Can an insurance company revoke your drivers license for not having insurance?

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Can an insurance company revoke your drivers license for not having insurance?

I was not driving the vehicle when the accident occurred. However, the vehicle was in my name and my insurance had lapsed. The insurance company says they will take my license if I do not pay $2200. I’m a single dad with 2 children and my girlfriend is pregnant.

Asked on July 19, 2018 under Insurance Law, Indiana

Answers:

S.L,. Member, California Bar / FreeAdvice Contributing Attorney

Answered 3 years ago | Contributor

The insurance company itself cannot revoke your driver's license.  However, the insurance company can inform the Department of Motor Vehicles that you were uninsured.  Depending on the penalties in your state, the Department of Motor Vehicles may be able to suspend or revoke your license.


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