Parties involved in an accident in California are required to file an SR1 (Report of Traffic Collision) with the DMV within 10 days if there is an injury, fatality, or if the property damage exceeds $1,000. Filing an SR1 is considered good practice regardless, as failing to do so may result in receiving a letter from the DMV known as an order of suspension. This letter indicates that the DMV has reason to believe you were involved in an accident but did not file the SR1 form.

The State of California mandates everyone to carry minimum liability insurance, and the DMV uses the SR1 to verify insurance coverage for vehicles involved in accidents. Despite routine filing for clients, the DMV may sometimes erroneously send letters regarding non-compliance. If you receive such a letter threatening license suspension, a simple solution exists. Call the telephone number provided on the letter, notify the DMV that the driver did have insurance, and provide the necessary insurance information to rectify the issue.