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SR22 Bond Ohio Rules And Requirements
State of Ohio makes it mandatory for every individual to assume financial responsibility while driving. SR22 is also known as high risk insurance and covers only the individual in respect of whom the bond has been issued. Here the individual taking the cover is treated as a driver and liabilities are covered accordingly.
This kind of a bond has no linkage to the vehicle owned by an individual or the vehicle an individual normally drives. The cost of obtaining this bond can be substantially higher than the cost of obtaining automobile insurance policy.
How To Obtain SR22 Bond?
SR22 can be obtained though an agent or an insurance company. An individual needs to make an application with the relevant insurance company for SR22 policy. This insurance company will then submit the application on behalf of the individual with the Ohio Bureau of Motor Vehicles. Payment has to be made to the insurance company only.
Once the application is approved, SR22 bond will be issued. It is must for the insurance company to satisfy that the individual has obtained minimum liability insurance coverage as applicable for the State of Ohio. Further it is the responsibility of the insurance company to notify Bureau in case a particular policy has lapsed.
How Long Does It Take To Obtain SR22 Bond?
Insurance companies generally submit electronic applications with the Bureau. Such applications are generally processed by the Bureau on the day of submission itself. Hardcopies are issued within 72 hours from the date of application. A period of 5 days is the maximum period within which the bond is issued in favor of the applicant.
On What Grounds Can An Application For SR22 Bond Be Rejected By The Bureau?
SR22 is generally obtained without any hassles. Applications for SR22 can be rejected on grounds of incomplete or incorrect information in the application submitted by the insurance company.
What Liabilities Are Covered Under SR22 Bond?
SR22 covers liability to the extent of $ 32,500 only. This amount is further divided as:
a) $ 12, 500 for injury caused to any one person
b) $ 25,000 for injury caused to any two persons
c) $ 7,500 towards damage to any property where the individual is found to be responsible for such damage.
This coverage is applicable in respect of each accident committed by the bond holder. $ 32,500 is the minimum state liability for which SR22 bond is issued. This kind of coverage does not cover any other expenditure that may arise on account of an accident. In contrast to a traditional insurance policy, this bond will not provide any benefit for any physical damage to the vehicle.
Further it will not provide any kind of medical coverage for the individual holding the bond or any other person in the vehicle at the time accident took place. Any kind of liability extending beyond the specified limit of $ 32,500 will be treated as personal liability of the individual.
What Are Possible Consequences In Case SR22 Has Not Been Obtained?
Any non compliance with this requirement can result in a fine of $ 150 and suspension of driving rights for up to 90 days. This will be considered as first offense. In case of second offense, a fine of $ 300 with 1 year suspension will be applicable. For third offense, a fine of $ 650 along with suspension for 2 years will get applied.
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