Until June 1, 2010; there wasn't a need to carry auto insurance in Wisonsin. All you had to do was show proof that damages could be paid if an accident did occur and you were at-fault. However, that has now changed, and everyone is required to have minimal coverage on their vehicles and show proof of insurance if they are pulled over. This means the risks associated with people who don't have any sort of policy are greatly reduced, because now legally they have to have cover. However, if you're caught driving without proof of insurance there can be hefty consequences for this preventable mistake:
* Up to a $500 fine for operating without insurance
* $10 fine for not showing proof of insurance
* Providing fraudulent insurance paperwork can be up to $5,000 in fines
Another area of importance was the increase in the state required minimums for liability coverage. Once 2010 rolled around, your Wisconsin auto insurance had to include:
* $100,000 for the injury or death of more than one person
* $50,000 for the injury or death of one person
* $15,000 for property damage
Five years ago Wisconsin auto insurance was one of the least expensive around the country, but due to the changes in the state minimums they have definitely moved up in the rankings. If you haven't done so already then consider raising your deductible, adding a security device to the vehicle, or ask your insurance specialist about any other discounts available.
Wisconsin Auto Insurance - The Tort System...
You will still be able to cut down on the overall costs of your premium, so it's possible that you could be paying the same price for more coverage. It's always been recommended to get bigger amounts of coverage in Wisconsin anyways since they follow a Tort system. If you're not familiar with the terminology; a Tort system means that someone must be at fault when an accident occurs. Whoever is will be required to pay for all damages.
It's one of the reasons why the overall liability amounts were increased. However, if you have a newer car there is a good chance your financial lender will require collision and comprehensive coverage as well. Whatever the case may be; as long as you might use any additional type of auto insurance it is worth adding it to your overall plan.
Wisconsin Auto Insurance - The Stacking Rule...
Don't forget about other changes that have recently been brought in as well. Now there is also a different way that claims are approached if an auto accident occurs. Let's say you purchased a plan for you and your spouse. Both of you have vehicles, so there is underinsured/uninsured motorist coverage on each one. If you have to file a claim following an accident then there is a "stacking" rule that applies.
Stacking means you are allowed to combine the total amount of underinsured/uninsured motorist coverage from both vehicles and use it on one claim. This is a huge advantage for anyone who is hit by an underinsured or uninsured motorist. Since everything will be taken care of under your own umbrella it won't always be necessary to take the other driver to court. Best of all the damages will be covered without any out of pocket costs.
There are other rules regarding Wisconsin auto insurance, so take the time to learn more about them. There is no need to put yourself at risk whenever you drive a vehicle. Fines, suspensions, and jail time can be preventable just by owning a good policy. If you're not sure where to start then contact an insurance specialist and let them help you.
A good first step is to sort out some Wisconsin Auto Insurance Quotes online so that you can start to get a feel for how much your auto insurance might cost you in the real world. You will find that government bodies such as the Wisconsin Department of Insurance will carry out studies into the cost of auto insurance,and these can be interesting. But it is actually easier to just get a few quotes (which are free to get), and then you will know the real, up to date price for the cover you need.