If you've lived in Ohio long enough, I'm sure you've heard the term "SR22 Bond" before. For many drivers, obtaining an SR22 and filing it with the state BMV is usually one of the last hoops a driver has to jump through before having their driver's license reinstated after a suspension. But the term "SR22 Bond" is actually an incorrect term that leads to confusion about what an SR22 filing actually is. The important thing is to set your Ohio SR22 filing up with the correct type of auto insurance policy that you need it to be attached to.
Understand that an "SR22 bond" is really not a bond at all, nor is it auto insurance either......
Ok. So ..... If an SR22 is not a bond or auto insurance, then what is it?
An SR22 is simply a state filing that attaches onto some sort of auto insurance policy. An SR22 lets the BMV know that you're carrying at least the state minimum auto liability insurance coverage at all times. When you buy any kind of auto insurance policy, having an SR22 filing attached to it means that the insurance company will let the BMV know that you are now covered with at least state minimum auto insurance liability coverage.
Why it is important to keep an SR22 active?
If an auto insurance policy with an attached SR22 filing ever cancels, the insurance company is required to let the BMV know the policy is canceled. When this happens, your license is once again suspended and will continue to be suspended unless you reinstate your policy or start a new one with a new SR22 attached under the new policy.
Which type of auto insurance policy do I need to have my SR22 filing attached to?
From the term financial responsibility bond is how we've incorrectly derived the terminology of SR22 bond. Ohio is the only state that has financial responsibility bonds, and that's why you only hear this term here in the Buckeye state. For non vehicle owners in almost any other state, only a named operator is available. Only Ohio offers both types of policies (but individual auto insurance companies may only offer one or the other).
In Ohio, financial responsibility bonds are more common than named operator policies because of the fact that they're cheaper and don't use credit as a rating factor, both of which make them more popular choice. But named operator policies offer more and higher coverage than a financial responsibility bond. To learn more about the differences between a financial responsibility bond and a named operator policy, read this article which breaks down the similarities and differences between the two.
Can a vehicle owner get away with just a named operator policy or financial responsibility bond instead of carrying regular auto insurance?
Can a vehicle owner carry two separate policies, regular auto insurance coverage for their vehicle and a financial responsibility bond to cover their SR22 requirement?
Yes. As long as you're carrying regular auto insurance coverage on your vehicle, a second policy would be fine to use just for the purposes of filing the SR22. However, in most cases, this is the more expensive way to solve the problem versus simply attaching an SR22 onto a regular auto insurance policy.
However, I have seen plenty of cases where the opposite is true. Sometimes it is cheaper for a driver to carry two separate policies. I find this especially true with the following scenarios:
When you say to an auto insurance agent "I need an SR22 Bond", don't worry. We understand what you mean. I even use the term myself many times. But the important thing to remember is to set your SR22 up correctly for the coverage you need. As long as you do that, terminology is not important.
If you would like to get an online Ohio SR22 quote for any of these types of policies, click on one of the three links below. I will be happy to do the shopping around for you, and find you the company with the best rate for your coverage needs. And as always, I handle all quotes personally and privately.
Get an Auto Insurance Quote with an Ohio SR22 attached.
Get a Financial responsibility bond quote with an Ohio SR22 attached.
Get a Named operator policy with an Ohio SR22 attached.
What you need to know before you buy an Ohio SR22 Bond Online
What is an Ohio SR22 Bond?
Ohio SR22 Bond FAQ's
Dan Lyles is an Independent Insurance Agent serving Ohio, Indiana, Michigan, Pennsylvania, Virginia and West Virginia..