Minimum Sate Auto-Insurance laws
Auto insurance laws differ from one state to another. However, no matter the state you are in, there is minimum auto-insurance coverage needed by each state. Some car owners view the law as extra unnecessary costs.
It is important to note that auto-insurance laws protect you, your loved ones and your car, in case you are involved in an accident or your car is damaged. Hence, even though you may not like the auto insurance laws in your state, they are there to benefit you and save you money.
Below are the minimum auto-insurance laws that are observed in numerous states.
Below are the minimum auto-insurance laws that are observed in numerous states.
1. Bodily injury liability
This bodily injury law covers injuries caused to another person by the policyholder or by the designated driver. Also, you and the members of your family listed on the policy might be covered while driving another person’s vehicle with their permission.
2. Personal injury protection
Personal injury protection or PIP is also known as medical payments. State auto-insurance laws usually need medical coverage that should pay for injury treatments to the driver and all the travelers of the policy holder’s vehicle. The personal injury protection might cover medical fees, lost salaries and wages, and other costs.
3. Collision coverage
The auto-insurance law protects you and your car. In an even your car is spoiled in a crash, maybe with another vehicle, an object, or the car rolls over, the insurance pays for all the damages. The coverage may also pay for pothole damages.
4. Property damage coverage
The other important law is the one that protects damage to property. This auto-insurance policy pays for the damage your or another person driving your vehicle with your permission might cause to other people’s property. In addition to damages to the car, it may include damages to telephone poles, lamp posts, buildings, fences, or any other structure the vehicle hits.
5. Comprehensive coverage
Another vital auto-insurance law is the comprehensive coverage. The coverage compensates you in case you lose your car through theft, or any other damage such as falling objects, fire, floods, earthquakes, windstorms, vandalism, hails or damaged by an animal.
Even though most states do not require car owners to purchase the comprehensive coverage, if you have a car loan, it might be a requirement.
6. Underinsured and uninsured motorist coverage
5. Comprehensive coverage
Another vital auto-insurance law is the comprehensive coverage. The coverage compensates you in case you lose your car through theft, or any other damage such as falling objects, fire, floods, earthquakes, windstorms, vandalism, hails or damaged by an animal.
Even though most states do not require car owners to purchase the comprehensive coverage, if you have a car loan, it might be a requirement.
6. Underinsured and uninsured motorist coverage
Underinsured and uninsured coverage is an essential law that protects you and your family. The coverage is to compensate you, your family members or your designated driver for any damage that occurs when one of you is hit by a hit-n-run vehicle or underinsured or uninsured car.
The coverage takes effect when the fault vehicle does not have insurance to pay for all your loss. The coverage also protects pedestrians.
Bottom-line
To ensure you meet all the state auto-insurance law requirements, get a quote or engage a car-insurance agent to know the minimum requirements for your state. Also, search how you can file a complaint, and what are the penalties for someone driving without the right coverage.