What is Non Owner Car Insurance? An Overview

Did you know that the police made approximately 1,001,329 arrests in 2018 for one specific crime? The crime was driving under the influence.

People who drive under the influence might receive a DUI charge, a criminal offense that carries steep consequences.

One of the consequences is losing your license. If this happens to you, the only way you might get it back is by purchasing SR22 insurance.

If you don't have a car, you also might want to consider buying a non owner car insurance plan that comes with the SR22 filing.

Do you understand what this is and why you need it? Don't feel bad if you don't. Instead, read this guide to learn everything you need to know about non owner SR22 insurance policies.

The Basic Principles of Car Insurance

Around 1 in 8 drivers drive without having any car insurance coverage. Driving without any coverage is against the law, as almost every state has strict rules relating to car insurance requirements for drivers.

Why do states mandate car insurance? The main reason is for liability reasons.

When a person drives, they might cause an accident. Accidents happen for many reasons, but many are completely avoidable. When a driver causes an accident, it can leave people injured and with damaged vehicles.

The injured people with damaged cars are victims, and they have the right to file claims on the at-fault driver's insurance policy. The insurance company then pays the claims.

Without insurance, these victims might not have a way to receive the compensation they deserve.

While all drivers should have car insurance for this reason, people buy it for many other reasons, too.

For example, you might buy it to protect your car if you cause a collision. You'd need collision coverage for this reason.

Drivers also buy car insurance plans when their driver's license depends on it. For example, if a person ends up with a suspended license after a DUI, they might need an SR22 car insurance plan to lift the suspension.

Some drivers might need non car owner insurance. For example, if you need SR22 coverage but don't have a car, this is the type of insurance you'd need.

The Facts on SR22 Policies

As mentioned, some drivers need SR22 car insurance policies. To understand why they need it, you'll need to learn what it is.

The Definition of SR22 Insurance

SR22 insurance is a product that proves you have car insurance coverage. The misconception with this product is that it's not really insurance. It's only proof of coverage.

SR22 is a form your insurance provider submits to the Department of Motor Vehicles, and the form proves your car insurance coverage.

Reasons People Need It

People need SR22 for several reasons. The main reason is after a DUI. You might also need it if you get caught driving without insurance or rack up too many tickets.

Why They Must Purchase It When Needed

Finally, the purpose of buying SR22 insurance is to meet the legal requirements needed. In most cases, the state won't lift a person's driver's license suspension without proof of SR22 coverage.

In other cases, people must purchase SR22 for a specific timeframe to get their license back in the future. In any case, if you need this coverage, you shouldn't ignore it.

You can combine an SR22 policy with a non owner policy if you need this coverage but don't own a vehicle.

How Non Owner Car Insurance Works

Now that you understand the basics of car insurance and SR coverage, you might wonder a few things about non owner auto insurance. For example, what is non owner car insurance?

Non owner car insurance is an insurance product that covers drivers who don't own vehicles. If you own a car and need car insurance, you can't buy a non owner plan.

If you don't own a car, why would you need auto insurance coverage? This is a common question that people have, but there are good reasons for buying a policy even if you don't have a car.

Here are some of the reasons.

You Borrow Cars Frequently

Some people choose to buy a non owner policy when they borrow cars from their friends or family members often.

If you frequently ask people to borrow their cars, they might be more inclined to let you if they know you have car insurance. After all, your insurance plan would cover any accidents you cause.

As a result, the people who lend you cars won't have to deal with claims from accidents you cause while borrowing their vehicles.

You Want to Avoid a Lapse in Your Coverage

It's also a good idea to buy a non owner's plan to avoid experiencing a lapse in your car insurance coverage. If you are in-between cars, you can switch your plan to a non owner plan while you don't have a vehicle.

By doing this, you'll continue having car insurance coverage, which means you'll prevent a lapse. When insurance companies see a lapse in a person's coverage, they might classify the person as a high-risk driver.

When you fall into the high-risk driver category, you pay higher rates.

You Need SR22 Coverage

The most common reason to buy a non owner plan is when you need SR22 coverage but don't own a car.

When you need SR22 coverage, the state doesn't care if you have a car or not. They simply want to know you have car insurance. Therefore, you'll need to buy a non owner SR22 plan to meet these legal requirements.

How to Choose the Right Policy for Your Situation

Learning about all these options might be slightly confusing, but choosing the right plan is not that difficult. If you're in a position where you don't own a vehicle but need SR22 insurance, you'll need a non owner SR22 policy.

On the other hand, you'll need an SR22 policy that includes the necessary insurance coverage for your needs if you own a car.

You can speak with an agent to learn more about the options you can choose from with any policy, such as coverage types, deductibles, and coverage amounts.

The Consequences of Not Purchasing Car Insurance

As you consider your options, you might be tossing around the idea of not buying a non owner SR22 plan. While you have the right to skip buying the plan, you'll experience some consequences if you choose this route.

Here are some of the consequences you might face if you don't buy a policy.

The State Won't Lift the Suspension

After losing your license, the state won't lift the suspension if you fail to buy SR22 coverage when they tell you that you need it. As a result, you'll have to live without a driver's license.

You Could Lose Your License

If you still have your license but need SR22 coverage, you'll likely lose it if you don't buy a policy. Buying a non owner policy will satisfy the requirement if you don't have a vehicle right now.

You Could Face Further Consequences if You Drive

Finally, if you decide to drive without a car insurance policy, you could face further consequences.

You can't legally drive without car insurance, but the consequences are worse when you get caught driving when you need SR22 coverage.

Tips to Help You Get Through These Legal Requirements

If you decide that a non owner SR22 policy is the right option for your situation, you'll need to start working on buying a plan.

The first thing to know is that you'll have a timeframe to follow. For example, you might have just 30 days to buy a policy. Therefore, you'll want to call around for a non owner car insurance quote right away.

As you look for insurance companies, you might want to contact ones that offer cheap non owner car insurance policies, as this will help you save some money.

Secondly, you must avoid letting it lapse after purchasing a policy. If you decide to switch companies for your coverage, make sure your new plan starts before canceling your current one.

People who need SR22 coverage generally need it for three consecutive years. If you experience a lapse in SR22 coverage, your three-year requirement starts over.

For example, if you have coverage for one year, you're only two years from meeting the timeframe requirement. If you let your plan lapse, your timeframe starts over, leaving you needing three more years of coverage.

How to Buy Affordable Non Owner Car Insurance

Learning about non owner car insurance might help you understand why you need it and how to buy a policy. Are you ready to buy a plan to get your license back?

If so, contact us. We offer all types of car insurance, but we specialize in SR22 plans. If you don't have a car, we'll give you a free quote for non owner car insurance.