The Impact of DUI/DWI on Car Insurance

May 26, 2016 by

Driving under the influence (DUI) or driving while intoxicated (DWI) is a major offense in most states. Getting on the wheel of a car after drinking can result to serious consequences such as injury or death to an individual. Moreover, a DUI/DWI conviction can result to the suspension of your driver’s license. If you have a car insurance, chances are your premium rates could suddenly shoot up.

Getting stopped by law enforcers for DUI can have a huge impact on your car insurance. To start off, it could lead to the suspension of your license. According to the website of Schuler, Halvorson, Weisser, Zoeller and Overbeck, P.A., if your license has been suspended, you would have to buy SR-22 insurance. It is a certificate that is issued to you to prove that you have car insurance. The SR-22 is a requirement by the Department of Motor Vehicle (DMV) for reinstatement of your driver’s license.

DUI can also significantly change your car insurance policy. Your provider will likely classify you as a high risk driver and if this happens your rates could increase by 30 – 100 percent. A worst scenario could be your carrier having to cancel your insurance or charge you with high monthly premiums. While they cannot cancel your policy right away, they can do so upon expiration.

Depending on the state where you reside, you can also expect to pay more for a minimum of three years. The length of the DUI staying on your driving record will depend on the state where you live but on the average it could be as long as five years. In some states, it could be as long as 20 years so keep yourself informed about how long the DUI offense will remain on file.

When your car insurance is denied as a result of the DUI offense, you may have to find a new car insurance provider.

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