Why should people buy auto insurance even if they don’t own a car?
A majority of the states necessitate car owners to insure their vehicles with liability indemnity coverage, and a lot of them carry in excess of their state requirements. Nevertheless, lots of drivers are ignorant of the countless benefits they get under their auto insurance policies. For licensed car owners, having insurance is obligatory by law almost in all places. If you don’t have a car and believe that there’s no need of an auto insurance, think again. For those who don’t own a car, auto insurance is crucial for those instances when they will be driving – be it a rental vehicle or one taken from a relative or friend. Only those who never drive because of age, infirmity or license cessation (in selected states), need not carry coverage.
Every registered vehicle should be covered through an auto insurance policy that offers adequate coverage. Every car owner should buy a car insurance policy to provide his car with the maximum protection and security possible. However, it’s a big time question whether or not a person without a car, should purchase insurance.
No matter you own a vehicle or not, you must be insured through some means or another by a car indemnity policy that covers all the criteria of the particular state you reside and drive in. Although the vehicle you rent or borrow may be insured by its individual policy, the drivers need to have their personal indemnity coverage. In case you were to meet an accident for which you are responsible, you would hold no legal responsibility.
Why should a licensed driver buy auto insurance?
Every licensed driver should buy auto insurance even if he doesn’t own a car. Here are the reasons for which a licensed driver needs to buy insurance.
- To get coverage for liability: Liability coverage is immaterial for the people, who never get behind the steering even though they have driving license. However, drivers who drive someone else’s vehicle must buy auto insurance. They can’t avoid the liability, in case of an accident and thus must have auto insurance to get liability coverage.
- To get medical coverage for passengers: Medical coverage is an essential part of an auto insurance policy. Drivers must have insurance to provide their passengers with needed medical coverage, in the event of an accident. Some health insurance providers cover car accidents, but most of them don’t.
- To avoid higher premium in future: Drivers must be updated on their auto insurance. Even if they don’t own any car right now, then also they need to be up-to-date, in terms of the payment of insurance premium. It would help to avoid the chance of being listed in the high-risk category, when they’ll buy next car.
How can a driver avoid buying auto insurance?
The cost of auto insurance in US is much higher, if compared to other countries. Due to this reason, many licensed drivers avoid buying insurance and stay unprotected; but this is absolutely illegal. The only option for them to stay covered, is to be added as the driver to a relative’s or a friend’s policy. They can also buy a named non-owner insurance policy that is less expensive than that of a conventional auto insurance policy. However, such car insurance policies don’t provide any coverage for bodily damages to the car.
It is the responsibility of every registered driver to buy auto insurance. Whether in the form of a named non-owner policy or anything else, being a driver of a car, an individual should have adequate auto insurance coverage.