Most of us take our cars for granted — until we can no longer drive them. If you rely on your vehicle for commuting to work, traveling to new destinations, or simply running errands around town, you probably value the sense of independence and protection your car provides. However, if your car is stolen or is involved in an accident, you may suddenly have those feelings taken away. That’s especially true if you didn’t bother to go through the insurance process for your vehicle.
Obtaining car insurance isn’t merely smart; it’s also required by law. While insurance requirements do vary by state, having some form of insurance is necessary. If you’re caught without insurance coverage, you’ll face some harsh punishments and could leave yourself vulnerable to financial hardship. In today’s post, we’ll talk about why you should never get behind the wheel without attending to your insurance needs first.
What Are the Consequences of Driving Without Insurance?
The penalties for driving without car insurance will depend on where you’re located. However, here are just some of the consequences of being caught without car insurance (even for a first-time offense):
- Tickets and/or fines
- Driver’s license suspension
- Vehicle registration suspension (plus reinstatement fees)
- Impounding of vehicle
- Required proof of insurance form filing
- Possible jail time
Lest you think you might be willing to take the risk for a nominal fee, keep in mind that your state may take this crime very seriously. In some states, the fine alone can be anywhere from $500 to $5,000. That could equal more than you’d pay for car insurance for a five-year span, depending on where you live and what your premiums might be!
Of course, another huge risk of not carrying vehicle insurance is what might happen if you’re involved in an accident. If you’re responsible for the accident, you’ll have to pay for the damages out of your own pocket. While car insurance provides a financial cushion in situations like these, you may be completely out of luck if you have no coverage. Some states even require uninsured motorists to pay a substantial deductible. The other driver involved may also be able to sue you for damages.
Do I Need Insurance For Every Vehicle I Own?
Contrary to popular belief, insurance policies typically follow the automobile — not the driver. That means if you let a friend borrow your car and they’re involved in an accident, it’ll usually be your insurance policy that takes the hit if they’re found responsible. This also means that if you own multiple vehicles, you’ll have insurance needs for each auto.
Your insurance agency may be able to offer coverage for a few vehicles on the same policy (and may even be able to offer a discount on coverage for doing so). But if your family already owns several vehicles or some of those vehicles come with higher insurance risks (like more significant repair costs, for example), it may not be possible or advisable for you to insure them all on one policy.
Those who collect classic cars usually require separate insurance policies for their vehicles. Although the average car owner puts around 13,500 miles on their vehicle every year, classic cars are usually driven far less frequently. Still, you’ll probably have specific insurance needs for any classic cars you own.
Classic cars actually appreciate in value over time. Premiums may be lower for classic cars than for modern vehicles, though the replacement cost will usually be much higher. How you use your classic car may also determine your insurance needs, as some of these vehicles are permitted to be used only for special events. But no matter how you intend to use your classic vehicle, you certainly won’t want to go without insurance. Since the monthly cost of insurance might be even more affordable — and the cost of replacement may be even higher — than you’ll find with a modern car, it makes a lot of sense to work with an agent for classic car insurance Portland drivers trust.
Whether you own just one vehicle or love to collect classic cars as your passion project, you should never go without auto insurance coverage. For more on how we can help with your insurance needs, contact us today.