What is the Penalty for Driving Without Insurance?
Many types of auto insurance are required by law, but what is the penalty for driving without insurance? Liability insurance is required by law in 47 states and the District of Columbia. Drivers who don't comply face a range of potential punishments for not obeying auto insurance laws.
There is not only a single penalty for driving without insurance. Penalties vary from state to state and depend on the infraction you have committed. However uninsured drivers could face fines, jail time, having their license and registration revoked, license plate removal and in certain Florida counties, Louisiana, Connecticut and New Jersey your vehicle may be impounded.
States are especially strict on mandatory liability insurance. If you are in an accident your liability coverage will help pay for the other driver's medical, car repair and other costs if the accident was your fault. Each U.S. state specifies the minimum amount drivers should be insured for. Compulsory auto insurance is supported by most communities, since it is a critical source of funds in a crisis. However the penalty for driving without insurance has not been much of a deterrent for uninsured drivers.
In some states the number of uninsured drivers is a high as 30%. Reasons for not obtaining adequate insurance include lack of funds, high premiums for unsafe drivers and little likelihood of getting caught. It costs the government money to find violators of auto insurance laws and penalties may not be severe enough to stop these shirkers of responsibility. At this stage the only states which don't impose a penalty for driving without insurance are New Hampshire, Tennessee and Wisconsin.
However in other states the minimum auto insurance limits are being raised and drivers may need to provide proof of their insurance coverage at roadblocks. Drivers are encouraged to buy uninsured motorist coverage to protect themselves in the event of an accident with a driver who has no liability coverage. It is hoped that the penalty for driving without insurance will be intensified to deter unsafe and irresponsible driving.
If you are currently driving without insurance remember that a fine is not the only likely penalty for driving without insurance. If you are in an accident you may be required to pay ALL expenses out of your own pocket.
