- Moving violations in a motor vehicle are dealt with under state law. Each state deals with violations in a slightly different way, so it's worth knowing your state's rules and penalties. In some states, the first time you are stopped while driving without insurance is treated as a misdemeanor and is punishable by a fine and points on your license. Fines can be up to $500.
- If you are stopped a second time without insurance in most states, your license will be suspended and your vehicle towed. If you drive with a suspended license, this is an offense that can carry jail time. In some states after your first stop, you must complete paperwork to prove to the state that you have obtained insurance or license suspension will follow automatically.
- Some states mandate that if you are caught driving without insurance you must complete SR-22 paperwork. This is a Certificate of Financial Responsibility. Your insurance company must provide this once you obtain insurance. You will be charged a fee to file a SR-22 certificate. If you allow your insurance to lapse, the insurance company will notify state authorities that your SR-22 is no longer valid.
Credit and Premiums
- If you are stopped for driving without insurance or if your license is suspended, this is a matter of public record. This can have a detrimental impact on your credit score and on your ability to obtain insurance at competitive rates in the future. In addition, if you have had a lapse in coverage on your car insurance, most insurance companies will automatically regard you as a poor risk and either refuse to write your policy or charge you very high premiums.