Like all states, Minnesota has its own insurance laws you must follow. Here is an article by
Ronald Wells about this issue.
Minnesota Auto Insurance: Some Crucial Things That You Need to Know
Auto insurance is meant to help reduce the financial burden that accrues when you are in involved in a road mishap. If someone is injured or a car gets damaged, it could set you back for some serious cash without appropriate insurance cover. All states in America have different mandatory laws which require responsibility during road accidents. However, it is not all of them that require insurance. If you are living in the state of Minnesota, here are some things that you should be aware of.
No Fault
Minnesota's No Fault Automobile Insurance Act was passed in the early 70's. However, it was updated in 2009. The vehicular laws of Minnesota require that drivers meet certain criteria. If they do not meet these requirements, they are not permitted to be on the road. Drivers who also do not meet the requirements of automobile insurance stand the chance of being charged for multiple offenses. This could lead to fines from 100's to 1000's of dollars. Repeat offenders could face up to 90 days in jail or even have their licenses suspended.
Liability
The state of Minnesota also requires liability insurance which covers the cost of fixing a damaged car once it is confirmed who was at fault. It also spreads across hospital costs and all those injured during the course of the accident. There is a minimum and maximum amount you should spend on a person.
PIP
Furthermore the state of Minnesota requires that drivers have Personal Injury Protection (PIP). This insurance cover spans across medical costs, replacement expenses and wages lost. It is meant to be paid, regardless of who is the guilty party. The minimum cost amounts to over $40,000 per person.
Underinsured Insurance
If you are involved in an accident and the other person driving is at fault but does not have adequate insurance to cover your expenses, your underinsured insurance can be used. This coverage has a maximum limit of $50,000 and a minimum limit of $25,000.
Uninsured Insurance
If you are involved in an accident with a driver who is not insured and your PIP accruements have been used. What do you do? What you do is use your uninsured motorist coverage to pay up the rest of your expenses. This coverage is only payable, if the alternate driver has no insurance cover and is at fault. The minimum limit of this coverage is $25,000 for an injured party.
For more information and to compare various car insurance companies by zip code, visit
http://www.FreeInsuranceEstimates.com
Source:
EzineArticles.com.
Thank you Ronald! That was an eye opener.
Nadav
nadavs
