If you've had your license suspended, you may have sold your car and changed how you commute to work — for example, you may take the bus, bike, or carpool. Since you've adjusted to life without a car, you may not feel the need to buy a new car and reinstate your license.
However, this isn't always the best approach. If you don't have a car and don't live in a home that has access to one, you can obtain a non-owner insurance policy. These policies have very low premiums and fulfill the SR-22 requirement needed to have your licensed reinstated. Why would you want one? Read on to learn three reasons why it's a good idea to reinstate your license even if you don't currently own a vehicle.
1. Allows You to Begin Eliminating the SR-22 Requirement
When you're required to prove you have insurance with an SR-22 form before reinstating your license, most states require you to hold this insurance for three years. This coverage needs to be continuous — if your insurance lapses, your carrier will immediately notify the DMV and your license will be suspended again.
Purchasing a non-owner policy allows you to start meeting this requirement even if you don't have a car. SR-22 policies are typically more expensive than other policies, so you'll want to be able to switch to a normal policy as soon as you can. Non-owner policies, however, are much less expensive than policies for people who have access to a vehicle. You'll be able to remove your SR-22 requirement while paying minimal amounts of money for your premiums.
2. Reduces Your Premiums in the Future by Proving Continuous Insurance Coverage
Another way that a non-owner policy can help reduce your premiums in the future has to do with the pay that auto insurance companies price their policies. If you haven't had auto insurance for a while (usually over six months), then many carriers will force you into the high-risk pool. This happens regardless of your driving record.
Carrying continuous coverage with a non-owner policy proves to insurance companies that you can make premiums on time, which reduces your risk in their eyes. When you finally need normal auto insurance, you'll be able to purchase coverage with a lower premium compared to if you had a lapse in your prior coverage.
3. Protects You While You're Driving Someone Else's Car
Even if you don't have reliable access to a vehicle, there are a few situations in which you may need to drive anyway. For example, you may have to take one of your friends to the hospital when they're unable to drive. Having a non-owner's policy will protect you from liability if you're in an accident while you're driving, just like a normal insurance policy.
Overall, reinstating your license with an SR-22 insurance policy is a good idea even if you don't have a vehicle. You'll set yourself up for lower premiums in the future when you finally need it to cover your own car. It's also an inexpensive method of doing so. Premiums are much lower compared to other insurance types since you don't present much risk to insurance companies when you don't own a car. If you need your license reinstated, contact an insurance company in your area who offers non-owner SR-22 policies and ask for a quote.