Basic Information About Minimum Auto Insurance Requirements in Alabama
Alabama is a state where vehicle owners must purchase liability coverage. If you do not want to buy insurance, you can choose from other options. Some of the alternative options you can choose form include motor vehicle liability bond and certificate of cash bond. The minimum requirements for the motor vehicle liability coverage is $50,000. In Alabama, the minimum injury liability requirement for a single person is $25,000. For all the passengers, the minimum requirement for the injury liability insurance is $50,000. The property damage insurances minimum requirement is $25,000 in one accident. You should buy more than the required amount of insurance so that you can avoid emptying your account during the accident. Aside buying liability coverage, you should buy other types of coverage such as uninsured/underinsured insurance or comprehensive insurance coverage.
If you are driving on the highway, make sure you carry insurance proof. There are many ways to provide proof that you meet the financial responsibility of the state. Some of the approved proofs of financial responsibility includes insurance card, certificate of liability policy, proof of vehicle purchase, car rental agreement, motor vehicle liability bond and certificate of cash bond. There are several situations where you will be asked for the proof of insurance. The police officer may stop your car and ask for the proof of insurance. If you happen to be involved in an accident, the police officer ask for proof of insurance. When you are attempting to register a vehicle, you will be asked to provide a proof of insurance.
If you fail to carry the proof of insurance, your vehicle registration can be suspended. After your vehicle registration is suspended, you have to pay a reinstatement fee. The reinstatement fee costs about $100. The vehicle registration can be suspended up to 4 months. You have to provide proof of insurance within 4 months. If this is your second offense, you have to pay a fee of $200. The Department of Motor Vehicle (DMV) can charge you additional fee up to $1000. If you offend for the second time, your driving license can be suspended for 6 months.
To avoid getting involved in a serious financial situation, you should buy more than the minimum requirement. If you only buy insurance to meet the basic requirement, you will have risks of emptying your bank account to pay for the accident cost. To find out how much insurance to buy, you should calculate the value of your properties. The auto insurance coverage will protect you from legal fees and medical costs. You can use the car insurance quote search engine to compare the cost. To use the car insurance quote search engine, you have to provide your zip code. After that, you will be asked to choose a provider. Once you have selected a provider, you can purchase the insurance policy.