Louisiana, like many other states in America, has been upping the stakes for drivers who chose to operate vehicles without the required car insurance. The Louisiana Department of Insurance regulates the laws regarding auto insurance in Louisiana and new legislation is submitted, approved or denied frequently. However, the requirement to have car insurance is a common requirement throughout the country.
Louisiana car insurance laws state that motorists must obtain the minimum amounts of liability coverage on each registered vehicle they are associated with. The least amount of insurance a person can purchase, and still be within the legal requirements, is $15,000 per person in an accident, $30,000 for each accident and $25,000 for property damage. This is a reasonable amount compared to some other states plus Louisiana does not require drivers to carry additional personal injury protection or uninsured motorist coverage.
Of course, this basic coverage is just for liability purposes. This means that drivers who are at fault for an accident will still have to pay for their own medical and property damages since liability only covers the damages a driver does to someone else. Not having uninsured or underinsured motorist coverage would mean that a driver might not receive any compensation if they are struck by a driver who is illegally not carrying auto insurance. Experts recommend buying more than just the minimum amount required if at all possible, but many Louisiana drivers do not pay for car insurance at all.
Each state has its own set of penalties for drivers found to be operating a vehicle without insurance. Louisiana is tough when it comes to noncompliance as a driver’s license may be suspended and the vehicle’s registration may be suspended or taken away entirely. Officers in Louisiana even have the authority to remove the car’s license plate or, worst case, keep the car and impound it. Not only would drivers then need to purchase auto insurance to get their car or registration back, they will have to pay fines and fees to either get the car out of impound for pay for the citation.
Louisiana has also adopted the no pay, no play law that takes away any car accident settlement money up tor the first $15,000 in medical claims for not carrying the legally required car insurance. The first $25,000 in property damage claims would also be withheld if the right insurance has not been purchased.