Author Topic: Not buying car insurance / driving without car insurance  (Read 4585 times)

jks1985

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Not buying car insurance / driving without car insurance
« on: November 28, 2013, 12:39:56 AM »
I saw this posted the other day on reddit

http://www.4autoinsurancequote.com/uncategorized/how-to-drive-without-auto-insurance-and-not-get-caught/

Is this a surefire way to get thrown in jail?  Or is it actually something a lot of you guys do already?

Half-Borg

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Re: Not buying car insurance / driving without car insurance
« Reply #1 on: November 28, 2013, 12:54:25 AM »
Not only is it illegal to drive without insurance, it's also fucking stupid. Even a minor accident can cost you thousands of dollars. Produce a crash on the highway and your liability goes up into the millions. And it's not like car accidents are uncommon, that's why the insurance is so expensive, not because the insurance companys screw you over.

CanuckExpat

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Re: Not buying car insurance / driving without car insurance
« Reply #2 on: November 28, 2013, 01:25:12 AM »
A few states in the US allow you to drive without insurance, you have do equililent of "posting bond", or somehow show that you have the means to be fiscally responsible for any damage you cause.
Check your state laws

Jamesqf

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Re: Not buying car insurance / driving without car insurance
« Reply #3 on: November 28, 2013, 11:16:59 AM »
At least in this state (Nevada), insurance is computer-linked to registration, so you can't register a car (or renew an existing one) without having insurance. 

As for the article's claim that "The average American pays around $1300+ on car insurance annually.", this has to be including collision & comprehensive as well as liability.  (I pay about 1/3 of that for liability on two vehicles.)  You're not going to get out of C&C if you have a car loan, and if you can afford to buy for cash (especially a Mustachian older car), why do you need it?

Spork

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Re: Not buying car insurance / driving without car insurance
« Reply #4 on: November 28, 2013, 12:33:33 PM »

As for the article's claim that "The average American pays around $1300+ on car insurance annually.", this has to be including collision & comprehensive as well as liability.  (I pay about 1/3 of that for liability on two vehicles.)  You're not going to get out of C&C if you have a car loan, and if you can afford to buy for cash (especially a Mustachian older car), why do you need it?

I pay about $1200/yr for liability.  But:
* I have too many cars (even though they're old)
* Texas insurance rates are high

MrsPete

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Re: Not buying car insurance / driving without car insurance
« Reply #5 on: November 28, 2013, 07:52:15 PM »
A few states in the US allow you to drive without insurance, you have do equililent of "posting bond", or somehow show that you have the means to be fiscally responsible for any damage you cause.
Check your state laws
Yeah, we have that . . . or at least we used to have that.  I remember overhearing my father and uncle discussing it once when I was a teen, and I couldn't believe it was true.  Regardless, the bond was pretty much impossible for the average person, and it would be foolish to tie up your money in that way to avoid paying insurance, which -- in my life anyway -- isn't all that much money. 

At least in this state (Nevada), insurance is computer-linked to registration, so you can't register a car (or renew an existing one) without having insurance. 
I think our yearly car inspections are "hooked to" our license plate renewals now too.  That's actually one of my husband's chores, so I'm not 100% certain. 

gooki

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Re: Not buying car insurance / driving without car insurance
« Reply #6 on: November 29, 2013, 12:49:58 AM »
I dove for a year without insurance. It is however perfectly legal to do so in our country. Now that I actually have something to loose, I cary liability, fire and theft insurance.

Argyle

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Re: Not buying car insurance / driving without car insurance
« Reply #7 on: November 29, 2013, 12:53:29 AM »
I pay $340 per year for car insurance.  There are so many ways to cut back spending -- risking an accident without car insurance sounds insane to me.

rocketman48097

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Re: Not buying car insurance / driving without car insurance
« Reply #8 on: December 03, 2013, 09:25:21 AM »
My state only charges a $50 fine per incident, if you get caught driving without insurance.  So here in TN, it's no big deal if you don't have insurance.  From a financial perspective, I only insure for catastrophic losses.  I am more worried about being sued than I am about physical property damage, I could cover that easily.  However, I have a house and a fair amount of assets so I carry liability on two cars, and comprehensive on the newer one, 2008, with a 1k deductible.  I could go even higher but I am married so I don't like to push my luck with the wife. 

I used to be insured through progressive and then esurance.  I honestly thought esurance rates couldn't be beat until I talked with an independent broker who hooked me up with the Donegal no name insurance company.  I now pay $500 per year for my cars (coverage above) and about the same for my house, which also was lower once I switched. 

My advice would be to drive with insurance but only liability coverage for catastrophic lawsuits, remote as that possibility may be.