Can I Drive My New Car Without Car Insurance?

TLTR: This article explains the consequences of driving without insurance in various circumstances.  Suppose you just splurged on your dream car, and the monthly payments are just barely affordable. Similarly, you might ask yourself: Hey, I’m a careful driver… could I maybe get away with avoiding the additional expense of insurance? You might get away with it, but probably not for long. And things would be apt to end badly. Currently, only two states allow you to drive without insurance, New Hampshire and Virginia. But even there, it’s extremely risky. Subsequently, if you’re uninsured and get into an accident, you could be liable for damages to vehicles and other drivers’ medical expenses. Moreover, you could end up with no end of hassle, including trouble with the law. In most states, an uninsured driver who has an accident, is convicted of a DUI, or causes an injury while driving must get an SR-22 in order to get their driver’s license reinstated. In short, the SR-22 is an add-on to a personal automobile liability insurance policy. This means you’re considered a high-risk driver, and your insurance will be more expensive that it would otherwise have been.

In this blog

What Are Some Other Possible Consequences in Most States of Driving Without Insurance?

  • Jailtime
  • A hefty fine
  • License and registration suspension
  • Seizing of your vehicle
In Michigan, an uninsured driver pays for injuries or losses incurred in the accident regardless of who is at fault.
driving without insurance consequences

Uninsured Person Driving an Insured Person’s Vehicle

When borrowing someone else’s car you should consider, first, whether they have insurance, and second, whether their insurance covers the driver.

You should also look into your particular state’s laws. The nature of the accident you are involved in can determine whether you’re liable to pay for the damages.

Be aware that using your vehicle for commercial or business purposes requires commercial auto insurance. Similarly, if you’re thinking of driving for ride-sharing services, you’ll need rideshare insurance.

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Insurance for Low-Income Drivers

Speak with an agent to find the best possible coverage with minimal cost if you’re struggling with finances. In some cases, your state may cover your liabilities and personal injuries. If you qualify to pay through assistance programs, you can save significantly on insurance. You should also check if your state requires any additional type of coverage for your car. One way to find out is by going through Bankrate‘s list of the types of car insurance coverage that exist.

Insurance for Undocumented Immigrants

As an undocumented immigrant, it’s impossible to obtain a valid driver’s license in the United States. However, there is auto insurance coverage that primarily caters to undocumented people.  

You can also Google programs that grant you a driver’s license without having to show your citizenship status. Driving without insurance if you’re an undocumented immigrant can result in deportation.  

driving without insurance legal

Psychological Effects of Driving Without Insurance

If you’ve ever considered driving without insurance, know that the accident statistics are not favorable. A study by Taylor & Francis Online found that insured drivers have a 34% higher risk of getting into an accident.  

Concluding Remarks

If you currently own a car without any insurance coverage, begin by obtaining personal car insurance.

The Insurance Information Institute (III) explains the minimum requirements for each state to obtain car insurance.

Driving without insurance is not a felony. However, if you are a repeat offender, it might result in jail time. Either way, the consequences are severe. If you find yourself not being able to afford coverage, shop for insurance coverages that best fits your budget.

If you are a parent of a teen driver, consider options to include your child in your coverage plan.

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Reach out to your local insurance agent to obtain car insurance at the best price.

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