June 1, 2021

Getting Caught With An Expired Insurance?

Can You Afford To Get Caught With Expired Car Insurance?

California drivers are required to have valid car insurance by law. Motorists must have at least minimal coverages to drive around in the Sunshine State legally. Policies need to include bodily injury liability, which covers the injuries and lost wages others sustain due to crashes. It also takes care of legal fees and deaths.

A person’s policy must include property damage liability in California as well. This coverage pays for another party’s property after it becomes damaged in a wreck.

As with bodily injury liability, this coverage also covers legal expenses when a lawsuit arises because of an accident. Don’t worry too much if this sounds like a different language to you. Instead, give us a call and let one of our agents explain things in layman’s terms.

We have extensive knowledge about many insurers, insurance products, and guidelines. That means the agent can find you the best deal and policy to meet your particular needs.

This article will now focus on some of the consequences associated with getting caught driving with expired insurance. Thus, please, stick around and read on to learn more.

No Car Insurance Coverage Can Equal Hefty Fines

Hitting the open road without valid insurance can hit a person in their pocketbook in California. First-time offenders often receive fines of between $100 and $200. Meanwhile, second offenses run drivers between $200 and $500. There can also be additional penalties and fees tacked on to these amounts. A person’s car can become impounded and towed if they do not have the correct insurance. They will have to pay the appropriate fees to get it back. Hence, people that do not wish to wreak havoc on their budgets should obtain car insurance coverage.

What Happens When Car Accidents Occur?

If a person is involved in a crash in California with no insurance, the state’s Department of Motor Vehicles can take away their driving privileges. In other words, the organization may suspend their license, even if they are not at fault.

The individual will have to perform some steps to get their credentials back. A first-time offender will need to complete a mandatory one-year suspension period.

After the time has passed, the motorist can apply to have their license reinstated but must show financial responsibility. A second accident with no insurance could lead to driving privileges being revoked for up to four years. People can put these worries to rest by purchasing car insurance, though.

Could Out Of Pocket Expenses Enter The Picture?

Aside from fees and fines, getting into an accident without car insurance could lead to other out-of-pocket expenses. For example, if a victim hires an attorney and files a lawsuit against a negligent driver, they can be awarded compensation. Insurance usually covers these payments, but the defendant will be on the hook for the amount without coverage.