If you don't have car insurance, or if you get into an accident with an uninsured motorist, here are the important steps to take to deal with the repercussions:
File a report. No matter who was at fault in the accident, most states will require an accident to be reported to the DMV within 10 days.
When an accident report is created, insurance information will be collected; if one of the parties doesn't have insurance, they will be fined by the DMV, and their vehicle tags may be revoked. In some states, a revocation will last up to 30 days, even if the driver gets insurance within that time period.
Seek coverage for damages. If you are the at-fault driver without insurance in an accident, you will have to pay out-of-pocket for any damage to the other vehicle. If you can't pay for the damages in the accident, the other party has the right to take you to court to seek compensation for the total damage amount.
If you have been hit by an uninsured driver, you can contact your insurance company directly to find out about uninsured motorist coverage, which is not required in many states. If you weren't at fault in the accident and don't have insurance, you may not have to pay for any damage on the other vehicle; the other drivera insurance company may cover damages, although they are still likely to put up a fight against an uninsured driver.
Getting insurance after an accident. If you have been reported in an accident without insurance, you may need to file an SR 22 with the DMV in your state. This form proves that you are financially responsible to meet state insurance requirements; an SR 22 will be used to help you find insurance coverage after an uninsured accident.
Keep in mind that with this type of blemish on your record, typical car insurance rates may double as a baseline quote. In many cases, an SR 22 that triggers expensive insurance rates will be needed for a minimum of three years after an uninsured accident.
With this type of high-risk situation, it's best to stop problems before they start. Getting into an accident as an uninsured motorist could cost you thousands of dollars in damages, potential legal issues in court, and expensive insurance rates for years to come.
To stay on the safe side, lock in affordable insurance rates and don't drive without insurance coverage, under any circumstance. This will protect you and your finances in the event of an accident.
Leslie R. Wright is an outstanding leader in all things insurance. With 20 plus years of experience Leslie chose to share her knowledge and is now a freelance writer for Austin Car insurance.