Car Insurance: A Basic Driving Requirement in the US
From 1981 to 2007, the average annual rate of fatal car accidents was 44,000; from 2008 to 2015 the number went down to 33,000. All those directly concerned with traffic safety are obviously working doubly hard in implementing road safety rules. The National Highway Traffic Safety Administration (NHTSA), particularly, as well as other governmental organizations enact and strictly implement laws which will help ensure the smooth and safe flow of traffic and make vehicles more crashworthy. Some car manufacturers also do their share by continuously conducting researches that will make cars safer, besides equipping their modern vehicles with safety devices.
More than 30,000 deaths every year, however, is still a very big number, especially with the fact that majority of car crashes can be prevented as these are simply results of negligence or human error. It is due to this carelessness (and, sometimes, recklessness), which puts lives and properties in danger, that states require drivers to carry auto liability insurance or some form of proof of financial capability to compensate anyone who they may hurt or whose property they may damage in case an accident occurs due to their error.
Whether you intend to drive a car, a truck or a motorcycle, carrying auto liability insurance is a basic requirement in driving. Now, is this requirement reasonable? Well, on the practical side, if you get involved in an accident which is also your fault, carrying insurance can cover the cost of compensation that need to be paid to your victim. On the legal aspect, besides being one of the requirements when you renew your vehicle registration, carrying car insurance is also required by the law; thus, if you get caught without one, then the results can be much more costly, like getting your driver’s license suspended (this requires payment of fees when you request for reinstatement of your license) or you can eventually lose your driving privileges; you can also be required by the court to carry an SR-22 filing.
According to Franklin, WI car accident lawyers, an SR-22, often referred to as “certificate of insurance,” is actually just a certification that your car insurance provider will need to submit to your state’s Department of Motor Vehicles (DMV) to prove that you already have coverage. An SR-22 usually lasts for three years (some five years depending on the type of traffic violation committed); it also causes a little amount to be added to your insurance premium, making your premium a bit more expensive than the regular amount.