Can You Get Car Insurance Coverage with a Suspended Driver’s License?
Last Updated on December 9, 2025
Driver’s license suspensions happen. Once your license is suspended, however, you cannot legally operate a motor vehicle. That creates a tricky situation: you’re not allowed to drive, but you still have a car—and you still need insurance to avoid a lapse in coverage and the higher costs that come with gaps in insurance.
Can you keep or obtain car insurance with a suspended license? In many cases, yes—but it may be harder and more expensive. Here’s how it typically works.
Key Takeaways
- A suspended license makes it harder (but not always impossible) to keep or obtain car insurance coverage.
- Some drivers can get a restricted license for limited use (work, medical, etc.), but insurers are not required to maintain or issue coverage just because you have one.
- You can sometimes insure a vehicle in another household member’s name or buy a “parked car”/storage policy to maintain comprehensive coverage and avoid a gap.
- High-risk insurers and SR-22 filings may be necessary after a serious violation; shopping around and bundling can help reduce the higher premiums.
Insurers Are Reluctant to Insure Drivers with Suspended Licenses
Auto insurers generally will not issue a new policy—or renew an existing one—for someone who cannot legally drive. A suspended license is a major red flag in underwriting.
Most suspensions are tied to high-risk behaviors, including:
- DUI or DWI offenses
- Multiple reckless driving violations
- Driving without insurance
- Too many points on your license or repeated serious infractions (points against your license)
From the insurer’s perspective, more risk means a higher chance of costly claims. That’s why some companies will simply cancel or non-renew a policy once they learn your license has been suspended.
Your goal is to stay insured (if needed) while showing insurers you’re still worth keeping as a customer.
Can You Get a Restricted Driver’s License?
In some cases, you may be eligible for a restricted or hardship license. This doesn’t remove your suspension—but it allows limited driving in specific situations. To find out, you’ll need to contact your state’s DMV. If you were suspended for a criminal offense (like DUI), the court or district attorney’s office may also be involved.
Restricted licenses typically allow you to drive only for things like:
- Medical appointments
- Commuting to and from work when public transportation is not practical
- Transporting dependents to essential appointments (though this may be more difficult with a DUI on your record)
The exact rules depend on your state and the reason for your suspension. Violating the terms of a restricted license can lead to a full suspension and additional penalties.
Restricted Licenses Don’t Guarantee Insurance Approval
Even if you receive a restricted license, there’s no guarantee that your insurer will keep you on the policy or that a new insurer will accept you. Insurers can still treat you as a high-risk driver and may cancel or refuse to renew, regardless of your restricted driving privileges.
Insuring a Vehicle Even if You Can’t Drive
If you can’t or won’t be driving, you may still want to insure the vehicle itself—either to protect it while parked or to cover another household member who will be driving it.
Options include:
- Put the policy in another driver’s name.
If a family member or someone in your household will drive the car, they may be able to list the policy in their name with you as an excluded driver. This avoids paying for a high-risk insurance policy just to keep the car insured. Note: If the person driving is not on the title, some insurers may have restrictions—ask how they handle “insurable interest.” - Get a “parked car” or storage policy.
If no one will drive the car and it will remain parked, some insurers offer limited coverage to protect it from theft, vandalism, fire, or storm damage. In this case, you might drop liability and collision and keep only comprehensive coverage. This type of “non-operational” or storage policy can also help you avoid a costly gap in coverage.
Standard vs. Storage vs. High-Risk Policies
| Policy Type | Who It’s For | Typical Coverage | License Status | Pros | Cons |
|---|---|---|---|---|---|
| Standard Policy | Drivers with a valid license and normal driving privileges. | Liability, plus optional collision and comprehensive. | Requires a valid, non-suspended license. | Lowest cost for most drivers; wide company choice; full coverage options. | Generally unavailable if your license is suspended or you’re considered high risk. |
| Storage / “Parked Car” Policy | Owners who won’t be driving the vehicle (e.g., suspended license, car in long-term storage). | Usually comprehensive only (theft, vandalism, weather, fire). | License status is less important because the car is not being driven. | Protects the car while parked; cheaper than full coverage; helps avoid a gap in coverage. | No liability or collision coverage; car legally cannot be driven on public roads while only storage coverage is in place. |
| High-Risk Policy (SR-22, etc.) | Drivers with suspensions, serious violations (DUI, reckless driving), or major claim history. | Liability at state minimum or higher; often with SR-22 filing; optional collision/comprehensive. | May be written for restricted or reinstated licenses; used to prove financial responsibility. | Allows you to stay insured and get back on the road legally; fulfills court/DMV requirements. | Much more expensive; fewer companies willing to write the policy; may require several years of clean driving to “age out” of high-risk status. |
FAQs
Shop Around and Consider High-Risk Policies
If your current insurer cancels your policy or refuses to renew, you may have to turn to companies that specialize in high-risk drivers. These policies are more expensive but may be the only way to stay insured while your license is suspended or restricted.
In some cases, your state may require you to file an SR-22 form (or FR-44 in some states) to prove financial responsibility after a suspension or serious violation.
To keep costs under control:
- Get quotes from multiple high-risk insurers.
- Ask about discounts for multiple vehicles, bundling with homeowners or renters insurance, or completing approved driving courses.
- Be honest about your situation—misrepresenting your license status can lead to denied claims and policy cancellation.
The bottom line: speak with an agent and explore your options. Explain why your license is suspended, whether you need to insure a parked vehicle or cover another driver, and whether you’re eligible for a restricted license. In many cases, you can remain insured in some form—even if you personally can’t drive for months or years.
Leave a Reply