Having your driver’s license suspended is stressful, and it raises a question that catches many people off guard: what happens to your car insurance? You may still own a car, you may still have payments to make and you may need to get back on the road as soon as the suspension ends. The short answer is that you can usually keep your car insured, and in many cases you will need to. This page explains your options, what an SR-22 does and how to avoid mistakes that make a bad situation more expensive.
First, the basics
A suspended license means you cannot legally drive. It does not cancel the rules about your car. If the car is registered, most states still require it to be insured, whether or not you are driving it. Insurance also matters when you want your license back, because many states will not reinstate it until you can prove coverage. Do not drive while your license is suspended, even for a short trip. That can lead to more penalties, a longer suspension and sometimes arrest, and any accident you cause would be far worse than usual.
If you own the car
You have a few realistic choices, and the right one depends on who else lives in your household.
- Keep the policy and add a licensed driver. If someone in your household with a valid license drives the car, list them as the main driver. Insurers usually want the registered owner on the policy, so you stay on it as the owner, but the licensed person is the one who drives.
- Be listed as an excluded driver. Some policies let you formally exclude yourself from driving. If you do, the policy will not cover you if you ever drive the car, so use this only if you truly will not.
- Move the policy to a household member. In some cases, a family member or co-owner already on the title can insure the car in their own name, and this can keep your suspension from affecting the price. It only works if they have a real stake in the car, such as being a co-owner, and if the lender allows it.
- Use a high-risk insurer. If you are the only driver and you need a policy in your name, companies that specialize in higher-risk drivers will often write one and file the paperwork the state requires. Our page on non standard auto insurance explains how this market works.
If you own a car but will not drive it for a while, you might also look at reduced coverage. See parked car insurance. Be careful, though, because a registered car usually still needs liability coverage.
What an SR-22 does
If your suspension came from an offence such as a DUI or driving without insurance, the state may require an SR-22 before it will reinstate your license. An SR-22 is not insurance. It is a certificate that your insurer files with the state to prove you carry the required coverage, and it tells the state if your policy ends. Most states require it for about three years from reinstatement, though the exact period varies. Our article on what an SR-22 is and whether you need one covers it in detail, and our page on SR-22 insurance explains how to get one.
If you do not own a car
You may still need coverage to reinstate your license. In that case, a non-owner SR-22 policy gives you liability coverage when you drive borrowed or rented cars and satisfies the state’s requirement. It is usually cheaper than a full policy, but it does not cover damage to the car you drive, and you generally cannot buy one if you own a car or if a vehicle is registered to someone in your household. Read more about non-owner car insurance.
The biggest mistake: letting coverage lapse
When a suspension is in force, it can be tempting to cancel your insurance to save money. Do not. A gap in coverage can delay reinstatement, restart the clock on an SR-22 requirement and push you into new-driver pricing when you finally have your license back. Keep the policy active, even if it is a basic one, and keep paying on time. Our article on how to cancel car insurance without losing money shows why a careful approach matters, and car insurance after cancellation for non-payment explains what to do if a policy has already been cancelled.
What it will cost
Expect higher prices. Insurers see a suspension as a sign of elevated risk, and an SR-22 adds more. How much more depends on the reason for the suspension, your record, your state and the company. Prices vary widely between insurers, so comparing quotes is worth the time. Our guide on how to compare car insurance quotes shows how, and ways to lower your premium has more ideas. If money is tight, see low-income car insurance.
Steps to take
- Find out exactly why your license was suspended and what the state requires to reinstate it. Your motor vehicle agency can tell you.
- Ask whether you need an SR-22, and how long you must keep it.
- Decide who will drive your car, and tell your insurer the truth about it.
- Compare quotes from several companies, including non-standard insurers.
- Keep your policy active without gaps, and keep proof of insurance.
- When the suspension ends, confirm that your insurer and the state both show your license as valid. If the records do not match, your policy or SR-22 could be cancelled.
Common questions
Can I get car insurance with a suspended license? Yes, in most cases, though you may need a high-risk insurer and an SR-22.
Can I get full coverage? Often yes, but ask. Some companies limit options for suspended drivers.
Will my insurer cancel me because of a suspension? It can, particularly at renewal, so be honest and shop around.
Can I drive my own car if it is insured? No. Insurance does not make it legal to drive while your license is suspended.
Staying insured is the quickest way back to the road. Compare quotes and tell each company about your situation, so the price you see is real.
Enter your ZIP code to see options that fit your budget. It is free and only takes a few minutes.
Your ZIP code is only used to show quotes available in your area.
This page is for general information only and is not insurance, legal or financial advice. Coverage, rules and prices vary by insurer and state.