by third parties. Instead, it provides general protection against possible losses. Because of this distinction, buyers tend to gravitate towards purchasing an FR-44 over an SR-22. Since they already have liability coverage built in, people generally feel safer knowing their families will be protected should they cause harm to others. Furthermore, since an FR-44 protects against third-party claims, it is less expensive overall. Notably, neither of these certificates comes close to replacing comprehensive insurance. Comprehensive covers repairs to your vehicle following an accident, whereas collision only deals with physical injuries sustained. Also, unlike SR-22s, FR-44s usually lack uninsured motorists coverage. For this reason, it is best to complement your existing auto insurance with supplemental coverage.
Best Cheap SR-22 and FR-44 Insurance in Florida
There are numerous ways to lower costs associated with securing an SR-22 or FR-44. First, shopping at reputable providers helps reduce premiums significantly. Second, maintaining low mileage reduces monthly payments. Finally, choosing high deductible levels tends to decrease total expenses. With regard to deductibles, there are two major categories. High-deductible plans charge higher premiums yet limit compensation amounts paid out by insurance companies. Low-deductible plans, conversely, cap maximum payout limits per occurrence but allow customers to enjoy reduced premiums. Most people opt for low-cost plans. You can improve affordability further by combining multiple discounts. Carriers offering discounts include AAA, Progressive, Geico, MetLife Auto Plus, Farmers, Nationwide, Allstate, Liberty Mutual, USAA, Esurance, State Farm, Midland, Infinity, Travelers, Hartford, and ProPublica. Aside from reducing costs, finding cheap SR-22 and FR-44 insurance in Florida is beneficial for several reasons. Firstly, it lowers stress levels by cutting down on worries. Secondly, it frees owners from worrying about mounting bills. Thirdly, it enables consumers to spend more cash on discretionary items. Finally, it encourages economic growth. Finally, if you decide to switch providers, remember that most auto insurance companies give refunds for cancellation. Customers just need to call their agent and request a refund. When searching for a new provider, check to see whether or not they accept refusals.
Additional insurance forms required
Even though the process described above is relatively straightforward, there are still other considerations. For instance, many Floridians face unique problems due to medical conditions and disabilities. To address this issue, lawmakers passed laws allowing patients to bypass health exams and undergo background checks electronically. Nonetheless, everyone needs to follow relevant guidelines. Specifically, anyone applying for life insurance must pass a physical exam. Additionally, applicants seeking coverage for dependents should contact their doctor. Although these rules exist to ensure safety, they also increase the likelihood of errors occurring. Therefore, it is vital for prospective clients to research thoroughly prior to completing applications. Doing so could help prevent unnecessary headaches later on.