In the United States of America, most Department of Motor Vehicle (DMV) offices require an SR-22 insurance certificate for “high risk” insurance policies. Sometimes called a financial responsibility filing or certificate of insurance, this certificate helps to reinstate driving privileges. Thus, the essence of this certificate cannot be overemphasized.
Contrary to most people’s misconception, SR-22 is not an actual insurance per se. It is “insurance” only as proof that you are financially responsible for any car accident in the future. Most car insurance policies have SR-22 as an add-on. You can learn more about the SR-22 insurance certificate and its importance for drivers in South Dakota.
South Dakota SR-22 insurance
Car accidents are inevitable. That is why insurance companies endeavor that drivers sign up for insurance coverage when they occur. Sometimes a driver confirmed at fault in the event of an accident, leading to a suspension of his or her driving privileges. To get such suspension lifted in South Dakota, the driver will have to fulfill certain conditions.
One of these conditions is the provision of an SR-22 insurance certificate which shows proof of financial responsibility for the future. In other words, the SR-22 is proof that a driver has the minimum required insurance coverage.
Who Needs SR22 Car Insurance
Every car owner in South Dakota needs SR22 Car Insurance. This is because the state is a “fault” state, meaning a driver adjudged to be responsible for an accident is liable for damages. If this driver’s privileges on the road are revoked or suspended, SR22 Car Insurance is required for possible reinstatement of the privileges. Specifically, drivers who have an immediate need for this certificate are highlighted below.
- Those that have been convicted of a DUI or drunk driving
- Those that were at fault for an accident and didn’t have insurance
- Those that have had too many traffic offenses within a short timeframe
- Thos whose driver’s licenses have been revoked
- Those that were pulled over for using a suspended license
How much should you expect to pay for an SR-22 in South Dakota?
It is normal for people who haven’t filed one to wonder how much SR-22 costs per month. The truth is that SR-22 will not cost you monthly payment. As stated earlier, it is not actual insurance as we know it. Rather, it is an add-on to existing car insurance. Sometimes SR-22 may be filed for free, depending on the insurance company. However, your insurance company may request roughly $25 for a one-time filing of the certificate.
This amount may seem a trifle to some people. But, filing SR-22 could lead to an increase in your car insurance premium. This is because once you get involved in an accident a couple of times you could be considered a high-risk driver. Typically, insurance companies demand higher premiums from high-risk drivers. Some of the companies however claim to have only a marginal increase of premiums for drivers in this category. For instance, Progressive boasts on its website that rates increase only by 5% for SR-22 drivers.
Different Types of South Dakota SR22 Forms
In South Dakota, there are three types of SR22 Forms. These are Owner’s SR-22 car insurance, Operator’s SR-22 car insurance, and Operator’s-Owner SR-22 car insurance. The Owner’s SR-22 car insurance is the type for a driver who owns and drives a car. Those that regularly drive cars that they do not own need the Operator’s SR-22 car insurance. Lastly, the Operator’s-Owner SR-22 car insurance covers all vehicles that are either owned or not owned by a driver. Essentially, this type is for people using multiple cars.
SR22 Car Insurance is Required in South Dakota
It is compulsory for drivers in South Dakota to carry SR22 Car Insurance. Since the state belongs to the “fault” group, this should come expected. It stands as proof that you are financially responsible for a future accident. If you are found to be driving without SR-22 Car insurance in South Dakota, you could be penalized. Your license could be revoked and you may have to pay a fine. Besides, owning SR-22 shows you have a fair degree of protection in the event of a car accident.
Filing a South Dakota SR22 Car Insurance Form
Are you wondering what it is like to file SR22 Car Insurance Form in South Dakota? Well, the good news is that at-fault drivers do not have to go through the stress. On the contrary, the insured does the filing with the Secretary of State. The only effort from you is financial, as you may be asked to pay the processing fee. This fee is determined by your insurer. Within 30 days following a car accident, the SR22 Car Insurance Form is filed with the Secretary of State. If it is accepted, you will receive a letter from the Secretary of State along with your SR22 Car Insurance Form. It is important that you maintain the SR22 Car Insurance filing for 3 years. You are also expected to renew it yearly 45 days before the expiration date.