What Are the Legal Problems and Risks of Driving Without Vehicle Insurance in USA?

[Insu_agent]

In the USA it is a legal requirement that all vehicles operated on public roads much carry liability insurance, or the car owner must post a surety bond (large amounts that vary by state) that would cover damages incurred in an accident. In addition, if you finance a car or lease one, you are required to carry comprehensive and collision insurance to cover the cost of replacing the car in the event of an accident. If you do not carry comp and collision insurance you are liable for the full amount owed on the loan or lease, even if the car is totaled and not able to be operated. In some instances the value of the car might be lower than the amount owed on the car, and then you will still owe the difference to the lease or loan company.

if you do not carry liability insurance, you are breaking the law. If you are stopped for any reason and cannot provide proof of insurance (or bond) you will be fined and probably have points added to your driver’s License so that when you do go to get insurance it will cost a lot more.

if your car is totaled and you owe money that you do not pay, then you can be sued in court by the lender or leasing company.

a whole lot of legal and financial trouble happens when you do not have insurance.