Minimum Car Insurance Coverage Requirements in Richmond

Virginia is one of the few states that does not require motor vehicle insurance. However, because Richmond has one of the highest rates of auto accidents in the state, car insurance is essential.

As a resident of Richmond and a driver, understanding auto insurance laws is your responsibility. Continue reading this guide to find out the minimum car insurance requirements and laws in Richmond.

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Minimum Car Insurance Requirements in Richmond

When you register your vehicle, you have two options. First, you can certify that you have purchased the minimum liability insurance requirements, which encompass the following coverage:

• $25,000 in coverage for the bodily injury or death of one person
• $50,000 in coverage for the bodily injury or death of two or more people
• $25,00 in coverage for causing damage to property

Second, you can opt to pay a fee if you are unwilling or unable to purchase an insurance policy. If you choose not to purchase the minimum amount of liability insurance, a mandatory $500 uninsured motorist fee must be paid to the Virginia Department of Motor Vehicles.

Failure to Pay the Uninsured Motorist Fee in Richmond

If you decline to purchase insurance and fail to pay the mandatory $500 uninsured motorist fee, you could be in serious trouble if you are caught driving. Not only will you be fined, but you will face suspension of the following:

• driver’s license
• vehicle registration
• license plates

To reinstate these items, you must pay a $500 fine, show proof of insurance for three years, and pay a driver’s license reinstatement fee. You must fulfill each of these penalties to be permitted to drive in Richmond once again.

Statistics for Auto Accidents in Richmond

Richmond is the capital of Virginia, and consequently, the city is a major metropolitan area. Next to Virginia Beach, Richmond had the second highest number of auto accidents in 2015 according to the Virginia Department of Motor Vehicles.

If you live and drive in Richmond, you are at a higher risk of being involved in an auto accident than individuals in other Virginia cities.

Consequences for Driving without Auto Insurance in Richmond

If you are uninsured and are involved in a serious auto accident, you may be held responsible for the losses of the other people involved. These losses could include property loss, medical bills, income or lost wages, emotional distress, and other related expenses.

Under the Virginia state law, the victim in the accident is entitled to compensation from the at-fault party. Typically, insurance coverage pays out in such situations, but if you do not have insurance and are at fault in an auto accident, you will be held liable.

Being held liable could mean facing lawsuits for personal injury claims, which could amount to hundreds of thousands of dollars in damages.

If you are not able to compensate the amount ordered, anything of value that you own, including your home, savings, future wages, and other assets, could be seized to pay for the losses.

Liability insurance is crucial in protecting your financial stability because it provides coverage for damages to other people and their property.

Without liability insurance, a lot of people could not afford to compensate the high cost of damages caused in an auto accident.

Other Types of Car Insurance Available in Richmond

While liability insurance is a very important coverage, other types of auto insurance are available to you in addition to the minimum requirements. Each type of coverage is priced separately, so it is important to know exactly what coverage you do need and what coverage you don’t need.

– Collision

This type of coverage pays for damages to, or even replacement of, your vehicle due to an auto accident and regardless of who is at fault. If you have a head-on collision with another car, an object, or your vehicle overturns, this is where collision coverage kicks in.

– Comprehensive

This type of insurance pays for damage to your vehicle due to accidents that were caused by something other than a collision.

For instance, causes like fire, vandalism, floods, hail, glass breakage, wind, falling objects, or even hitting an animal with your vehicle are covered under this policy. Comprehensive coverage also pays if your vehicle or parts of your vehicle are stolen.

Typically, this type of coverage is required if you have a loan on your car or lease your car from a financial institution.

– Uninsured And Underinsured

These two types of insurances are often grouped together. Uninsured coverage pays for medical expenses if you’re in an accident and the other driver is at fault and uninsured.

Underinsured coverage compensates for medical expenses if you’re in an accident and the other driver is at fault and doesn’t have enough insurance to cover all the expenses caused in the accident. This type of insurance is usually inexpensive, considering the amount of protection it offers.

– Medical Expense benefits

This type of insurance pays for medical or funeral expenses if you and/or your passengers are hurt in an accident.

Since the coverages listed above are additional types of insurance, you may not need all of them. Evaluate your needs before selecting optional insurance to see what best fits your lifestyle.

Tips for Shopping Around for Car Insurance in Richmond

Car insurance premiums in Richmond, Virginia, are based on a number of different factors, including:

• age
• sex
• marital status

While some of these factors you can’t control, you can control some. You may receive discounts for the following:

• good credit
• good driving habits
• a vehicle equipped with anti-theft devices
• a vehicle equipped with safety features, such as airbags

According to the National Insurance Crime Bureau, you may want to watch out for what kind of car you are purchasing. Some cars are targeted for theft more than others, and insurance companies may add that possibility to your insurance premium.

Driving is a privilege and you have the responsibility to ensure that all drivers on the road are safe.

Don’t be part of the 14 percent of Virginia Drivers who are driving uninsured. The best way to get quality coverage at affordable rates is to shop around.

It’s easier now than ever to get multiple insurance quotes with the internet at your fingertips. By comparing different quotes, you are sure to find a policy that works best for you and your wallet.

Start comparing auto insurance rates now using the FREE online price comparison tool below!