What Happens if You Don’t Have Auto Insurance?

For most drivers it is unimaginable to drive without vehicle insurance coverage. However, about 14% of the US drivers are uninsured. They have already gone pass asking the question of what happens if I don’t have car insurance? Actually, they may have never asked the question and end up driving without buying insurance due to their circumstances. It is difficult to judge people without knowing their situations.

Again, many people who buy vehicle insurance without even thinking about it year after year may have never asked what would happen if they didn’t. They just know that it is something they need otherwise they cannot drive. For everyone’s sake, let’s have a look at what happens if you don’t have car insurance?

  1. You Don’t Have the Protection

One of the first things you should remember is that insurance provide invaluable protection from many unknown risks. The moment you invest a large sum of money on an automobile you stand to lose all your money in a traffic accident, fire, theft, storm damage, flood and many other perils.

Most importantly, you can potentially cause serious injuries or financial damages to other people with your vehicle the moment you get behind the steering wheel. And you are responsible to compensate those people you caused harm as a human being and legally. Most people buy insurance so that they can transfer all these risks to their insurers. And that allows them to sleep better at night.

  1. It Is A Legal Requirement for Every Vehicle Owner

You don’t actually need to drive your auto to be required to comply with the sate insurance laws that enforces minimum liability car insurance coverage. The moment you buy a vehicle you are liable to insure it. Most states will not register a vehicle without proof of insurance.

Furthermore Department of Motor Vehicles keeps a check on insurance policies and requires insurers to inform them of any policy lapses. In other words, they know if your automobile is insured or not and they don’t care if you don’t drive it or not. They usually send you a letter asking why you didn’t insure your auto or let your policy lapse. If you don’t drive your vehicle and it is kept in a private land you can fill an “Off-Road” vehicle form to say that you don’t need insurance since your vehicle is off the public roads and it isn’t driven. This may release you from vehicle owner insurance responsibilities under financial responsibility laws.

Buying insurance for the vehicle you own isn’t usually enough. You need to make sure that anyone who is driving your vehicle with your permission is insured too.

  1. Pay Penalties if You Get Pulled Over

The police can still catch you if you somehow managed to go undetected by DMV or driving an insured vehicle even though the insurance doesn’t cover you. Then, you will have to pay fines, you may get points on your license or even it can be suspended. Also, the police can impound the car you are driving. You will have to buy insurance and pay the fines to get it released. Driving a vehicle without insurance has serious consequences.

  1. Other Consequences

People may not realize but they can end up paying thousands of dollars when they get caught driving without liability insurance. They have to pay fines and legal defense because they will be taken to court. Furthermore, they may suffer other consequential losses they never thought of. For example, a suspended license and impounded automobile may mean that they cannot get to their work and lose it. You also lose face with your friends, colleges, boss and children when they know your license is suspended.

The best way to avoid troubles with the authorities and making sure that you have protection is to insure your vehicle and any driver who will be driving it. Going without insurance isn’t worth the trouble, especially when there are various auto insurance premium payment plans to help you spread the cost. You can get a few quotes right here, compare the costs and get insured instantly and cheaply.

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