Can drivers use their vehicles without auto coverage?

Many drivers wonder if it’s legal to use their cars without any insurance, and the answer is that it is possible to do so in many states, as long as those drivers also have a very large amount of cash. In Ohio, as long as you carry a form of proof of financial responsibility, you are legally allowed to drive without any car insurance. To do this, you must either make a deposit of at least $30,000 with the state treasurer, or you must purchase a bond worth at least…

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New auto insurance law in Oklahoma set to impact the insurance industry

A new law regarding auto insurance is set to take effect November 1 in Oklahoma. Farmers Insurance, the state’s largest auto insurance company, has taken this opportunity to remind drivers of the law and how it will affect them. The law – Senate Bill 272 – will introduce new requirements for auto insurance and stricter penalties for drivers without insurance or those underinsured. Farmers notes that the law will likely benefit consumers as a whole, but may make changes to existing policies. The law will reduce the amount of money…

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Legislators fight back against auto insurance changes in Michigan

New legislation in Michigan seeking to change the state’s auto insurance laws has found opposition with some of the state’s lawmakers. Michigan Democrats have taken issue with the pending legislation, claiming that it is unfair for some motorists that currently have trouble paying for the insurance coverage they have. The law would remove the cap on medical benefits provided through insurance coverage for those injured in auto accidents as well as broaden the requirement for the level of coverage drivers should have. Supporters of the legislation argue that it will…

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Report calls for more action from consumers to help mitigate the costs of natural disasters

This year has been host to a large number of natural disasters that have born a heavy price tag to the insurance industry. While natural disasters may not be happening more frequently, they are certainly happening in areas of dense population, making the damage they cause astronomical. Consumers often look to the insurance industry to provide protections against natural disasters, but the industry can only do so much. A new report from the University of Pennsylvania’s Wharton School suggests that government policy, as well as consumer initiative, may significantly reduce…

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Data shows one in seven American drivers is uninsured, despite legal requirement

Regardless of the fact that almost every American state has an auto insurance requirement law, one in every seven drivers is still uninsured. This statistic was assembled by an industry group, which estimated that 13.8 percent of all drivers in the country do not have auto insurance. This number has risen since before the beginning of the economic downturn, as many people struggle to make ends meet and have allowed their coverage to lapse. Vice president David Corum, from the Insurance Research Council – which is an insurer-supported non-profit organization…

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