You Do Not Always Need Car Insurance

Purchasing a vehicle is a big step and is rarely cheap. It also comes with many responsibilities, and one of those is registering the vehicle. In most states, you must show some sort of financial responsibility before you can register the vehicle to drive. Not all states require that to be through insurance though. In fact, many states offer other ways to drive without car insurance.

Alaska

· Proof of self-insurance

· Post a bond with the DMV

Arizona

· $40,000 bond with the state treasury office

California

· Car ins.

· $35,000 cash deposit with the DMV

· Self-insurance (must own at least 25 cars)

· Surety bond of $35,000

Indiana

· Deposit with state treasury office

· Surety bond

Iowa

· Automobile INS.

· Ability to immediately cover financial responsibility in an accident

Missouri

· Auto ins.

· Surety bond

· Real estate bond

· Self-insurance (dealers only)

Montana

· Surety bond

· Cash deposit with state treasury office

· Self-insurance

Nebraska

· Carry car insurence

· Cash deposit with state treasury office

· Self-insurance

· Surety bond

New Hampshire

· Insurance only required if you have been in an accident, convicted of driving under the influence, reckless driving conviction, and/or traffic violation under review

Ohio

· Auto insurence

· Surety bond

· Cash deposit with the state treasury office

· Complete Section A in the crash report for the state

· Self-insurance

Oklahoma

· Cash deposit with state treasury office

· Self-insurance

· Surety bond

South Dakota

· Self-Insurance

· Cash deposit with the state treasury office

Texas

· Surety bond (need TWO individuals)

· $55,000 cash deposit with state comptroller

· $55,000 cash deposit with county judge

· Self-Insurance (dealer with over 25 cars)

Virginia

· $500 uninsured driver fee

As you can see, many states offer you other methods in registering your vehicle without having to have car ins. However, it may cost you more money to get around insurance than just purchasing a simple liability insurance plan. Most cash deposits and surety bonds must be above $30,000 and insurance may cost you between $1000 and $3000 a year. This means you must own that car for at least six years to make the cost less. Dealers with over 25 vehicles in their fleet can apply for self-insurance. The rules vary between states, and it does not cover underinsured or uninsured drivers. It also does not cover lawsuits due to injuries.

There are ways to save money on car insurance without having to risk lawsuits or thousands in deposits. The best option available is to consider only getting the minimal liability insurance amount. Collision and comprehensive insurance are usually optional, but liability and underinsured coverage are the type that will save you money in the long run. Then, look for discounts you will qualify for and raise your deductible. This will lower the amount of money you have to pay each month in premiums.

If you live in one of the states where you do not have an option with showing financial responsibility by owning insurance, then you will definitely want to shop around. Just because you find a cheap car insurance company, it does not mean they will be a good company to insure through. The best method is to find an online quote prior to interviewing companies, so you know which ones already charge more or less than the average rates.

http://carinsuranceestimate.org

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