Driving without Insurance is More Costly

By on 7-23-2016 in Insurance

If an accident occurs, seeking compensation should not be a worry to injured innocent victims because the at-fault driver has auto liability insurance coverage – this is what is expected and this is what should be. By carrying auto liability insurance, an at-fault driver will also be saved from worrying about the source of money with which he or she will be paying compensatory damages. This is because payment will be made by his or her insurance provider.

Carrying auto liability insurance is actually one way of proving financial responsibility in the event of an accident; another way is by complying with any of the means that a state has approved. Financial responsibility is actually the law that requires drivers in the U.S. to demonstrate their financial capability to pay for damages resulting from an accident wherein they are at fault. While this law mandates showing proof of one’s capability to pay compensatory damages, it does not specifically say that this capability be shown by carrying of auto insurance. Thus, in New Hampshire, the only state that does not mandate the carrying of auto liability insurance, drivers can either carry an SR-22 filing or depositing securities or money with the state treasurer.

Carrying auto liability insurance is a mandate in the United States. Despite being a mandate, though, 1 in every 8 drivers or more than 29 million drivers continue to drive freely on US roads and highways without insurance. According to the Insurance Research Council, the top five states for uninsured drivers are California, with 4.1 million uninsured drivers; Florida, with 3.2 million; Texas, with 1.6 million; Ohio, with 1.3 million; and, Tennessee, with 1.2 million.

Insurance coverage is expensive – this is the number one reason why so many drivers are uninsured. It can still be more expensive for those who are below 25 years old, have had traffic violations in the past, have only a few years of driving experience, are driving a high-powered sports car, have high annual mileage and have been required by the court to file an SR-22. Expensive of not, however, one will still need to be insured if he or she wants to drive legally in U.S.

Being insured, according to independent car insurance firms, need not be expensive. By offering free insurance quotes online, these firms, according to Abel Law Firm, are able to help drivers and car owners find the best, yet cheapest, insurance deal fast, easy and without any hassle.