Top 8 Frequently Asked Questions about California DUIs and Car Insurance

In this article, our California DUI defense attorneys will answer your most frequently asked questions with respect to how a California DUI will affect your car insurance. If, after reading this article, you have additional questions, we invite you to contact us.

1) Do I Have to Report a DUI to My Car Insurance Company?

2) If I Don't Have to Report a DUI to My Car Insurance Company, How and When Might They Find Out?

3) What is an SR 22?

4) Can My Insurance Company Raise My Premium or Cancel My Policy Midterm?

5) Will a California DUI Definitely Cause My Car Insurance Premiums to Increase?

6) If My Premium is Increased, How Much More Will I Have to Pay?

7) What if I Can't Find Anyone to Insure Me after My DUI?

8) If My DUI is Reduced to a Wet or Dry Reckless or an Exhibition of Speed, How Will That Affect My Car Insurance Premiums?

You may also find helpful information in our related articles on California SR 22 Requirements, California DUI DMV Hearings, DUI Plea Bargaining, Vehicle Code 23152(a) Driving Under the Influence, and Vehicle Code 23152b Driving with a Blood Alcohol Concentration (BAC) of 0.08% or greater.

1) Do I Have to Report a DUI to My Car Insurance Company?

It depends on the circumstances. If you are required to obtain SR 22 coverage (which is discussed in more detail under question number 3, "What is an SR 22?" and in our article on California SR 22s), then yes, you do.

Otherwise, there is no requirement to notify your auto insurance carrier immediately of a DUI¹. Maybe you'll win your case...maybe your charges will be reduced during a DUI plea bargain...maybe you'll prevail at your DMV DUI hearing.

Human and computer error may also result in your car insurance company never finding out about your DUI arrest or conviction...though this isn't the most likely scenario.

2) If I Don't Have to Report a DUI to My Car Insurance Company, How and When Might It Find Out?

There are two ways that your California auto insurance carrier may find out about your DUI if you opt not to share the information.

The first way takes place when your carrier runs a check of your DMV record. Generally speaking, your auto insurance company will only check your driving record when your policy is up for renewal or when you are applying for new coverage. At either of these points, an auto insurance company will see all DUI convictions that are within a ten-year period.²

Similarly, any failure to appear (FTA) that is based on a DUI conviction will also appear for a ten-year period.³ This means that even if your insurance company somehow missed the DUI, they would likely catch the failure to appear...which would result in them subsequently discovering your DUI.

The second way takes place when the California Department of Motor Vehicles requires you to obtain an SR 22.

3) What is an SR 22?

A California SR 22 is a certificate of insurance that confirms that you meet this state's minimum requirements for auto insurance liability coverage.

The minimum liability car insurance that California law requires you to carry is frequently referred to as 15/30/5. Simply put, this means that your insurance will pay up to:

• $15,000 for any one individual that you injure or kill,



• $30,000 total for multiple injuries or deaths suffered, and



• $5,000 for property damage.⁴

When the DMV suspends or revokes your license following a DUI arrest, it requires that you obtain SR 22 coverage before it will reinstate your driving privilege.⁵ Unfortunately, the only way to obtain an SR 22 is to get it from your car insurance company, who then forwards it to the California DMV.

There are a variety of reasons why the DMV might require you to obtain an SR 22...

• a DUI related drivers license suspension,



• being declared a "negligent operator",⁶ or



• having an accident while you are uninsured...

Regardless of the reason, your company will require that you tell them exactly why you are requesting one.

Quite honestly, it doesn't matter why you're requesting an SR 22, as all of these reasons will adversely affect your insurance and label you as a "high risk" driver.

If your car insurance company doesn't offer SR 22s, it will simply cancel your policy.

4) Can My Car Insurance Company Raise My Premium or Cancel My Policy Midterm?

This is where the good news comes in. California insurance law forbids car insurance companies from taking any action against your policy midterm. This means that if you suffer your DUI in the middle of your policy's term, your car insurance company cannot immediately raise your premium or cancel your policy.

The only time that your auto insurance carrier can make changes to your policy is at your time of renewal or when you are first applying for coverage.

That said, it is important to understand that if you have pending criminal charges, your auto insurance company can't take any adverse action against you. But, if you are applying for new coverage at the time of your pending charges, many companies will not issue you a policy.

5) Will a California DUI Definitely Cause My Car Insurance Premiums to Increase?

Unfortunately, it is likely that your premium will significantly increase. But this isn't necessarily the case. A California DUI drunk driving conviction isn't the only consideration when determining whether to raise your premium. Auto insurance carriers will typically consider factors such as

• age,



• gender,



• marital status,



• driving experience and driving history,



• place of residence, and



• professional organization affiliation

before deciding to raise your premium or cancel your policy.

6) If My Premium is Increased, How Much More Will I Have to Pay?

This is a difficult question to answer, as your insurance company will consider all of the above factors.

This much we can say for sure...once you have a California DUI conviction, you will not be eligible for a "good driver" discount for a period of ten years following your DUI arrest.⁷

If you didn't benefit from a good driver discount prior to your DUI, this rule really won't affect you. If you did qualify for a good driver discount, this is one of the reasons why your premium would increase...perhaps as much as 20 to 30%.

In addition, if you are required to obtain an SR 22, you will have to pay more for your coverage as a "high risk" driver. This can cost anywhere from $300 - $800 per year for the average three year period that you will be required to maintain SR 22 status.

Despite the fact that you are in need of high risk insurance, rates will still vary greatly between companies. It is a good idea to shop around for the best deal to help minimize your new costs. You may also want to call the California Department of Insurance at 1-800-927-HELP to make sure that you are working with an insurance agent / broker who is in good standing.

It should be noted that after you are once again eligible to receive a "good driver" discount...which is ten years following your driving under the influence arrest...the DMV will automatically remove the DUI from your record and, at least as far as an auto insurance company is concerned, it's as if it never happened.

7) What if I Can't Find Anyone to Insure Me after My DUI?

Although it may seem like no one will insure you following a DUI, that's not the case. California requires that all drivers carry auto insurance⁸...and, as a result, has a duty to ensure that everyone can obtain coverage.

The California Automobile Assigned Risk Plan is a program that matches you with a company that will insure you if you are unable to obtain high risk or SR 22 coverage on your own.

It should also be noted that although some of the major insurance carriers will not insure high risk drivers, there are many smaller companies that will. And even some of the more well-known companies will still insure you in their casualty and fire divisions.

It bears repeating that even though it may be more difficult to obtain insurance following a DUI, it is still a good idea to shop around to find the best deals.

8) If My DUI is Reduced to a Wet or Dry Reckless or an Exhibition of Speed, How Will That Affect My Car Insurance Premiums?

For the most part, California auto insurance companies don't treat these reduced charges much differently than a DUI. A California wet reckless⁹, dry reckless¹⁰, or exhibition of speed¹¹...the most common DUI reductions...are all considered major moving violations, and all add two points to your driving record.

It is important to understand that while these violations are treated similarly by the DMV, they are still considered charges certainly worth fighting for in terms of court-imposed California DUI penalties.¹²

Car insurance premiums are based, in large part, on how many points you have on your driving record. As a result, each of these violations is really just as financially detrimental as the other.

That said, there are long-term benefits to these DUI reductions. Unlike a DUI, a wet reckless, a dry reckless or an exhibition of speed conviction will only appear on your DMV record for a period of seven years.¹³

For more information about how a DUI will affect your car insurance, or to speak with one of our California DUI defense attorneys, please don't hesitate to contact us.

We have local DUI law offices throughout the state including Los Angeles, the San Francisco Bay area, San Jose, Ventura, San Bernardino, Orange County, Riverside, and many nearby areas.

Legal References:

¹ California Vehicle Code 23152(a) -- Driving under the influence. This section forbids a person from driving a car if he or she no longer has the caution characteristic of a sober person driving under the same or similar circumstances. This section is normally charged together with Vehicle Code 23152(b), which forbids one from driving with a blood alcohol concentration of .08 or higher.

² New DUI Reportability Requirements. ("Effective January 1, 2007, new legislation extends the reporting period for [California] DUI offenses from 7 to 10 years for all public requestors, including insurance companies.")

³ Retention of Driver Record Information Reported Information and Reporting Periods. ("FTAs for DUI offenses will be reported for 10 years from the violation date.")

⁴ California Insurance Code 16056 -- Requirements of policy or bond. ("(a) No policy or bond shall be effective under Section 16054 unless issued by a [car] insurance company or surety company admitted to do business in this state by the Insurance Commissioner, except as provided in subdivision (b) of this section, nor unless the policy or bond is subject, if the accident has resulted in bodily injury or death, to a limit, exclusive of interest and costs, of not less than fifteen thousand dollars ($15,000) because of bodily injury to or death of one person in any one accident and, subject to that limit for one person, to a limit of not less than thirty thousand dollars ($30,000) because of bodily injury to or death of two or more persons in any one accident, and, if the accident has resulted in injury to, or destruction of property, to a limit of not less than five thousand dollars ($5,000) because of injury to or destruction of property of others in any one accident.")

⁵ Unlike the California criminal court process, the DMV can suspend / revoke your license when you are arrested for a DUI if you are arrested pursuant to Vehicle Code 23152(b) Driving with a blood alcohol concentration (BAC) of 0.08% or greater. In order to try to fight this suspension, you must request a DMV DUI hearing within ten days of your DUI arrest.

⁶ If the California DMV declares you a negligent operator it means that you have obtained 4 points within a 12 month period, 6 points within a 24 month period, or 8 points within a 36 month period.

⁷ See endnote 2 above. ("The new law allows [auto] insurance companies access to the driving record information to properly apply the new provisions of the Insurance Code established under Senate Bill 597 (2005), to determine a customer's eligibility for a good driver discount. Based on the new laws, drivers with a DUI violation occurring within the past 10 years are not entitled to receive a good driver discount.")

⁸ California Vehicle Codes 16000 – 16078 are known as the Compulsory Financial Responsibility Act and require every California driver to carry auto insurance.

⁹ Vehicle Code 23103 pursuant to 23103.5 VC is what's known as a California wet reckless. It is a charge that is negotiated during DUI plea bargains that reduces your criminal DUI penalties.

¹⁰ California Vehicle Code 23103 is reckless driving, otherwise known as a dry reckless, to distinguish it from a wet reckless. Unlike a DUI or wet reckless, it is not a priorable offense, making it a very desirable DUI plea bargain.

¹¹ Vehicle Code 23109(c) is a popular California drunk driving plea bargain known as an exhibition of speed or "speed ex". The criminal penalties are much less severe for this charge than for a DUI.

¹² Court imposed California DUI penalties can be significantly more severe than the penalties that are typically imposed in connection with a wet reckless, dry reckless, or exhibition of speed. For more information, please see our article on DUI plea bargaining.

¹³ See endnote 2, above. ("...[A]ny DUI violation under California Vehicle Code sections 23140, 23152, or 23153 will report for 10 years. There are some other non-DUI violations (e.g. 23103.5 "wet" reckless) that will report to courts and law enforcement for 10 years and may count against you for the purpose of determining increased penalties for repeat offenders, but will continue to show on a public driving record for only 7 years.")

See also California Vehicle Code 1808 -- Records open to public inspection. ("(b) The department shall make available or disclose abstracts of convictions and abstracts of accident reports required to be sent to the department in Sacramento, as described in subdivision (a), if the date of the occurrence is not later than the following: (1) Ten years for a violation pursuant to Section 23140, 23152, or 23153 [DUI]. (2) Seven years for a violation designated as two points pursuant to Section 12810, except as provided in paragraph (1) of this subdivision.") Reckless driving and exhibition of speed are listed as two point violations under California Vehicle Code section 12810.

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