SR-22 Auto Coverage in New Jersey
SR-22 Auto Insurance in New Jersey
New Jersey auto insurance law allows drivers to purchase what is called a Basic Policy. The Basic Policy is best suited for those drivers who have a lower income and few assets. This is minimal coverage, and while the premiums are lower than other policies, so is your protection. Other New Jersey drivers are required to carry SR-22 auto insurance; as you'll learn below, there are certain requirements for SR-22 coverage.
SR-22 information
New Jersey auto insurance law mandates that drivers who are deemed to be unsafe may be required to obtain SR-22 auto insurance . Violations such as reckless driving, a DUI, driving with no insurance, uninsured accidents , and more are often the reason drivers must get the SR-22.
It's important to note: An SR-22 is not auto insurance, per se, but it is simply a certificate sent to the DMV from your insurance company which says you do have insurance. An SR-22 is also a promise by the insurance company that they will contact the DMV should the insurance lapse.
In order for an SR-22 to be valid in New Jersey it must be obtained by an auto insurance company that is licensed to do business in the state. You may not use an out-of-state SR-22. In addition, the SR-22 must be kept in good standing for a period of time, usually between 2 and 5 years, depending on the offense. If the SR-22 is allowed to lapse the DMV will be notified and the person's license will be suspended immediately.