Compare driving around without car insurance to walking down a rickety bridge with no life or health insurance. Sure, you can still make the trip, but you’ll be missing the safety net you wish you had when things go wrong. And compared to health insurance, car insurance might seem like an option when in fact, it is a law in every state. Understanding the consequences of driving around without car insurance is the best way to appreciate the benefits of having one, especially when the time comes.
If you find yourself hesitating while looking at car insurance quotes, then here are a few things to keep in mind before making your final decision.
Driving Uninsured Involves Penalties
Depending on the state, the penalties a driver could incur for being without any car insurance may be more severe compared to the next state. In California, for instance, driving without car insurance is especially risky if accidents are involved, with uninsured drivers losing their license for up to several years. Car registrations can also get revoked, among other things. Penalties can range from anywhere between $500 to $1,000, with the risk of being jailed in addition to license and registration being suspended.
Getting Caught with No Insurance
Police can now easily identify whether or not you have insurance, even without pulling your vehicle over. Automatic License Plate Recognition technology affords cops the ability to snap a photo of your vehicle’s plate number and run it through a database of insured drivers. If you don’t show up on the list, then you might be at risk of paying the necessary fines and penalties according to the law.
Car Accidents with No Insurance
When people weigh their options on auto insurance quotes, they’re considering which of these packages can protect them the most in the case of a vehicular accident. In these instances, people involved in the accident often end up paying hundreds of thousands of dollars in hospital expenses, damage fees, and even dealing with a lawsuit. Having the right coverage will protect you from having to liquidate any assets and affecting your financial status, whether the accident was a minor or a major incident.
It’s also important to remember that you cannot claim for insurance on the day of the accident itself. You must have had your coverage prior to the occurrence of that incident in order for it to cover any costs you might incur. Even if you intend to enroll in car insurance after your accident, you’ll also be paying higher premiums and monthly payments to do so. The best thing to do is to secure your car insurance before you even get your vehicle to avoid any further complications and costs if you do get into an accident.
Insurance of Other People Driving My Car
When someone else drives your car, both you and the person driving must be insured. Since you’re the owner of the car, your insurance coverage will be used to cover any damages or injuries in the event of an accident. The insurance of the person driving your car will be used as supplemental coverage in case the expenses exceed your policy’s limits, which is why it’s so important that they’re insured as well.
New Cars and Insurance
If you’re shopping for a new vehicle, then you might think that it’s possible to drive it for a short while without insurance. It should actually be the other way around. Before purchasing your dream car, you need to secure the necessary insurance to drive it back home. Plus, most dealerships will require you to show your valid license and insurance verification before they hand the keys over to you.
The Bottom Line: Choosing Your Insurance Provider
Knowing the consequences of driving without car insurance will let you understand why the risk of not having it isn’t worth it. Not only will you risk your financial security to pay for accident costs that you won’t foresee, but it will also affect different aspects of your life. Choose a car insurance plan that is flexible for your needs and fully transparent. Your insurance provider should also help you secure the right amount of coverage according to your state’s requirements.
Here at Quesurance, we help our clients reduce risk, save money, and preserve their financial future. We offer different types of insurance, depending on your specific needs. To enroll for cheap auto insurance or our other services, contact us today for a quote.
