Author: Emissions

Missouri Car Insurance

Last updated on April 26th, 2018

Missouri law requires that the owner of every vehicle in the state somehow prove that they can be financially responsible if they are involved in an accident. Because Missouri is a tort state, meaning that the driver that is found to be at fault in an accident is financially responsible for all damages and injuries, state law requires a driver to be able to pay for any injuries or damages that they cause in an accident. The easiest way for most state residents to satisfy financial responsibility requirements is to purchase an auto insurance policy that meets Missouri State standards.  In order to meet these standards an insurance policy in Missouri must include at least $25,000 in bodily injury coverage per person and $50,000 in bodily injury coverage per accident, as well as at least $10,000 in property damage coverage. These amounts are only the minimum amounts of liability coverage required by state law and residents are free to purchase more coverage than is required by the state. The purchase of coverage over state limits is common in Missouri because an at-fault driver is financially liable for all costs associated with an accident and will have to pay out of pocket for whatever the liability insurance does not cover. For instance, if a driver has $10,000 in property damage coverage on their policy and cause $12,000 in damage to another driver’s vehicle the at-fault driver will still be liable for the $2,000 in damage not covered by the policy. Uninsured and underinsured motorist coverage is also required to be maintained on every vehicle registered in the state and must be purchases in the same minimum amounts as bodily injury coverage.

Although there are means of satisfying the state’s financial responsibility requirement other than purchasing a policy, these methods are generally only available to residents that meet certain criteria. A resident that wants to self-insure for instance must own at least 25 vehicles and will be required to obtain a self-insurance ID card from the department of revenue. Additionally, Missouri drivers can also purchase a surety bond or make a cash deposit with the Department of Revenue in the amount of $60,000. If a driver decides to use any of the above methods to satisfy financial responsibility requirements they are still required to keep proof of the fact in their vehicle at all time. In fact, maintaining proof of insurance is a requirement In Missouri and failure to do so is against the law. Proof of insurance is also required when a vehicle is registered in Missouri, when a driver is pulled over for a traffic violation and when the Department of Revenue requests proof from the vehicle owner. Failure to provide proof of insurance can result in one of three penalties allowed under state law. The Drivers License Bureau could choose to play four points on the offending driver’s license, the court could suspend the driver’s license or the DLB could just choose to monitor a driver’s insurance status more closely.  If a driver is actually convicted by the courts of driving without insurance they will face additionally penalties, including a mandatory suspension of the driver’s license or registration. Conviction of driving uninsured will also result in a small $20 fee and the requirement to provide proof of insurance. A second offense in a two year period will be penalized with a $200 fine and a mandatory 90 day suspension of driving privileges. A third offense and each offense thereafter in a two year period will be penalized with a $400 fine and a mandatory 1 year suspension of driving privileges. If any of these convictions occur as a result as a car accident the driver will also be required to file an SR-22 form for a three year period.

In addition to residents Missouri State car insurance laws also imposes regulations on insurance companies that sell auto insurance policies within the state. For instance state law requires every car insurance company in Missouri to offer their customers every type of coverage required by the state. While Insurance companies are allowed to refuse to write a policy for any Missouri resident that they see as uninsurable every driver that they do insure must be offered liability coverage as well and uninsured and underinsured motorist coverage. Missouri law also requires that insurance companies keep the Missouri Department of Revenue Driver License Bureau up to date with the status of the policies sold in the state. This means that insurance companies must report the sale, cancelation, renewal or lapse of any car insurance policy to the state. This reporting requirement allows the most accurate car insurance records to be kept by the state which the Department of Revenue then uses to find uninsured drivers so that corrective action can be taken by the state.

Filed under: Missouri, Articles, Car Insurance

Maryland – Emissions Testing Locations

Last updated on April 26th, 2018

In the state of Maryland you will need to go to a VEIP testing station in order to get your emissions tested.  Below is a list of the emissions testing stations located in Maryland.  It is recommended that you call a station ahead of traveling there to ensure it is open on the specific day and time you wish to visit.

Washington County
12100 Insurance Way
Hagerstown, MD 21740
Frederick County
1506 Tilco Drive
Frederick, MD 21701
Carroll County
50 Aileron Court
Westminster, MD 21157
Baltimore County
11510 Cronridge Drive
Owings Mills, MD 21117
Harford County
1631 Robin Circle
Forest Hill, MD 21050
Cecil County
1644 Pulaski Highway
Elkton, MD 21921
Montgomery County, East
2121 Industrial Parkway
Silver Spring, MD 20904
Montgomery County, Central
15910 Chieftain Avenue
Derwood, MD 20855
Howard County
6340 Woodside Court
Columbia, MD 21046
Baltimore City, West
1411 S. Edgewood Street
Halethorpe, MD 21227
Baltimore City, East
5900 Erdman Avenue
Baltimore, MD 21205
Prince George’s County, South
7213 Old Alexandria Ferry Road
Clinton, MD 20735
Prince George’s County, North
7401 Jefferson Avenue
Hyattsville, MD 20785
Anne Arundel County, North
721 E. Ordnance Road
Curtis Bay, MD 21226
Anne Arundel County, South
189 Defense Highway
Annapolis, MD 21401
Queen Anne’s County
230 Hess Road
Grasonville, MD 21638
Calvert County
1035 Prince Frederick Blvd.
Prince Frederick, MD 20678
Filed under: Maryland, Articles, State Emissions Testing

Maryland Exemptions, Waivers, and Extensions for Emissions Testing

Last updated on April 23rd, 2021

In the state of Maryland, you can be granted an extension, waiver, or exemption from emissions testing if you meet certain criteria. Let’s take a look at each one and what is required for you to obtain each one.

Obtaining Extensions

If you are unable to have your vehicle tested by the specified due date, you could qualify for an extension. You can use the following ways to apply for an extension:

  • Through the MVA’s web site
  • At one of the MVA’s kiosks
  • In-person to any of the 18 VEIP stations located throughout Maryland
  • In-person to any of the MVA’s full service branch offices
  • By mail to the Glen Burnie branch office
  • By telephone to the VEIP office; or
  • By telephone to the MVA Customer Service Center

Now let’s take a look at exemptions and which vehicles qualify for an exemption.

  • 1976 or older
  • Vehicles weighing more than 26,000 pounds gross vehicle weight
  • Vehicles powered solely by diesel or electric
  • Motorcycle
  • Vehicles registered as a farm truck, farm truck tractor or farm area vehicle
  • Historic or Antique vehicles
  • New vehicles for the first 24 months and qualified hybrids for the first 36 months after titling and registration
  • Fire apparatus owned or leased by the State of Maryland, a county, municipality, volunteer fire department or rescue squad
  • Ambulances currently exempted will remain exempt
  • Vehicles registered to senior citizens over 70 or vehicles registered with hard metal disable tags and who drive 5,000 miles per year or less (if co-owned, both owners must qualify for the waiver) can apply for a waiver for the balance of the two year cycle. Mileage must be recertified every two years to continue to receive the waiver
  • Vehicles registered as a Class N street rod vehicle
  • A military vehicle owned by the federal government and used for tactical, combat, or relief operations, or for training for these operations
  • Vehicles registered as a Class H school vehicle or Class P passenger bus

You could receive a waiver from emissions testing:

If you are a senior citizen that is at least age 70 or older and your vehicle is driven less than 5,000 miles each year, you qualify for a waiver from emissions testing.

If you are a disable citizen with handicap plates, not just the placard, and you drive your vehicle less than 5,000 miles every year, you qualify for a waiver from emissions testing.

Source: http://www.mva.maryland.gov/

Filed under: Maryland, Articles, State Emissions Testing

Mississippi Rewards for Green Businesses

Last updated on April 26th, 2018

In the state of Mississippi, residents are not required to pass an emissions test before registering their vehicles. The state doesn’t offer much for eco-friendly drivers, unless you are involved in an alternative fuel business. This can always change in the future though.

Rewards and Incentives for Green Businesses

  • Mississippi Alternative Fuel School Bus and Municipal Motor Vehicle Revolving (AFV) Loan Program: This incentive provides loans to help fund the purchase of new alternative fuel vehicles (AFVs) and/or the infrastructure necessary to run these vehicles. Learn more at the AFDC and the Mississippi Alternative Fuel School Bus and Municipal Motor Vehicle Revolving (AFV) Loan Program website.
  • Biofuels Production Incentive: Provided by the Mississippi Department of Agriculture and Commerce (Department), this incentive affords payments per gallon to qualifying Mississippi biodiesel and ethanol producers. NOTE: No payments will be made after June 30, 2015. For more information, refer to the AFDC and Mississippi Code 69-51-5.
  • Propane Education and Research Program: The Mississippi Insurance Department operates the State Liquefied Compressed Gas Board, which sometimes issues grants to help Mississippi companies to research and promote more cost-effective propane uses. For more information, visit the AFDC, the Insurance Department’s Liquefied Compressed Gas section, and Mississippi Code 75-57-119.

Source: http://www.dmv.org/ms-mississippi/green-driver-state-incentives.php

Filed under: Mississippi, Articles

Incentives for Eco-Friendly Drivers in Montana

Last updated on April 26th, 2018

In the state of Montana, there is no law requiring drivers to have their vehicle pass an emissions test. However, there are a few incentives and rewards for driving green and being eco-friendly, let’s take a look at them.

Certain car insurance companies in Montana offer rewards for driving green, they offer these two drivers who:

  • Drive vehicles like hybrids, electric cars, and alternative fuel vehicles
  • Practicing eco-friendly driving habits like low mileage
  • Economy car discounts
  • Hybrid auto discounts
  • AFV discounts
  • Pay-as-you drive discounts

Not all insurance providers in Montana will offer the same discounts, you will need to check with your personal insurance provider for more information.

Qualifying vehicles that will be granted federal tax credits are:

  • Hybrid vehicles
  • Plug-in hybrids
  • Electric cars
  • Alternative fuel discounts
  • Diesel vehicles

If you decide to convert a traditional fuel using vehicle to an alternative fuel vehicle, you could qualify for the Conversion Tax Credit. Qualifying alternatives include:

  • Natural gas
  • Propane
  • Liquefied natural gas
  • Electricity
  • Hydrogen
  • Fuels that contain at least 85% ethanol, methanol, ether, or any other type of alcohol

This tax credit will cover up to 50% of the conversion costs, specifically up to:

  • $500 for vehicles that have a gross vehicle weight rating of 10,000 pounds or less
  • $1,000 for vehicles that have a GVWR of more than 10,000 pounds

 

Filed under: Montana, Articles

New York Car Insurance

Last updated on April 26th, 2018

In the state of New York, car insurance is a prerequisite for vehicle registration, meaning that every vehicle that is registered with the state must have car insurance at the time of registration. Vehicles without car insurance that meets state requirements cannot be registered with the state and subsequently cannot be driven legally. As a no-fault state New York requires residents to maintain no-fault rather than liability insurance on their vehicles. In most instances, no-fault insurance is known as personal injury protection and is designed to pay for any injuries caused to the driver and/or passengers of an insured vehicle in an accident regardless of which driver is at fault. In at-fault states the driver that is found to be at-fault in an accident is financially responsible for all injuries and damages resulting from an accident but in New York drivers are responsible for their own injuries. State law requires that every vehicle maintain at least $50,000 in no-fault insurance in order to be legally operable on state roads. In addition to personal injury protection the state of New York also requires residents to maintain certain other types of coverage on their vehicle as well, including liability coverage. New York car insurance law requires that every vehicle be insured with a minimum of $25,000 in per person bodily injury coverage, $50,000 in per accident bodily injury coverage as well as $10,000 in property damage liability coverage. Unlike personal injury protection, which financially protects the policy holder and any passengers in the policy insured vehicle liability insurance is meant to protect other drivers on the road in case they are involved in an accident with the policy holder. Although New York is technically a no-fault state, liability insurance is still required in order to insure that a driver involved in an accident does not incur an unnecessary financial burden if they are involved in an accident that is not their fault. Unlike most other states with liability insurance requirements New York also requires residents to purchase a minimum of $100,000 in per accident liability coverage that will cover the death of one or more individuals.  New York car insurance policy holders are also required by state law to include uninsured and underinsured motorist coverage on their policy in order to satisfy state minimum coverage requirements.  The minimum amount of uninsured and underinsured motorist coverage required by the state of New York mirrors the amounts of liability coverage required by the state. The fact that it requires liability, no-fault and uninsured motorist coverage makes New York one of the most comprehensive car insurance states in the entire country.

For most New York residents there is always the option of purchasing more coverage than the minimum amounts required by law and in fact many New York drivers choose to do just that in order to increase their financial protection should they be involved in an accident. Vehicle owners in the state of New York also have the option of voluntarily purchasing a variety of other different types of coverage not required by state law. Although optional coverage is not generally seen as essential by the state government it is still recommended to help fill in the gaps left behind by other types of coverage. New York car insurance companies for example generally offer their policy holders the chance to purchase up to $25,000 in basic economic loss coverage. This type of coverage is specifically designed to reimburse the policy holder for any lost wages they incur as a result of an injury received from a car accident. New York drivers also have the option to supplement their uninsured and underinsured motorist coverage with $200,000 in additional coverage, adding up to $250,000 total in uninsured and underinsured coverage. Like every other state New York auto insurance companies also offer collision and comprehensive car insurance coverage which, although optional, is often required by lenders in the state that supply car loans.

According to New York State law, every driver in the state of New York is required to carry proof of insurance with them at all times while on the road. If a driver is pulled over or involved in an accident in New York they may be required to provide proof of insurance to a law enforcement officer. New York also uses and electronic database to help monitor the insurance status of residents and vehicles on a continuous basis. If a New York car insurance policy holder allows their policy to lapse the car insurance company is required to immediately notify the state of a chance in insurance status. A driver that is found to be without car insurance in New York will face a series of penalties, including fines and the possible suspension of the uninsured vehicle’s registration until proof of insurance can be provided to the New York Department of Motor Vehicles.

Filed under: New York, Articles, Car Insurance

Ohio Car Insurance

Last updated on April 26th, 2018

In the state of Ohio drivers are required to provide proof of financial responsibility in order to legally operate a vehicle on a public road. Although there are a few different ways in which an Ohio resident can provide proof of financial responsibility the most viable option for a vast majority of Ohio residents is the purchase of an auto insurance policy that satisfies state minimum car insurance requirements. As an at fault state Ohio requires all vehicles to be insured with liability coverage, which will cover the costs of an accident that was caused by the policy holder. The minimum amounts of liability coverage required by Ohio car insurance law are some of the lowest in the country, with Ohio residents having to purchase only $12,500 in per person bodily injury coverage, $25,000 in per accident bodily injury coverage and $7,500 in property damage liability coverage. Most other states that operate under an at-fault car insurance system require at least double the minimum amounts necessary to satisfy Ohio law. Do to the fact that these limits are so low it is quite common for vehicle owners to purchase more coverage than is required by the state in order to reduce the risk of being held personally responsible for the cost of an accident. If an Ohio motorists chooses to purchase only the minimum amounts of liability coverage and they cause an accident in which other drivers sustain injuries or property damage in excess of the amounts to be paid out by the policy the at-fault driver may be hit with a lawsuit. Many Ohio vehicle owners that purchase an auto insurance policy chose to add uninsured and underinsured motorist coverage to their policy as well in order to financially protect themselves and their passengers in the event that they are involved in an accident with an uninsured or underinsured motorist. While the state does not require residents to purchase a certain amount of uninsured and underinsured motorist coverage Ohio law does limit the maximum amount of uninsured and underinsured motorist coverage that can be purchased to the amount of liability insurance that is purchased. In other words the amount of uninsured and underinsured motorist coverage purchased for an Ohio car insurance policy cannot exceed the amount of liability coverage on the policy.

In lieu of purchasing an auto insurance policy that satisfies state requirements Ohio residents have the option to prove financial responsibility in a number of other ways. Perhaps the most affordable alternative for Ohio residents is to purchase a surety bond in the amount of $30,000 from a surety company authorized to sell bonds within the state. A similar option is the purchase of a BMV certificate backed by $30,000 in cash or government bonds. Both of these options may be the most affordable alternatives available but a majority of Ohio drivers do not have $30,000 that they can put forward towards proving financial responsibility with the state. A more expensive and perhaps viable option would be to secure a BMV certificate backed by $60,000 in real estate though a driver that opts for this method may be in a position to lose their property if they are involved in a car accident.

Before a resident can register a vehicle in the state of Ohio or apply for a driver’s license they are required to sign a statement attesting to the fact that they currently have proof of financial responsibility. Every time a driver is in an accident or is pulled over in Ohio they are required by state law to provide the law enforcement officer on the scene with their proof of financial responsibility. If the driver has a liability insurance policy an insurance ID card will suffice but other methods often require a certificate or a paper issued by the government. In addition to traffic stops and accidents Ohio also monitors the insurance status of its residents through random verification checks conducted by the Ohio Bureau of Motor Vehicles. As many as 280,000 random verification notices are sent out by the BMV every year in an attempt to find uninsured drivers. Upon receipt of a verification request an Ohio vehicle owner has 21 days to provide the BMV with the information requested, after which they will have their license and registration suspended for at least 56 days. If a driver cannot provide proof that they satisfy the state’s financial responsibility requirements they will lose their driving privileges for a minimum of 90 days and as much 2 years, depending on the driver’s record. This includes license plate and vehicle registration suspension and the payment of any reinstatement fees. A driver could also be required by the BMV to maintain an SR-22 as proof of insurance for a period of three to five years after driving privileges have been suspended. In some cases the uninsured vehicle may even be immobilized or confiscated by the vehicle if a driver is found to be driving while their privileges are suspended by the BMV.

Filed under: Ohio, Articles, Car Insurance

Washington DC – Emissions Testing Failures & Retests

In Washington DC if your vehicle fails its emissions test you will be provided a set of instructions at that time with information on what areas of your vehicle failed the test. Your vehicle will received a ‘failed inspection’ sticker.  If you have any questions about the items that failed the test you should ask a resolution coordinator at the inspection station your questions so you are clear when you leave what you need to get fixed.

You will have twenty days to get the areas that failed inspection to be fixed and to have your vehicle be retested.  During the twenty day period you allowed two reinspections for free.  If you need a third reinspection you will be charged a fee, and if you wait to get your vehicle reinspected past the twenty day period you will need to pay a reinspection fee.

Once your vehicle passes the reinspection you will be given a sticker that is good from the date of your reinspection.  Your vehicle must pass emissions testing inspection before you are allowed to register or renew your registration.

When you bring your vehicle to get your emissions testing reinspection done you should try to bring your renewal notice as it will help you move along faster through the process.

Filed under: Uncategorized

Indiana Car Insurance

Last updated on April 26th, 2018

Indiana is one of many states that design state car insurance laws on the tort system, which requires that some driver must be found at fault whenever there is an accident involving two or more vehicle. This is directly in contrast to the no-fault system used by other states which does not require that one driver or the other be found liable for an accident. In Indiana, the driver that is found to be at fault in an accident is financially liable for any injuries or damages sustained by other drivers. In order to make sure that a driver will be able to pay if they are found to be at-fault in an accident the state of Indiana requires all vehicle owners to prove financial responsibility, which for most Indiana residents means purchasing mandatory minimum amounts of liability car insurance. Currently, the minimum levels of coverage are set at $25,000 for the injury or death of a single person and $50,000 for the injury or death of two or more people. The state of Indiana also requires that a vehicle be insured with at least $10,000 in property damage coverage that will reimburse other drivers for damage to their vehicle or personal property in an accident. The way Indiana handles uninsured and underinsured motorist insurance is a bit different from most other states. Although technically uninsured and underinsured motorist insurance is not a legal requirement in Indiana, a driver must opt out of this coverage by signing a written statement, otherwise both uninsured and underinsured motorist insurance will automatically added to every car insurance policy sold within the state matching the minimum amount of liability insurance purchased.

In addition to liability insurance there are a few other ways in which an Indiana driver can satisfy the state’s financial responsibility requirements though none will be as appealing to the average driver as purchasing a car insurance policy. One of the ways in which the financial responsibility requirements can be met is by making a deposit of $40,000 with the state treasurer. A trust fund with a value of at least $40,000 will satisfy state financial responsibility requirements as well. In both cases these alternative measures act as a sort of self insurance, or proof that the driver has the financial resources to cover the cost of any at-fault accident. Drivers also have the option of purchasing a surety bond instead of buying liability car insurance though like the cash deposit or trust fund purchasing a surety bond is a much too expensive option for the average Indiana resident. In order to register a vehicle in the state of Indiana the vehicle owner must be able to provide the state with some sort of proof that they have satisfied Indiana’s financial responsibility law. Without this proof a vehicle cannot be legally registered in the state and license plates will not be issued or renewed.

According to Indiana state law not only does the owner of a vehicle have to comply with the state’s financial responsibility regulations the driver of a vehicle must also carry proof of this compliance with them at all times. For driver that purchased a liability car insurance policy that meets Indiana’s standards this means carrying an insurance card issued by the insurance company. Every driver in Indiana is required to produce proof of insurance any time they are pulled over or are involved in an accident. If a driver cannot provide a law enforcement officer with this proof at the time of the incident they will be sent a certificate of compliance, which states that the driver did actually have insurance at the time of the incident, by the Indiana Bureau of Motor Vehicles that will have to be filled out by the driver’s insurance agent within 40 days. If a driver cannot complete this certificate of compliance they will face the same penalty as any other driver in the state that is found to be driving without car insurance.

Indiana residents that are caught driving without insurance will typically face a 90 suspension of their driver’s license. A subsequent offense within a three year period could result in a full 12 month suspension of the driver license. Each time the license is suspended due to driving without insurance the driver will also have to pay a fine in order to have their license reinstated. For a first offense the fine is set at $150 but jumps up to $225 for the second offense and $300 for a third offense. Valid proof of insurance will also be required before a driver can have their license reinstated. Repeat offenders may be required by the state to carry an SR-22 form that is issued by the insurance company which will ensure that a driver has had continuous car insurance coverage on a vehicle during a specified period.

Filed under: Indiana, Articles, Car Insurance

Iowa Car Insurance

Last updated on April 25th, 2018

Like most states, car insurance in Iowa is governed by a financial responsibility law that requires state residents to prove that they can be financially responsible should they be found at fault for an accident involving one or more other drivers. In Iowa the easiest way to meet the state’s financial responsibility is to purchase an auto insurance policy that meets or surpasses the minimum levels of liability coverage required by state law.  As of 2012 coverage minimums in Iowa were set at $20,000 in bodily injury coverage for a single person and $40,000 in bodily injury coverage for two or more people. The bodily injury coverage required by Iowa will cover the cost of any injuries sustained in an accident that was caused by the policy holder except those sustained by the policy holder or the passengers in the policy holder’s vehicle. Drivers in Iowa are also required to have at least $15,000 in property damage coverage which will help pay for any damaged property in an accident caused by the policy holder except for damage to the policy holder’s vehicle. If an Iowa driver is in an accident that they caused the cost for any injuries or property damage will first be deducted from the drivers insurance and any outstanding balance will be billed to the driver.

In Iowa, after a driver is involved in an accident they are then required to prove they will be financially responsible for all injuries or damages that occurred. Iowa drivers that have a car insurance policy that meets state minimum standards can use that as their proof of financial responsibility. Drivers without an auto insurance policy must provide proof in any number of different ways. Aside from a car insurance policy the easiest way for a driver in Iowa to prove financial responsibility is by having the money on hand to pay for any damages and making payment for the cost of the accident to the Office of Driver Services. An Iowa driver can also attempt to legally satisfy financial responsibility by obtaining a written waiver from all other drives involved relieving the at-fault driver of any financial liability for the accident. In some instances an Iowa driver may even be able to have the court relieve them of financial responsibility by challenging their status as the at-fault driver in an accident. Although maintaining car insurance in Iowa is not compulsory, once a driver is in an accident that is determined to be their fault they are required to provide immediate proof of financial responsibility. If a driver cannot provide one of the forms of proof that was mentioned above they will have their license and registration suspended. In order to have the suspension lifted a driver will have to show proof of financial responsibility in order to have the suspension lifted.

In addition to liability insurance Iowa residents also have the option to voluntarily purchase a variety of other types of car insurance. Uninsured and underinsured motorist insurance for example is a common addition to many car insurance policies purchased in Iowa. Both uninsured and underinsured motorist coverage will protect a driver from having to bear the financial responsibility should they be involved in an accident with an uninsured driver that is at-fault. In the case of uninsured motorist coverage the insurance will pay for any damage or injuries sustained by the policy holder or passengers in the policy holder’s vehicle in an accident involving an uninsured driver. In most cases the insurance company will pay the policy holder while also taking the uninsured driver to court in order to recoup the money that they paid out. Since an at-fault driver is financially liable for all injuries and damage sustained in an accident whether they have insurance or not it is not uncommon for both drivers and insurance company representatives to be involved in lawsuits focusing on financial reimbursement for an accident. In Iowa, underinsured motorist coverage functions in much the same way except the amount that the policy holder’s insurance company pays out can be calculated by subtracting what the at fault driver’s insurance company is willing to pay from the total cost of the accident. Like uninsured motorist coverage, underinsured motorist coverage will often result in the car insurance company attempting to be reimbursed by the at-fault driver or their insurance company.  In addition to uninsured and underinsured motorist coverage most Iowa drivers are also eligible to purchase comprehensive or collision coverage for their vehicle. In some cases these types of coverage may even be required if an Iowa resident purchases a new vehicle. Both comprehensive and collision coverage fill the gap in coverage left by liability insurance, which will only reimburse other drivers and not the actual policy holder for injuries and damage that are sustained in an accident.

Filed under: Articles, Car Insurance