The SDIP changes reflects a more realistic view of what it costs to repair vehicles today. Formerly, the threshold for a “minor” accident was defined as $500 damage paid by the insurance company. As of July 1, 2015, this threshold was increased to $1000 for policies that renewed after that date.. If there is less than $1000 in damages paid, there is no surcharge. On the other end, the threshold for a major accident was increased from $2000 to $5000 in paid damage claims.
If you are involved in an accident and found to be at fault, you will be charged SDIP points based on the damage payment made. In addition, if you are pulled over and given a citation, you will also be given SDIP points which may result in a surcharge. (The complete list of minor and major violations can be found at the RMV site.) You can however request a hearing before a Clerk-Magistrate at the district court where the incident occurred. If your appeal is granted, there will be no surcharge. The back of the citation contains instructions on appeals. So does the RMV website.