Simply put, it is against the law to drive without insurance in most states. Sure, you can buy insurance to get the car off the lot or register it and then cancel the car insurance or let it expire, but you’d be breaking the law. You’re also assuming a lot of risks and financial responsibility when you don’t have insurance.
Think about it this way: Do you want to be responsible for $25,000 in medical bills for someone who is injured if you hit their car? That may seem like an exaggeration, but it happens every day. That’s a hospital stay with diagnostic tests and rehabilitation afterward.
The average personal injury settlement in auto accidents is $19,000. The fact is that you could be held liable for hundreds of thousands or more in medical claims. Then there’s the matter of fixing the cars. Even a minor fender bender can be thousands of dollars in damages with today’s cars.
To avoid this liability, you’ll want to have auto insurance. It’s a low-cost way to protect your wallet. Carrying at least the minimum liability coverage will keep you on the right side of the law.
While you are technically still responsible for costs above the liability limits, most accident attorneys will take what the insurance gives them and move on. However, if the attorney senses that you have deep pockets, they will file a lawsuit for more than what the insurance pays.
Shop for insurance by getting a quote from several carriers. Get an idea of the type of coverage you want and make sure to compare apples to apples.
For example, get a quote for 15/30/5 from several carriers so that you can assess who has the best price for the same coverage. Whatever liability limits and property coverage you choose, make sure the quotes match. That way, you’ll know you’re getting the best deal.