Auto insurance
Insurance is becoming increasingly a requirement for driving all over the world. We applaud this trend, because it keeps innocent parties from being potentially financially devastated by the carelessness of someone else. Having car insurance also limits your potential liability in the event that you are charged with an accident. In short, insurance protects both parties in an accident, and if the time comes, you will be glad that you have provided coverage for yourself, your passengers, your vehicle, and other motorists and property owners.
Local law enforcement are also taking steps to ensure that drivers carry insurance, with penalties in place for those who do not comply. Police in the UK are now utilizing ANPR systems (automatic number place recognition) in order to identify those cars that are on the road without appropriate coverage. Possible penalties include fines and vehicle confiscation.
In the US, automotive insurance is required before any vehicle may be registered. The insurance company database is tied to state law enforcement databases and any lapse in coverage will be reported to state agencies, resulting in revocation of auto registration. Driver’s licenses will often also be suspended.
It is much less expensive to pay auto insurance premiums than to pay fines and face the legal punishments incurred when proper insurance is not provided for vehicles on public roads. Oftentimes court appearances are necessary, much paperwork is required, additional fines and fees must be paid before driving privileges can be restored, and in many cases the cost of insurance premiums will increase as a result of the driver’s irresponsibility.
If a collision has occurred while no coverage was in effect, the driver and/or vehicle owner will be held responsible for damages ranging from vehicle repairs or replacement to bodily injury to any persons involved, property damage, and sometimes even lost wages of insured persons, as well as possible legal fees and almost certainly imposed fines and penalties. In some cases, there may even be a jail sentence.
Besides avoiding all of these potential headaches and expenses, the responsible driver will enjoy peace of mind in knowing that any unforeseen accident will be covered, protecting everyone involved.
Entry Filed under: Insurance