Auto insurance is intended to give drivers additional protection on the road. This insurance can also be beneficial for other drivers who may get injured or sustain major auto damage if they get into an accident with you. Going without auto insurance to try to save money is always a bad idea, and you could face additional consequences if you can't prove that you have adequate coverage under an insurance policy.
Here are a few problems that you could face if you drive without auto insurance.
Major Financial Losses
If you get into an accident, you could be on the hook for damage to your vehicle as well as the other driver's vehicle. An insurance policy can save you the money that you'd need to pay for vehicle repair service if you weren't covered. In addition to vehicle damage, you may be forced to pay for any other property damage that you might have caused during the accident if you don't have insurance. You'll also need to pay for medical expenses out of pocket or with your health insurance plan if you don't have auto insurance that provides this type of coverage.
You could be cited and have to pay a fine for not having insurance if a police officer pulls you over during a traffic stop, and additional penalties may be imposed depending on where you live. Some states are known to suspend driver's licenses and confiscate license plates if drivers don't have insurance. You could even face jail time if you're caught driving without insurance in certain parts of the country.
If you're at fault for the accident, the other driver could sue you if you don't have an auto insurance policy to protect you. You could be sued for the other driver's vehicle damage and medical bills. In addition to being sued for not having insurance, the other driver may have grounds to take legal action against you if you're underinsured.
More Difficulty Getting Insurance in the Future
Insurance companies are often more leery about offering low-cost policies to people who have lapses in insurance coverage. By getting insurance and remaining covered, you can save yourself a lot of money and enroll in an insurance plan easier if you choose to switch policies.
You'll have fewer things to worry about behind the wheel if you have an insurance policy that gives you the right amount of coverage. Contact an auto insurance agent to learn more about the benefits of having auto insurance and to explore your policy options.